£2,000-Per-Month Mortgages

If you’ve worked out what you can afford to spend on a mortgage every month, you may think it’s a simple case of calculating what size mortgage that equates to. Unfortunately, it’s not quite as straightforward as that, as so many other factors will come into play.

If you’re wondering what size mortgage you can get for £2,000 per month, you’ve come to the right place. In this article, we’ll discuss all the variables you’ll need to consider and examine how working with a specialist broker could save you time and money.

What size mortgage can you get for £2,000 per month?

Based on the income multiples that lenders typically use, you could potentially borrow between £420,000 and £500,000, although the exact amount will depend on many factors.

When it comes to mortgages, there isn’t a one-size-fits-all calculation. Lenders will definitely look at how much they think you can afford to pay every month, and having £2,000 that you can commit to mortgage repayments is a great start, but it’s a lot more complex than that.

Gone are the days of self-certification mortgages. Lenders now have to be much more cautious about eligibility criteria and will consider a whole range of factors before deciding how much to lend.

The exact amount you can borrow will be based on a multiple of your annual salary, at least as a starting point. Try our mortgage affordability calculator below to get an idea of how much you could borrow based on the standard salary multiples mortgage lenders use.

Factors affecting the borrowing amount

There are several key criteria that lenders will assess alongside the amount of spare income you have per month and your credit history. Let’s take a look at them now and how they might affect how much you’re able to borrow:

Income

For larger mortgages, one of the main limiting factors will be your annual earnings. Most lenders cap the amount you can borrow based on a multiple of your income. Most lenders use a multiple of 4.5, so if, for example, you have an annual income of £50,000, the amount you can borrow will be up to £225,000.

Some lenders will accept higher income multiples – sometimes up to 6 times income – but these tend to be the more specialist lenders rather than the high street banks and building societies.

If you feel that having £2,000 a month to spend on your mortgage means you can take on a higher income multiple, you’ll get the best deal by going through a broker with knowledge of these lenders.

Outgoings

This includes any fixed outgoings and existing credit commitments. There’s no set amount of outgoings that all lenders consider too high, but your lender will take yours into account and offset them against your income when working out your total borrowing.

Other eligibility factors

These eligibility factors are not part of the affordability checks but can indirectly impact your maximum borrowing by increasing or decreasing the number of deals and mortgage lenders that you qualify for.

Deposit size

The amount of deposit you’re able to put down will have a big impact on the mortgages on offer to you. The lower the LTV, the more attractive you become to lenders and the lower interest rates you’ll be able to secure. This, in turn, reduces your monthly repayments and opens up a wider range of products to you.

Employment type

Whether you’re employed or work for yourself shouldn’t affect how much you can borrow as long as you have the paperwork and track record to back it up. If you’re self-employed and have only recently been self-employed, or don’t have three years of accounts, this could make you a higher risk applicant and mean you’re offered less competitive rates and might not qualify for certain deals.

How a broker can help

Using a mortgage broker is always an easy way to save time and money, whatever type of mortgage you’re looking for. However, they prove their worth for larger mortgages, such as those paying out £2,000 per month.

At this level of borrowing, even tiny variations in interest rates can greatly impact the amount you repay, so having an expert advisor with in-depth knowledge of specialist lenders, who can shop around and negotiate on your behalf, can save you thousands.

Rates on a £2,000 per month mortgage

Mortgage rates aren’t calculated based purely on income and affordability, so you will likely get the same interest rate on a mortgage costing £2,000 per month as you would for one costing significantly more or less than this.

Take a look at our rates table below to get an idea of the current deals available.

Get matched with a specialist broker

Finding the right mortgage isn’t always easy, but when you’ve got £2,000 to spend per month, you want to make sure you’re getting the best possible deal and not paying out more than you need. This is where a specialist broker comes in.

All of the brokers we work with have access to the whole of the market, but our broker matching service connects you with the broker that has the expertise and experience that best matches your circumstances. They’ll have existing lender contacts and knowledge that they can use on your behalf to get you the best rates and terms on your mortgage.

Call us on 0330 822 0505 or make an enquiry, and we’ll quickly assess your needs and match you with the right broker for you.