What sort of salary to live in a house costing £400-500k?
In the future I'd like my salary to be about £40k a year. Let's presume I have a gf/wife and she earns the same. We'd earn £80k a year in total. What sort of house could we live in without struggling to get by each month as all our money is going on the mortgage?
What sort of combined salary would be needed to live in a 400k-500k house?
Outside of London but not in the countryside (maybe a small city in the south of England).
What sort of combined salary would be needed to live in a 400k-500k house?
Outside of London but not in the countryside (maybe a small city in the south of England).
Original post by dylantombides
In the future I'd like my salary to be about £40k a year. Let's presume I have a gf/wife and she earns the same. We'd earn £80k a year in total. What sort of house could we live in without struggling to get by each month as all our money is going on the mortgage?
What sort of combined salary would be needed to live in a 400k-500k house?
Outside of London but not in the countryside (maybe a small city in the south of England).
What sort of combined salary would be needed to live in a 400k-500k house?
Outside of London but not in the countryside (maybe a small city in the south of England).
100-125k total household income so yourself or yourself but partner
£500K about £150,000 between both.
Original post by dylantombides
In the future I'd like my salary to be about £40k a year. Let's presume I have a gf/wife and she earns the same. We'd earn £80k a year in total. What sort of house could we live in without struggling to get by each month as all our money is going on the mortgage?
What sort of combined salary would be needed to live in a 400k-500k house?
Outside of London but not in the countryside (maybe a small city in the south of England).
What sort of combined salary would be needed to live in a 400k-500k house?
Outside of London but not in the countryside (maybe a small city in the south of England).
Typically you'd buy a cheaper property first, get more equity, then trade-up. You'd need to save a reasonable deposit, which varies depending upon how careful banks are being at the time.
If you believe that house prices will go up steeply, you may want to buy as expensive a property as you can, as early as you can. Otherwise, if you think that prices may stagnate, it's better to start cheaper and pay off your loan more quickly, whilst you have lower costs.
Original post by dylantombides
What sort of combined salary would be needed to live in a 400k-500k house?
For a £500k house, I'd want to have a good deposit to secure as low a rate as possible. That used to be 15%, but will have changed. I'd then want a mortgage payment that could be paid, at least for a few months, on a single salary. That could also be achieved by keeping a saving buffer of a few months payments. You may also want a reasonable length fixed-rate if you're stretching yourselves.
If you're expecting rapid income growth, that may also factor into your decision.
Also be careful about using income multipliers, especially if you're paying a high tax rate and student loan repayments.
(edited 6 years ago)
Quick Reply
Related discussions
- Is 23000/year take home salary good?
- Are you offered accommodation as an apprentice?
- Is earning 25k a year considered poor?
- Sir Howard Davies: Not that difficult to buy a home, says NatWest chair
- BP IST
- Teaching career
- Guardian - UK middle classes ‘struggling despite incomes of up to £60,000 a year’
- QMUL France House
- Border Force vs RSPCA
- Unsure on medicinary/dentistry or computing science field
- Education
- Paying rent at home
- What salary do you need to live in london?
- medicine in usa
- Any hope for young buyers?
- How much money do I need in order to be attractive?
- Would I have more disposable income if I worked from home?
- Do you get paid to do a PhD or do you pay to do a Phd? Or both??
- My Experience Working As A Student Ambassador at Kingston University
- How are you planning to buy your first house?
Latest
Trending
Last reply 1 week ago
I think I have a Cifas Marker on my name , can I still open any banks ?Last reply 3 weeks ago
Has anyone had their student finance paid into their partners or parents bank?Last reply 1 month ago
Introduction to UK Financial regulations and professional integrity SCAMTrending
Last reply 1 week ago
I think I have a Cifas Marker on my name , can I still open any banks ?Last reply 3 weeks ago
Has anyone had their student finance paid into their partners or parents bank?Last reply 1 month ago
Introduction to UK Financial regulations and professional integrity SCAM
