How much do you need to earn to buy a £300,000 house?

This is how much you need to earn to afford a £300,000 house in the UK in 2026.

The figures below are a worked example as at 2026. The income multiple and the interest rate are an illustration, not a quote from any lender.

What do the numbers look like on a £300,000 house?

1. Deposit: if you put down 10%, you'll need £30,000 saved
2. Mortgage: you'll need to borrow £270,000
3. Salary: if lenders offer 4.5x income, you'll need around £60,000 household income (solo or combined)
4. Monthly payment: at roughly 4.44% over 25 years, that's about £1,491 per month

The arithmetic runs in a line. 10% of £300,000 is £30,000, which leaves £270,000 to borrow, and £270,000 divided by 4.5 is £60,000. A repayment mortgage of £270,000 over 25 years at 4.44% comes to about £1,491 a month.

Change the deposit, the multiple, the rate or the term and every figure after it changes too.

What extra costs come on top?

And don't forget the extra costs on top:

Solicitors, moving costs, surveys, and stamp duty (depending on your situation) - easily £5k+

How much stamp duty is there on a £300,000 house?

Stamp duty is the one cost on that list with rates set by the government. HMRC's guidance says you pay Stamp Duty Land Tax (SDLT) when you buy property in England and Northern Ireland, and that the tax is different in Scotland and Wales. It starts to apply at £125,000 for residential property, and at £300,000 for first-time buyers buying a home worth £500,000 or less.

For a first-time buyer, the guidance says you pay no SDLT up to £300,000 and 5% on the portion from £300,001 to £500,000. You are eligible if you and anyone else you are buying with are first-time buyers. If the price is over £500,000 you cannot claim the relief.

If you have owned a home before, HMRC's rates for a single property are zero up to £125,000, 2% on the next £125,000 and 5% on the portion from £250,001 to £925,000. On £300,000 that is £2,500 plus £2,500, so £5,000. The guidance says you usually pay 5% on top of these rates if you own another residential property.

HMRC has an SDLT calculator to work out the amount. The SDLT return and the payment are due within 14 days of completion.

What if the income comes from your own company?

If you are a director and your income is drawn from your own company, how much founders should pay themselves covers that side. If buying means letting or selling your current home, see Private Residence Relief when you rent out your home before selling.

SDLT rates and reliefs change, and mortgage terms are set by lenders on your own circumstances, so this is general information and an illustration rather than advice on your purchase. If you want the tax side of a purchase looked at, talk to us.