How much can I afford?
Whether you seek independent mortgage advice or not, as a rule of thumb, if you are applying for a mortgage you can borrow based on the following criteria:
On your own (single applicant)
It varies depending on your circumstances - but typically ranges from 3.5x your annual income up to 5x your annual income.
With someone else (joint applicant)
You could borrow around three times the first applicant's income, or two and a half times your joint income.
If you have been given independent mortgage advice, you may have had access to a mortgage calculator and advice at the same time. A mortgage calculator will base its calculations on the same borrowing principles as above.
If you would like to, take a look at the Halifax mortgage calculator. Advice about how much you can afford is also available from any branch of the Halifax in person, or by telephone.
To get a better indication of how much you can borrow, you need to arrange what lenders often call an ‘Agreement in Principle’. This involves getting more details about you and running a credit check.
Your home may be repossessed if you do not keep up repayments on your mortgage.