Most lenders will let you borrow between 4 and 4.5 times your annual income, though some will go higher depending on your circumstances. Factors like your credit history, existing debts, and monthly outgoings all affect the final figure. The best way to get an accurate number is to speak to a mortgage broker. Give us a call and we can assess your full financial picture and search across a large panel of lenders to find the maximum borrowing available to you.
Frequently Asked Questions
The minimum deposit for most mortgages in the UK is 5% of the property’s value, though having 10% or more will give you access to better rates. The larger your deposit, the lower your loan-to-value ratio, which typically means cheaper monthly repayments. Some government schemes can also help if you’re struggling to save. The Mortgage Mill can help you understand which options are available based on your deposit size and personal situation.
A fixed rate mortgage locks your interest rate for a set period — typically 2, 3, or 5 years — so your monthly payments stay the same regardless of what happens to interest rates. A variable rate mortgage can go up or down, usually in line with the Bank of England base rate. Fixed rates give you certainty and are popular with first time buyers, while variable rates can work out cheaper if rates fall. The Mortgage Mill can help you weigh up which option suits your circumstances and plans.
A mortgage in principle (also called an agreement in principle or decision in principle) is a written statement from a lender confirming how much they would be willing to lend you, based on a basic assessment of your finances. It’s not a guarantee, but it shows sellers and estate agents you’re a serious buyer. Most estate agents will ask for one before accepting an offer. The Mortgage Mill can arrange a mortgage in principle quickly, giving you the confidence to make offers when you find the right property.
When your fixed rate deal ends, your mortgage will usually move onto your lender’s standard variable rate (SVR), which is almost always higher and can change at any time. This is why it’s important to start looking for a new deal around 3 to 6 months before your current one expires. Remortgaging at the right time can save you hundreds of pounds a month. The Mortgage Mill monitors the market on your behalf and will reach out when it’s the right time to review your deal.
While life insurance isn’t a legal requirement when taking out a mortgage, it is strongly recommended. If you were to die before paying off your mortgage, life insurance ensures your family wouldn’t be left with the debt or risk losing their home. Most lenders will strongly encourage you to have cover in place. At The Mortgage Mill, we can arrange mortgage protection that pays out exactly what you owe, giving your family complete peace of mind.
Life insurance pays out a lump sum if you die, whereas critical illness cover pays out if you are diagnosed with a serious illness such as cancer, a heart attack, or a stroke — while you are still alive. Many people choose to have both in place as they protect against different risks. The Mortgage Mill can help you find a combined policy or separate covers that fit your budget and give you the most comprehensive protection.
Income protection pays you a regular monthly income if you are unable to work due to illness or injury. Unlike critical illness cover, it isn’t limited to specific conditions — it covers you for anything that prevents you from working. It typically pays out between 50–70% of your salary until you return to work or retire. The Mortgage Mill can compare income protection policies across the market to find one that fits your occupation and budget.
Most standard private medical insurance policies do not cover pre-existing conditions — conditions you had before taking out the policy. However, some insurers offer moratorium underwriting, which may cover a condition after a set period if you have been symptom-free. The terms vary significantly between providers, which is why it is important to get expert advice. Call us so that we can help you understand exactly what is and isn’t covered before you commit to a policy.
As a business owner, the most important types of protection to consider are key person insurance, shareholder protection, and relevant life insurance. Key person insurance protects the business if a critical employee or director is unable to work or dies. Shareholder protection ensures the remaining owners can buy back shares if a co-owner passes away. Relevant life insurance is a tax-efficient way to provide life cover for directors and employees. Our specialist advisors can assess your business st