How Much Do You Need to Earn for a £170000 Mortgage? A Clear Breakdown

How Much Do You Need to Earn for a £170,000 Mortgage?

If you’re asking how much do you need to earn for a £170000 mortgage, you’re likely trying to work out whether buying a home is realistic on your income. This is one of the most common mortgage questions, and the answer depends on more than just salary alone.

In this guide, we break down income requirements, monthly repayments, deposit impact, and how lenders actually assess affordability — including what happens if your income or credit history isn’t straightforward.

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How Do Lenders Decide How Much You Can Borrow?

Short answer: most lenders use income multiples and affordability checks.

Traditionally, lenders offer around 4 to 4.5 times your annual income, though some may go higher in the right circumstances. This figure is then tested against your outgoings to ensure repayments remain affordable.

For a £170,000 mortgage, that typically means:

• £37,800 salary at 4.5x income
• £42,500 salary at 4x income

These are rough guides. Actual results depend on your wider financial picture.

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How Much Do You Need to Earn for a £170,000 Mortgage?

Direct answer: most borrowers need to earn between £38,000 and £43,000 per year to borrow £170,000.

Here’s how it looks in practice:

Income Examples for a £170,000 Mortgage

• £38,000 income → possible with higher income multiple and low outgoings
• £40,000 income → achievable with moderate commitments
• £45,000+ income → wider lender choice and easier affordability

If you’re applying jointly, lenders combine incomes, which often makes qualifying easier.

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What Are the Monthly Repayments on a £170,000 Mortgage?

Short answer: monthly payments usually fall between £780 and £1,050, depending on rate and term.

Example Monthly Repayments

• £170,000 over 25 years at lower rates → ~£780–£850 per month
• £170,000 over 25 years at higher rates → ~£900–£1,050 per month

Longer terms reduce monthly payments but increase total interest. Shorter terms cost more per month but save money overall.

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How Much Deposit Do You Need for a £170,000 Mortgage?

Minimum deposit: usually 5–10%, though more can help.

Examples:

• 5% deposit → £8,500
• 10% deposit → £17,000
• 15% deposit → £25,500

A larger deposit often means:

• Lower interest rates
• Better affordability results
• More lender options

Those with adverse credit may be asked for higher deposits.

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Can You Get a £170,000 Mortgage on One Income?

Yes — many people do.

Single applicants are assessed in the same way as joint borrowers, but everything rests on one income. If your salary supports the required income multiple and your outgoings are manageable, a £170,000 mortgage on one income is achievable.

We explain this in more depth in our guide to mortgages on one income.

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What If You’re Self-Employed?

Short answer: being self-employed doesn’t stop you qualifying.

Lenders usually assess:

• Average income over the last two to three years
• Salary and dividends for company directors
• Net profit for sole traders

Some lenders accept just one year of accounts if the overall picture is strong. Irregular income doesn’t automatically mean lower borrowing — it just needs to be presented correctly.

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What If You Have Bad Credit?

Bad credit doesn’t automatically rule out a £170,000 mortgage.

Lenders will look at:

• How recent the issues were
• Whether problems are settled
• Your current financial stability

Missed payments, defaults, DMPs, or even past insolvency can still be workable with the right lender and deposit. We cover similar scenarios in our guides on mortgages after bankruptcy and mortgages with a debt management plan.

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How Do Outgoings Affect Income Requirements?

Your income alone isn’t enough — lenders subtract regular commitments.

They assess:

• Loans and credit cards
• Car finance
• Childcare or maintenance
• Living costs and lifestyle spending

Two people earning the same salary can receive very different results depending on their outgoings. This is why bank statements play such a key role in affordability checks.

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Can You Borrow £170,000 with a Lower Income?

Sometimes, yes.

This may be possible if:

• You have a larger deposit
• You have very low monthly outgoings
• A lender uses higher income multiples
• You apply jointly

Affordability models vary widely between lenders, so results can differ significantly.

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What If Your Bank Has Said No?

A bank decline doesn’t mean borrowing £170,000 is impossible.

High street lenders often use rigid criteria. Specialist lenders may:

• Accept complex income
• Take a more flexible view of credit history
• Use different affordability calculations

Many borrowers only discover they qualify once the right lender is considered.

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Key Takeaways: £170,000 Mortgage Income Guide

• Most borrowers need £38,000–£43,000 income
• Monthly repayments usually range from £780–£1,050
• Deposits start from 5%, but larger deposits help
• Single, self-employed, and adverse credit applicants may still qualify
• Lender criteria varies significantly

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Final Thoughts

Understanding how much you need to earn for a £170,000 mortgage is about more than just salary. Deposits, outgoings, credit history, and lender criteria all play a role.

Exploring your options with regulated advice can help clarify what’s realistically achievable before making any commitments.

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