£2,000 a month mortgage repayments, best lenders and how to get approved for the best deals
You may believe that it is easy to calculate the size of your mortgage if you have calculated how much you can spend each month on a mortgage.
Start your application to get approved for a £2,000 a month mortgage below:
Use the below online mortgage calculator to get indicative rates on this loan size:
What kind of mortgage can you get for £2,000 a month?
We are often asked by customers what kind of mortgage they might be able to get for as low as £2,000 per month.
Mortgage providers look at more variables than the amount you spend each month.
Although having a high income is a benefit, other factors will determine whether or not you get a loan; each provider has its own terms.
We can provide mortgage advice for free, and we have a few mortgage providers lending this amount so we can ensure you receive the best interest rate and lowest monthly mortgage payment available on the mortgage market.
We are expert mortgage brokers
We have access to over 200 lenders in the UK to get you the best rates
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How big a mortgage can you get for £2,000 per month?
You could borrow between £420,000 to £500,000 based on the income multiples lenders usually use, however, the exact amount depends on many factors.
There is no one-size-fits-all approach to mortgages. Lenders will look at what you can afford to spend each month.
Having £2,000 towards mortgage repayments is a good start, but it gets more complicated.
No more self-certification mortgages; lenders now need to be more careful about eligibility criteria. They will consider various factors before deciding how large a loan to make.
What mortgage amount can I get for £2,000 per month?
Many mortgage lenders limit their lending to 4.5x your annual income, although some offer higher rates.
These lenders will lend you up to £240,000 if you have a salary of at least £60,000 per year.
If you have the funds to spare for the mortgage, a UK lender might offer you a mortgage between £100,800 & £151,200; however, this will vary depending on the length of term and the interest rate you choose.
Some lenders may lend between £117,000 to £180,000. If you are offered favourable rates, your money could go further.
Use an online mortgage calculator to calculate your maximum borrowing amount based on these income multipliers.
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What does the length of the term mean?
The longer your term, the less you’ll pay each month. However, interest payments will mean you will pay more over the term. Your £2K monthly mortgage may be more affordable than you think.
The length of your term will depend on your circumstances and needs.
How much mortgage can you afford if you earn £2,000 per month?
The UK’s average monthly cost of £2,000 after tax is around £31,000 per annum.
If you have this income, the mortgages available would be between £139,500 and £186,000.
UK lenders typically limit their lending to 4.5 to 6 times the borrower’s salary.
However, it is more difficult to find a lender who will offer the best rates if you need to borrow six times your income.
How can I get a mortgage for £2,000 per month?
We have already discussed how much you would need to earn to qualify for a £2,000 monthly mortgage.
Some other factors that the lender might consider when determining your eligibility for a home loan with these specific monthly payments:
- How you make money: Expert advice may be needed if your monthly £2,000 mortgage payments are from self-employment or other sources. Some lenders offer mortgages to people whose income includes bonuses or commissions.
- Your outgoings: Some lenders may not be willing to lend you a £2,000 per month mortgage if there are significant outgoings such as outstanding loans and dependent children.
- Will another person be named on the mortgage? You could borrow more on a combined mortgage.
- Access your credit report: You can find access to your credit reports and get free trials by clicking the link below.
How can I prove my income to get a £2,000 monthly repayment mortgage?
You have enough income to pay £2,000 each month towards your mortgage. How can you prove it to the lender?
Most mortgage lenders will require that you do the following:
- A letter from your employer verifying your employment – preferably a P60
- The last three months of payslips.
- Your passport or driving licence
- Bank statements for the past three to six months.
What loan-to-value (LTV) ratio should I expect for a £2,000 monthly mortgage?
It will all depend on the amount you deposit and what the lender requires.
A 10% deposit is sufficient to obtain a mortgage for a UK residential property. In some cases, you may only need 5%.
Lenders may ask you to deposit more than the minimum amount if they believe your risk is increased by factors like your age or credit history. This can happen even if your monthly income is sufficient to pay your £2,000 mortgage payments.
We are expert mortgage brokers
We have access to over 200 lenders in the UK to get you the best rates
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Factors that affect borrowing for a £2,000 a month mortgage
Lenders will look at your credit history and spare income per month. There are also critical criteria.
Let’s now look at these critical criteria and how they could impact how much you can borrow.
Income
One of the most critical limiting factors for larger mortgages is your annual income.
Most lenders cap the amount you can borrow based on a multiple of your income.
Lenders use a multiplier of 4.5. If you have an annual income above £50,000, your maximum loan amount will be £225,000.
Higher-income multiples are accepted by some lenders, sometimes as high as six times the income. However, these lenders tend to be more specialists than the banks and building societies.
A broker familiar with these lenders will help you get the best deal if you feel you have £2,000 per month to pay for your mortgage, start your application online below:
Size of deposit
How much money you can borrow will depend on how large a deposit you are able to make. LTV is a measure of how attractive you are to lenders. This will also affect the interest rates that you can get.
You can also get a larger loan for the same amount each month by reducing your monthly payments.
Mortgage term
It would be best if you considered the mortgage term when calculating your monthly payments.
If you are looking at a mortgage for 20 years, your monthly repayments will be much higher than if you take out a loan for 30 years.
You could borrow more for £2,000 each month by extending the term of your mortgage, which many people do which also reduces your monthly payments.
Types of employment
As long as you have the documentation and track record to support it, whether you are employed or self-employed shouldn’t affect how much you can borrow.
Self-employed recently, without three years of financial records, could make you riskier.
This could lead to higher interest rates and a decrease in the amount of mortgage you can get for £2,000 per month.
This is where a broker can assist you in finding the right lender for your situation.
The type of mortgage
Another factor to consider when calculating how much mortgage you could get with £2,000 per month is the type of mortgage you desire.
First, you need to decide whether you want a repayment or an interest-only mortgage. A monthly fixed interest-only mortgage will reduce your monthly payments considerably.
However, it would be best if you also considered a solid repayment plan for the capital loan amount.
Another thing to consider is whether you want a fixed or variable rate.
Fixed rates can tie you in more, but if your monthly mortgage payments are limited to £2,000 per month, a fixed-term mortgage will give you more security and certainty for the fixed term.
Talk to an expert broker for £2,000 per month mortgages
Are you unsure and want to know how much mortgage you can get for £2000 per month?
Contact us or enquire now online below for the best rates, we can get you approved online in 24 hours, start now below: