£500 a month mortgage repayments, best lenders and how we can get you approved for a £500 repayment mortgage quickly
We are often asked questions such as ” how large a mortgage can you get for £500 per month”. Many factors will impact how much loan you receive from a mortgage lender.
What mortgage you can get will be determined by your mortgage provider, who will consider your personal circumstances and your criteria.
We’ll explain the terms in this article so you are more educated about the £500 a month mortgage.
Why not try our online mortgage calculator to get an idea of what you can get:
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What mortgage I can get for £500 a month?
For example, let’s say you take out a mortgage for £112,000 at a 2.5% interest rate over 25 years. You’d make monthly repayments of £502.45 based on a mortgage of £233.33.
With mortgage lenders, you can obtain a variety of residential and buy-to-let mortgages for as low as £500 per month. You can get a £150,000 mortgage at 1.8% APR and a 30-year term for £500 per month. However, this will depend on your affordability.
£500 a month mortgage calculation
An online mortgage quote calculator can help you determine how much mortgage you could get for £500 per month. It is based on your desired term and current mortgage rates.
Use our mortgage calculator to estimate how much you might be eligible to borrow.
As mortgage brokers, we have a few mortgage providers lending £500 a month. Contact us today to discuss monthly repayments and what the interest may be. Each mortgage lender will give you a personalised service.
What mortgage is available for £500 per month in the UK
Many people ask us “What mortgage can I get with £500 monthly repayments?”. Each Mortgage lender uses its criteria to determine affordability.
You can borrow as much as you want, but this calculation takes into account the following:
- Employment status – Are you employed or self-employed
- Personal Income: How Much Do You Earn? What Income do You Get?
Mortgage lenders also consider LTV (loan-to-value rate) to determine how much money you can borrow relative to the value of the property you are looking to purchase.
There will be a range of maximum mortgage loan amounts offered by different providers. This is why it’s important that you get quotes and speak with a mortgage broker for mortgage advice. Send us an enquiry so we can provide mortgage advice to you.
What factors can affect my monthly mortgage payment of £500 per month?
Mortgage providers on the mortgage market consider your income and employment status when deciding how much loan they will offer. These are:
Your age: As you have a longer working life, you get more mortgages. You must prove that you can repay the loan if you are close to retirement.
Credit rating: Bad credit can make it difficult to get a mortgage or mean that you are offered unfavourable rates. You need to check eligibility for bad credit mortgages before applying.
How long a mortgage can I get for £500 per month?
The average mortgage term is 25 years. However, this discussion should be had with your mortgage broker at Loan Corp, as you must be able to repay any loan on time.
What interest rates would you pay for a £500 monthly mortgage?
The amount of the loan approved will affect how much interest rate you pay. Your interest rate should be lower the larger your deposit. Lenders will consider your personal situation and may charge you higher interest rates if you have a bad credit history.
The monthly payment amount does not affect the interest rate for a mortgage. Mortgage interest rates are often determined by both the Bank of England base rate and the criteria used by the lender.
The Bank of England base rates are currently set at 0.1%. This is to help with the economic shock caused by the coronavirus pandemic. These low-interest rates can be very attractive to mortgage applicants if they are able to submit an application.
£500 a month mortgages FAQ’S
What is a mortgage?
Lenders or banks lend money with interest. The loan is secured against the property value. The loan agreement details are recorded against the title of the property, also known as a mortgage.
What’s a mortgage broker?
Specialist mortgage brokers will search for the right mortgage product on clients’ behalf to ensure they get the best deal. The success rates and fees of each broker will vary so it is a good idea to work with several brokers to get the best quote.
What are the different types of mortgages?
There are two types of mortgages.
Fixed-Rate Mortgage and Variable Mortgage. A Fixed Rate Mortgage is a mortgage where your interest rate is set for a fixed period (usually between two and five years), so your monthly payments are not subject to change.
Variable-rate mortgages allow you to adjust the amount of interest that you pay and your monthly repayments. For more information, visit our mortgage interest rate page or see the different types of mortgages that we offer.
My credit score is not good.
However, this will not stop you from getting a loan. Our advisors often help clients with bad credit. We work closely with a variety of lenders who are more favourable to clients who have had difficulty sourcing financing in the past.
For more information and confirmed rates from UK lenders, please speak to one of our advisors by clicking the button below:
What can I afford?
There are no pre-determined criteria for determining what amount you can borrow. Your income, monthly expenses, and property price will determine the amount you can borrow. For a guide, see our mortgage calculator. Our brokers can also indicate or provide a complete agreement in principle.
What’s LTV?
Lenders frequently refer to the LTV requirement. LTV stands for Loan to Value Ratio. It refers to the ratio of a loan to a property’s value. If you borrow £170,000 to buy a property worth £200,000, the LTV is 170,000/200,000. The remaining 15% is your equity.
Are you able to get a mortgage if you have a part-time job?
Lenders are generally more concerned about your overall income and financial situation than how many hours you work.
It is possible to make more as a part-time worker than a full-time worker. Part-time employment should not be a problem if you can prove your income.
How many pay slips per month do I need to get a mortgage?
The length of your employment will also affect the amount you can borrow. This can vary greatly between lenders.
While some lenders will only accept a month’s pay slip, others may require proof that income has been accrued for at least one year.
View more related mortgage repayment articles:
- £300 a month mortgage repayments
- £400 a month mortgage repayments
- £600 a month mortgage repayments
- £700 a month mortgage repayments
- £800 a month mortgage repayments
- £900 a month mortgage repayments
Over £1,000 a month repayments:
- £1,000 a month mortgage repayments
- £1,200 a month mortgage repayments
- £1,500 a month mortgage repayments
- £2,000 a month mortgage repayments
- £5,000 a month mortgage repayments
Let Loan Corp get you approved in 24 hours for a £500 monthly mortgage
Contact us today to discuss specific questions regarding the size of the mortgage that you could get for £500 per month.
There is no charge and no obligation to improve your credit rating, so start your application below now and get approved in 24 hours: