To think mortgage payments of over £2k per month are becoming the norm?

[Startrekkeruniverse]

That’s it really. Thinking of setting up an only fans to pay for it lol.

A quick google of average U.K. mortgage brings up the below so think YABU

The average size of a mortgage taken out in 2023 is £184,376. On average, Brits are paying £665 a month for their share of the mortgage payment, higher than the average rent payment. The average monthly mortgage payment for a semi-detached property was £1,262 in December 2022, 62% higher than the previous year.

I understand that this is an average (though not clear in whether mean/ mode as that makes a huge difference) and that some people buy with larger deposists, but given house prices that does seema little low. Is that just first-time buyers or all buyers? Owner-occupiers or landlords included?

Perhaps my views are skewed because I’m in Surrey so even a 3-bed terrace seems to cost a bomb. And that combined with the new 5.5-6.5% rates seems crippling.

Probably not average, but certainly a good proportion.

We currently pay £850 per month. Our fixed term comes to an end in January and the cheapest deal our broker could find will have us now paying £1600 per month.

Ours is £618 a mth for a house we bought 9 years ago, so no.

Sounds like we’re in a similar boat. Current fix ends in July 2024 so a while yet but assuming fixed rates stay where they currently are we’re looking at around £2k per month (on a £290k mortgage so not enormous).

We pay under 800 a month, but we couldn't afford 2k a month! There are some factors here though

• We got a fix at 2% interest just as interest rates started to rise
• mortgage is over 30 years, longer term was needed to keep repayments down

Hoping it'll somehow go back to how it was before the fix ends 😬

We’re near you and will (hopefully) be first time buyers in our mid 30s next year and we’ll be lucky if our mortgage payments are less than £2000 a month. It’ll be a lot more than our current rent, which to be fair is below the market rate where we are.

Oh I’m jealous ha! Is your mortgage small or did you get a great rate?

Averages will be significantly brought down by remortgages on properties that were bought decades ago.

We bought 5 years ago and our mortgage payment is over £1k and we are still on a 2% for a not very expensive property. I know most of our friends who bought in the last 3 years are paying a lot more.

Oh and that’ll be on a 30 year term. We’re moving half an hour away to be able to afford that too, but can’t go further due to work/childcare etc

Ours at the moment is £700. We managed to get one of the last cheaper ones a few months ago to start in November and it is £900 a month. We have the extra. But looking now we would be paying more if we hadn’t got it that day.

for context we live in a four bed bungalow.

I think so, location dependant. In SE London you need at least £325K for even a bog standard two bed flat, which comes out at around £1900 a month repayment.

Not in my world - ours has just gone up to £330 a month!

Ours is £627, we bought the cheapest house on the street during brexit so got a good deal. We have a five year fix at 2.4% which ends in 2026, so expecting it to increase somewhat then. I don’t really know anyone paying over 2k, but I do live in the midlands.

Can I join your world please ;)

We’re also in Surrey in an average 3 bed Victorian semi. Paying 1600 on a similar size mortgage because we managed to fix for 5 years on 3.2% just as the mortgage rates were rising. We’d be paying around 2k if we hadn’t.

My son and his partner are buying

They are buying a 3 bed 2 bath house in the southwest
big deposit of around 90k
mortgage is around 220k
I think the mortgage will be around 1200 a month on a 4.8 five year fix they got a decent rate as they had a big deposit with Halifax

To rent the same house would easily cost them around 16-1700 a month so they are much better off buying it than renting

Their flat mate who lives with them at the moment is going to move in with them when they move as a lodger as they all get on with each other and there plan was always to have a lodger for a few years anyway .

Looking at a calculator at 6.5% that's a 300,000 mortgage.
While that may be small in parts of the SE, it is huge inother parts of the country.
I'd be pretty astounded if anyone on our estate has a mortgage of that amount (4 bed detached with double garage being about as big as it gets, currently on the market for 345k)

@Startrekkeruniverse

We do live in a cheap area - our house was only 60k for a two-bed terrace with a garden, garage and off-road parking.

But our town often comes up on the "shitholes of England" threads so it's swings and roundabouts 😂

We are paying roughly £500 a month extra for an extra £100k borrowing, still a totally under £2k a month.

Mine is just over 2k on a 2.8% fix. We're fixed for another 5 years so hopefully lots will have changed by then. Will probably downsize rather than pay 4k a month.

I'd say yours is a little more than normal but certainly £1.5k per month is the norm here (Cambridgeshire) on modest 3 bed homes.

We pay that for ours and we are luck to still have 3yrs left on our fix at 1.9%!

Ours is going up from £750 to £1050 a month. It's a huge increase but there is also a rental crisis in the area. Before we bought we were in a rented 2 bed flat for £900 a month (mortgage is on a 3 bed semi) so very much better off with the mortgage. The same flat recently went up for £1200 a month, and houses around us are up for rental at between £1400 and £2500 a month. Purchase prices don't seem to be falling either.

Mortgage is going to hurt, but renting at the moment here still likely to hurt more!

Yes, at the risk of sounding like a Viz Top Tip, you too could have a small mortgage by living in a small house in an unpopular area.

Even at today's prices and rates, you could buy my house and your mortgage payment would be £870 pm (£15k deposit, interest rate 6%, 25 year term, purchase price £150k) for a small 2 bed semi on a quiet council estate on the edge of green belt a few miles outside Leeds.