Repayments on a £100,000 Mortgage

While £100k is not considered to be a large mortgage sum, it pays to do your research and calculations if you're applying for home finance of this amount.

Here you’ll learn how to calculate the repayments for a mortgage in this ballpark and understand the factors behind them. We have also included information for those interested in similar mortgage amounts, such as £150k and £175k.

What are the monthly repayments on a 100k mortgage?

The average monthly repayments on a £100,000 mortgage are £528. This is based on current interest rates being in the 4% range, typical terms at 25 years, and the majority of borrowers opting for a capital repayment mortgage at the time of writing. 

Based on these monthly repayments, you will have repaid £158,351 by the end of the term.

What if you are borrowing more?

If £100,000 is only a rough estimate for the mortgage amount you need, take a look at the table below to see how higher amounts in this ballpark compare, based on the same variables.

How to calculate your monthly repayments

You can use our calculator below to find out what the repayments would be if you were to borrow £100,000. This tool can be used to compare different interest rates and term lengths, and the results can be converted into interest-only.

Now that you’ve run some calculations, you next step should be a free, no-obligation chat with a whole-of-market mortgage advisor - get started here.

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Factors that determine the repayments on a £100k mortgage

We’ve already discussed how the interest rate, term length and mortgage type have a role to play in determining your mortgage repayments. In this section we explore the impact these factors can have on a £100k mortgage with example calculations for added context.

Term length

Increasing or reducing your term length will change the amount you have to repay on your mortgage each month. Longer terms come with lower monthly repayments but can be more expensive overall since you would have more interest instalments to pay.

The table below shows how the term length affects the repayments on a £100k mortgage taken on a capital repayment basis with an example interest rate of 4%.

Interest rate

The interest rate you qualify for will depend on the current market conditions and how much risk the mortgage lender feels they are taking on by offering you finance. They will assess this based on factors including the amount of deposit you have and your credit situation.

The mortgage rate is one of the biggest variables that will determine your monthly repayments, and the table below shows what kind of impact it can have on a £100k mortgage.

These calculations are for a capital repayment mortgage with a 25-year term

Product and repayment type

The type of mortgage product you choose and the repayment type you select will also have a bearing on the interest rate and how you make your interest payments. 

Repayment type, in particular, has a major bearing on mortgage repayments. The most common type is capital repayment where you would pay off the loan each month plus interest over the agreed term, and own the property outright when the agreement ends.

A common alternative is interest-only, which only requires you to settle the interest each month and clear the debt itself with an approved repayment vehicle at the end of term.

The table below shows how the repayments would look on a £100,000 mortgage if it was taken out on an interest-only basis, with a range of different rates, over a period of 25 years.

When it comes to applying for your £100k mortgage, you will also have a choice of product types. Fixed-rate is the most popular in the UK, and these agreements have monthly interest payments that are consistently the same during an introductory rates period, typically 2-5 years. They then revert onto the lender’s standard variable rate (SVR), which is typically higher.

A common alternative is a type of variable rate loan called a tracker mortgage. Interest can move up or down during the term as most are tied to the Bank of England’s base rate.

Read more about fixed-rate and tracker mortgages in our standalone guides

How much do you need to earn to afford a £100k mortgage?

It is possible to get approved if all of the mortgage applicants have a combined income within the £18,000 to £25,000 range. This is because mortgage lenders tend to cap maximum borrowing anywhere between 4 and 5.5 times salary, although 4.5 is a typical limit for most.

You can read more about mortgage affordability in our standalone guide or use our calculator below to get an idea of whether your income will stretch far enough to help you qualify for a £100,000 mortgage:

Compare £100K mortgage rates online

You can compare the latest rates on £100,000 mortgages using our free mortgage sourcing tool below. We have set this tool to display results for a 60% LTV (40% deposit) mortgage by default but you can manually change this by altering the mortgage amount and property value to match your personal circumstances. More options are available via the filters menu in the bottom left.

How we can help you reduce your mortgage payments

When you arrange your £100k mortgage through our free service, our whole-of-market brokers focus on minimising your repayments by taking the following steps:

• Securing the most competitive interest rate available to you.

• Providing practical advice on strengthening your credit profile to unlock better rates.

• Establishing the optimal mortgage term that aligns with your financial goals.

• Identifying the right mortgage product for your personal circumstances.

The key to keeping your mortgage repayments as low as possible is to find the most favourable rate and the correct deal for your situation. Thanks to their comprehensive market knowledge, experience, and lender relationships, our brokers are in the ideal position to help you achieve both.

How to get a £100,000 mortgage

After running those initial calculations, you can secure your mortgage rate on Money Helpdesk. Not only will we compare rates from across the market for you, we have expert mortgage brokers on hand to offer advice and help you complete your application.

Here are just some of the benefits of choosing Money Helpdesk for your £100k mortgage:

• You can access exclusive rates and deals
• We are rated 5 stars on leading review websites
• Our brokers are whole-of-market and experts in their field
• It takes just minutes to secure a mortgage in principle

Ready to secure your mortgage and take advantage of a free, no obligation chat with a Money Helpdesk mortgage broker? Get started here!