If your property is worth more than £1m, how much is your monthly mortgage?

[someoneiou]

Because honestly, I'm looking at rentals and the they're about £3,800-£4,500pcm for a house around that value (1-1.5m) and can't believe so many people would be paying this as a mortgage every month.

So if your property is worth over £1m what's your monthly mortgage payment? Did you buy it decades ago, or recently?

Just being nosey

As others have said, most people in £1m+ properties will have built up equity by climbing the property ladder so their mortgages will not be 90% of the property value like most people buying their first home. If we move we will be likely to be looking in the £1m+ bracket but the mortgage won't be anything like that amount. I've been in the property market since I bought my first flat with a 95% mortgage for 250k nearly 20 years ago. I've paid down the mortgage and benefitted from the increase in property values since then.

We bought our house at £1m - 18 months ago and did substantial work on it (200k ish) before moving in.
It's worth circa 1.3m now - mortgage around £2000 a month but we had a wacking deposit of about 500k even after the work was taken into account. This was entirely from previous house purchase in an up and coming area and a small inheritance from my mother.
We have about 25 years left on the mortgage but are overpaying at least £250 a month ( and trying for more every month in Order to reduce the term.We are high earners (170k combined ) but took a hit over Covid and so while we could afford to pay more each month are focussed on rebuilding savings and pensions. Both of us can afford to pay mortgage on our individual salary - and are live insuranced up to the hilt

@Juliettbravo

Does anyone on mumsnet earn a normal (as in average) wage ? I'm fascinated by how so many can afford monthly mortgage payments of £4-5k.

I've never seen anyone on minimum wage on MN 🤔 🤥.

Agree that the question should be for those who have bought the house for one million plus in recent years
My friend and her dh have bought a house for 1.4 million last week. The house is in a desirable area and is worth 1.7 million but the sellers wanted a quick sell.
They are paying about £5k a month mortgage. However , they put down a hefty sum as the deposit
They are minted. He owns a medium sized accountancy firm and she is a solicitor ( corporate finance) Their take home is £15k a MONTH. They intend to overpay
Near them , houses of three million pound are sold daily.

There are loads of posters on a low income, minimum wage, or even an average wage on MN, though you’re unlikely to find them if you’re reading private school or ‘houses over £1m’ threads .

@SeaTurtles92- there are many posters on minimum wage

It's not really uncommon for rent to be 2 -4 times higher than a mortgage payment in most house price brackets is it?

It's one of the reasons renters struggle save enough to get on the housing ladder, despite earning more than enough to pay a mortgage.

We bought ours outright 20 years ago from funds accrued from 5 years of working overseas on various professional contracts. That said, it was in a real state and we have spent a small fortune restoring it to it's former splendor. We couldn't possibly afford it today.

Mine is worth £1.1m and we don’t have a mortgage it was paid off through an inheritance. However, it was orginally £1800 (£440k) a month and was down to £1200 and was a £250k mortgage when we cleared it as we had paid off lump sums

Bought last year for £950k - a three double, one single Victorian terrace in SW London but we did have a good deposit. Mortgage is £930 per month which is a substantial saving on the £2,000 per month rent that we were paying for a 2 bed flat with roof terrace (although that was two tube stops up the line).

Our nursery costs are over double our mortgage payment though....

@alpinia

It's not really uncommon for rent to be 2 -4 times higher than a mortgage payment in most house price brackets is it?

It's one of the reasons renters struggle save enough to get on the housing ladder, despite earning more than enough to pay a mortgage.

Yes this is exactly the situation we're in.

There are online mortgage calculators where you can plug in your own circumstances to get a better idea than surveying random people.

Mums is about 1.8m, mortgage paid off now as bought for 60k in the 80s

Given that the average detached house price in London was £978,289 in January, and 8% of houses there are detached out of a total of 3.6 million, then there at least 288,000 of them. Add in the more expensive semi-detached and terraced houses, plus flats, & I wouldn't be surprised if there were about 1/2 million homes on London worth £1m or more.

@Juliettbravo

Does anyone on mumsnet earn a normal (as in average) wage ? I'm fascinated by how so many can afford monthly mortgage payments of £4-5k.

Me!

We only just scrape 4k income per month dh and I working ft. No way could we pay out the figures quoted.

But this is a thread specifically about £1m plus houses so wont be relevant to the average Joe mumsnetter.

The only people I know in 1m plus houses who aren't older are very high earners & had family help.

£6200 on £1.6m mortgage on 30 year mortgage for house bought in 2015.

Half the price of renting though.

Rent has to cover more than just mortgage costs for the landlord: letting agent fees, building insurance, repairs and maintenance, contingency for gaps between tenants, etc.

We pay £1200 a month our mortgage for our house which is worth over £1m. It's our 3rd house though and we're late 40s so have been paying off mortgage for over 20 years.

£370k on a house worth £1.25m. Paying £3300 per month to pay it off in under 10 years.

How the other half live 😂

House worth around £1.5m. Bought it for half that nearly 20 years ago on a 95% mortgage. Paying just under £4K/month.

About £420k left on mine and pay £1,800 a month.

@CheesePleaseLoueese think you need to change mortgage!!

We have a bog standard 4 bed detached and can get 2.25k a month in rent. So it doesn't seem outrageous.