How Much Can I Borrow on a £45000 Income?

If you earn £45,000 a year and are thinking about buying a home, it’s natural to ask: how much can I borrow on a £45,000 income?

The short answer is that many lenders will consider lending between £180,000 and £225,000, but the final figure depends on affordability rather than salary alone. Lenders assess your income alongside outgoings, credit history, and deposit size to decide what’s realistic and sustainable.

This guide explains how borrowing is calculated and what can influence how much you’re offered.

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How Do Mortgage Lenders Calculate How Much I Can Borrow?

Short answer: most lenders start with income multiples, then apply affordability checks.

Income multiples give an initial figure, but they’re not guaranteed.

Typical income multiples

• 4x income → around £180,000
• 4.5x income → around £202,500
• 5x income (limited lenders) → up to £225,000

Higher multiples are usually reserved for applicants with strong credit profiles, low monthly commitments, and stable income.

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How Much Can I Borrow on a £45,000 Income in Reality?

Once income multiples are applied, lenders look at affordability in detail.

They assess:

• Regular monthly spending
• Existing loans, car finance, and credit cards
• Dependants or childcare costs
• Lifestyle and living expenses

Two people earning the same £45,000 can be offered very different amounts depending on how much disposable income they have after bills.

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What Might the Monthly Repayments Look Like?

Understanding repayments helps you decide what borrowing level feels comfortable.

Approximate monthly repayments

• £180,000 over 25 years → £900–£1,000 per month
• £200,000 over 25 years → £1,000–£1,100 per month
• £225,000 over 25 years → £1,150–£1,300 per month

Exact repayments depend on interest rates and mortgage products, but lenders will stress-test affordability against potential rate rises.

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Does My Deposit Affect How Much I Can Borrow?

Yes — deposit size plays a key role.

While your income caps how much you can borrow, your deposit affects:

• Which lenders are available
• The interest rates you’re offered
• How strict affordability checks are

Typical deposit scenarios

• 5% deposit – Limited lender choice, tighter affordability
• 10% deposit – Wider options and better rates
• 15%+ deposit – Easier approvals and stronger affordability

A larger deposit doesn’t usually increase the income multiple itself, but it can help you reach the upper end of what lenders are prepared to offer.

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Can I Borrow More on a £45,000 Income If I Apply Jointly?

Yes. Joint applications allow lenders to combine incomes.

Example:

• £45,000 + £30,000 = £75,000 household income
• At 4.5x income → around £337,500

Both applicants’ credit histories, outgoings, and financial commitments are assessed, so joint borrowing power depends on the full household picture.

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What If I’m Buying on One Income?

Buying alone on £45,000 is very common.

Most lenders are comfortable with single applicants provided affordability works. You may find it easier if you:

• Keep unsecured debts low
• Have a reasonable deposit
• Consider a longer mortgage term

We cover this in more detail in our guide on getting a mortgage on one income.

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Can I Get a Mortgage on £45,000 With Bad Credit?

Yes — but borrowing may be reduced.

Bad credit doesn’t automatically mean a decline, but it can affect:

• The income multiple offered
• Deposit requirements
• Interest rates

Lenders look at:

• How recent the credit issues were
• Whether they’re settled
• Evidence that your finances have improved

Older, resolved issues are generally treated far more favourably than recent problems.

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How Do Outgoings Affect How Much I Can Borrow?

Outgoings can significantly reduce borrowing power.

Lenders factor in:

• Personal loans and car finance
• Credit cards (even unused limits)
• Child maintenance or childcare
• Student loan deductions
• Regular subscriptions

Reducing unsecured debts before applying can often increase borrowing more than a pay rise.

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Does Employment Type Matter?

Yes. Lenders assess income differently depending on how it’s earned.

Employed applicants

• Basic salary is straightforward
• Bonuses and overtime are often averaged

Self-employed applicants

• Usually assessed over 2–3 years
• Some lenders use the most recent year if income is rising

If your income is complex, lender choice becomes especially important.

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Can a Longer Mortgage Term Help Me Borrow More?

Potentially, yes.

A longer term:

• Lowers monthly repayments
• Improves affordability calculations

Many buyers choose a 30–35 year term initially, then reduce the balance later through remortgaging or overpayments when income increases.

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What If My Bank Says I Can’t Borrow Enough?

Different lenders use different affordability models.

Being declined by one lender doesn’t mean:

• You’ve reached your maximum borrowing
• Another lender won’t assess you differently

Multiple applications can harm your credit profile, so careful lender selection is important.

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How Can I Improve How Much I Can Borrow on £45,000?

Steps that often help:

• Paying down unsecured debts
• Avoiding new credit before applying
• Increasing your deposit where possible
• Keeping bank statements consistent and well-managed

We explain this in more detail in our guide on what mortgage lenders look for on bank statements.

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Key Takeaways: Borrowing on a £45,000 Income

• Typical borrowing ranges from £180,000 to £225,000
• Most lenders use 4–4.5x income
• Outgoings and credit history strongly influence results
• A larger deposit improves lender choice
• Single-income and bad credit cases are still possible

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Final Thoughts

If you’re asking how much can I borrow on a £45,000 income, the answer depends on your wider financial picture, not just your salary.

Understanding how lenders assess affordability can help you plan realistically and move forward with confidence.

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This guide provides general information only. Personalised mortgage advice should always come from a regulated mortgage adviser.