What are the repayments on a 180k mortgage?
An example of what you could pay on a 180k mortgage could be: £180k over 25 Years at a rate of 5.5 % will incur a monthly repayment of £1105.36 and a total repayable of £331608.00.
How much deposit do I need for a 180k mortgage?
A 180k mortgage will mean you have at least between 5% – 20% for a mortgage deposit.
This means if you want a 180k mortgage you already have between £9,000 and £36,000 for your mortgage deposit.
This will be the first basis of your affordability of a 180k mortgage and if you can make the repayments on a 180k mortgage.
You can improve your mortgage affordability by using one of the governments first-time buyer schemes.
This will mean you can put down a smaller mortgage deposit or be eligible for a reduction in the property price. These government schemes can make you mortgage much cheaper by putting you in a cheaper loan to value band and making your repayments on the 180k mortgage cheaper.
Some of the mortgages you could get with a 180k mortgage include:
Fixed-rate 180k mortgages:
With these mortgages, the rates are fixed for a period of 2, 3 or 5 years and provides you certainty over your mortgage term. Your monthly mortgage repayments on the 180k mortgage will remain the same throughout the fixed term.
Variable rate 180k mortgages:
You can access a host of variable mortgages through a mortgage lender and these mortgages will have a variable rate which can be increased or decreased at any time by the mortgage lender.
Tracker 180k mortgages:
You can access a host of tracker mortgages from most mortgage lenders. These mortgages will usually track the bank of England’s rate and will move in line with it although it may not be the exact rate but rather a rate which will increase by the same point or increase by the same point as the bank of England rate.
You can access a host of remortgage options for a 180k remortgage.
180k buy to let mortgages:
Some buy to let mortgage lenders have a minimum amount they will lend but you may be able to get a 180k buy to let mortgage with some specialist buy to let mortgage lenders. A buy to let mortgage broker will be able to assist you in this regard.
You may be eligible for some first time home buyer government schemes which may reduce the total cost of the property or increase your mortgage deposit. This could potentially reduce the initial repayments on the 180k mortgage.
- Lifetime ISA– gives you a government bonus of £1,000 if you save the maximum £4,000 a year.
- Help to buy ISA– gives a maximum bonus us £3,000 if you save the maximum allowed of £12,000. Before you get either you should consider which is better. Lifetime ISA vs Help to buy ISA.
- Help to buy equity loan- gives you up to 40% as a 5-year interest-free equity loan. You begin to pay interest at 1.75 % after the fifth year and 1% plus RPI for every year thereafter.
- Shared ownership- You can buy between 25% to 75% of the property initially with a shared ownership mortgage and then buy more using a staircasing mortgage.
- Armed forces help to buy- similar to the help to buy equity loan but specific for the armed forces personnel giving them an increased chance of acceptance.
- Rent to buy- This is the right to buy scheme on which this guide is currently discussing. A different marketing name is just used. Watch out for this when shopping to avoid missing out on eligible properties due to confusion.
- Right to buy- allows you to buy your home at a discount price.
- Preserved right to buy– same as above.
- Right to acquire- same as above.
Depending on where you live, you may also be able to take advantage of home buying schemes provided by your local council. Example: In Norwich, the local councils provide the Norwich home options scheme.
The second basis of affordability for a 180k mortgage will be your salary.
Most mortgage lenders use your annual salary x a multiple to see how much they could lend to you.
If you want a 180k mortgage you will need your salary when multiplied by a multiple of 3 to be at least 180k.
Most lenders will use multiples of between 3 and 5.
What do the repayments on a 180k mortgage look like?
Mortgage repayments on a 180k mortgage will differ based on lenders and it wouldn’t be wise to simply provide details that can change at any moment here.
To see if you are eligible for a 180k mortgage, speak to a mortgage broker.
How much would a 180k mortgage cost to repay per month?
The repayments on a £180k over 25 Years at a rate of 5.5 % will cost £1105.36 per month.
What’s the monthly repayment on a 180k mortgage?
The monthly repayment on a 180k mortgage will vary based on the APR which you pay on the mortgage. e.g over a term of 25 years at an APR of 5.5% you will pay £1105.36 as your monthly payment but with an APR of 1.5% over the exact mortgage term of 25 years, you will pay £719.89 as your monthly payment.
Yes, you can get a mortgage for 180k. Speak to a mortgage broker to further assess your mortgage affordability but there are mortgage lenders who are willing to lend you 180k.
Can you get a 0% LTV 180k mortgage?
Yes, there are mortgage lenders who will offer a 180k mortgage.
They are a certain type of mortgage known as a family springboard mortgage, they include mortgages from lenders such as the Barclays family springboard mortgage, the lloyds lend a hand mortgage or the post office family link mortgage.
Can you get a 180k mortgage with bad credit?
Yes, you may be able to get a 180k mortgage with bad credit but this will heavily depend on your circumstances. You should always look to build credit when you have bad credit as this could improve your mortgage affordability.
A bad credit mortgage broker may also be in a better position to carefully analyse your situation and provide you with suitable bad credit mortgage lenders willing to lending to you.
If you are bankrupt then you may need to wait for 12 months after you have been discharged from being bankrupt to get a 180k mortgage
Bad credit may include:
How to get a 180k mortgage?
Getting a mortgage can be a very difficult process if not handled with care.
If you are considering getting a mortgage for 180k then using a mortgage broker may be a good choice as mortgage brokers usually have access to many more products than any specific mortgage lender.
Mortgage brokers will also usually have access to specific deals from mortgage lenders as well as experience on which mortgage lenders will be more likely to accept your case. This will help you avoid getting rejected on a mortgage application and having to build credit due to the damage a rejection might do to your credit score.
If you have bad credit or are self-employed then specialist mortgage brokers such as bad credit mortgage brokers or self-employed mortgage brokers may be useful.
If you need financial advice and you live in the UK then you could contact the Money Advice service over the phone or via chat for impartial advice.
You can also contact the debt charity “Step Change” if you are in debt and need help.