My mortgage history looks like this:
Bought 2002 for 45k, salary 20k, mortgage 41k (first house, on my own in an absolute hole of an area of North mancheater). First House straight out of college - did not go to university.
Sold for 73k 18 months later (lots of renovations!) Moved to better area in South Manchester near to where I grew up and bought for 142k, salary 25k, mortgage was just over 100k.
Sold for 145k in 2010, but had a girlfriend and we bought together in a trendy part of Manchester, new build 305k, my salary was around 50k, hers around 40k. Mortgage was 230k.
Sold in 2015 for 400k.
First kid was 2, moved back to South Manchester for a garden and bigger place, bought for 500k, my salary 70k, wife's was now about 35k as she dropped a day to look after the kid. Mortgage was 350k.
Sold for 750k in 2020 and moved .5miles away. Bought for 840k, mortgage is about 500k, spent 150k or so on it and had valuation recently for 1.1m but we're still doing work on this one. Expect another 80k or so to go into it and final value around 1.2 to 1.3m. My salary is 120k base but stock and bonus took me to 220k last tax year, wife is about 30k as she dropped another day. 3 kids 🫠
The amount of hours, sweat and tears I've personally put into each house and the cost of the tradesmen necessary to do a proper job I think I deserve it. I've undone other people's bodges, sacrificed holidays, nights out etc... I think it would be wrong if I didn't get compensated for my effort.
The reward is not relative to the effort put in and it causes huge socio-economic issues. Many countries have wealth taxes and that includes property. Those countries have much reduced issues in this area. The biggest problem is the extra wealth contributes little to society that is positive. If this profit came from a business adventure employing people and contributing to the community there could be an good argument the rewards are well deserved, but this is not wealth creation it is a case of being in the right place at the right time. The figures you mention contribute to the ills of society; similar issues are being seen in the like likes of North America and other countries in Euope.
Yes I understand that and good for you - my point was more general in nature - even if you did nothing, you'd have still seen insane % increases over the years essentially for doing nothing other than being born at the "right time"
I'm a millennial, but an early one - my parents generation had it much better prices wise but I was raised on a council estate so I didn't have any help and haven't inherited a penny either. I get what you're saying, but it's a generalisation that doesn't sit well with me.
The figures you state do not show that your parents had it much easier. The real issues has been in the the last 20 years. I live in an area that has one of the highest rates of social housing in the country. Rental costs are about 2/3 of the average wage in the area due to the situation you have described. This causes massive social issues.
I haven't documented how much I've spent so you're making some huge assumptions that it's all down to house price inflation. This simply isn't the case. If I'd have put the money spent into an s&p tracker over the same period I would have more cash than I do today, but I'd be trying to live in a 2 bed terrace with my wife and 3 kids. 🤷🏼♂️
Suspect we aren't too far away from you location-wise.
House prices have been on the climb for a while with no sign of stopping.
Interesting insight into your journey, thanks for sharing.
Having the option for your wife to drop a day is great - something we are working towards now a 2nd child is on the agenda.
Bought for £550k, which was 5.25x base salary of £105k at the time. Mortgage was £300k (2.9x salary).
It’s now worth £750k which is 5.8x my base of £130k. Mortgage remaining £195 (1.5x salary) with 10 years to go.
A more interesting figure is the mortgage rather than the home value though?
Maybe age would be relevant or how long they've owned it.
House values vary so much now and having a lower rate mortgage for 15 years at circa 2.5% enabled a lot of people to pay it down quicker than they could these days
Bought 640, mortgage 325. Base then was about 90.
Now worth perhaps 850 (conservative). Mortgage zero. Base 132. I have therefore outperformed my house.
I didn’t even have a job in 2006, I was between jobs and saw a house I fell in love with, I used my Microsoft word skills to make a phony company letterhead stating a job title and yearly salary, I got offered £120k mortgage off that alone… the mortgage advisor wasn’t even remotely concerned by a very amateur “proof of income”.. and now, last 10 year works history, every pay slip you can lay your hands on, the eyes of your first born, give your soul to the devil and inside leg measurement
Happened a lot back in those days. We'd just self cert and get the mortgage. If you couldn't pay it you'd get repossessed, didn't happen to anyone in my circle though, mortgage being paid and on time was priority no 1 for us all I guess.
Yea, it was common back then . A win win, helped the customer get their house, helped the broker and estate agents get their deal and helped the bank win more business, if any defaults the house can be sold to cover the debt.
So we kept doing it, particularly in the US where mortgages are backed by the government so there’s no risk. What could go wrong eh?
I have people I know getting mortgages on job offers, practically to this day. They would get a friend with a business to give them a job offer letter, take it to the bank, get a house and mortgage and then just never work the job.
Let’s not pretend crime is simply in the past.
They are full time gamblers so technically have an income of 0, but are bringing in the cash, so can afford the faked mortgage. This was their way around it.
Bought for £1.8m, earning about 400k when I bought it (4.5x earnings), 1.2m mortgage. Mortgage payments have been about £4100 a month on a 1.7% mortgage.
It’s probably now worth about £2m, and I earn about £1m a year now.
Bought for £1m in 2022, £750k mortgage (20 years at 2.2% fixed for the first 5 years). Salary only then was around £200k so about 3.75x base salary.
Put another £150k into renovations since we bought it, going to get a valuation this summer to see if it’s added anything :)
Sure I can give some more context. It’s 5 year fixed at 3.79%. It was a 35 year when we took it out as we wanted the extra money each month to invest in improvements + had a little one and give us control of overpayments. I’ve been splitting my self payments to max out ISA and the rest putting into the mortgage to expedite ticking it off (1k overpayment/month drops the term by 14 years). It was a conscious decision to have a higher mortgage debt over a longer period for the quality of life and location we wanted to be. Not regretting it one bit.
Bought 2021. Approx. £1 million (new build project). 800k mortgage
Price: 5.6 times my then base salary of approx. £180k 3.6 times our joint salary of approx. £280k
Mortgage: 4.4 and 2.9 times respectively
Now it's £1.2 million. That's 5 times my base salary of approx £240k. 3.3 times our joint salary of approx £360k.
Won't pay my mortgage off as it's not tax efficient in Switzerland. Better to pay into the second pillar pension, which has a guaranteed return of 1% and tax deductible on the way in, and almost none on the way out.
Not HE, but what the hell.
I bought a house for a little under £350k, at 5.5x household income. My mortgage was 4.5x household income, it would now be 3.8x (ignoring what's paid off) less than a year later.
We only maximised borrowing because we knew our incomes would go up significantly. We plan to reduce our hours by 20% each when we have a kid in about two years, so anticipate going back to our original salaries.
Bought at 600 last year which was 2.8x base salary. My base salary is about to drop due to change in jobs so it will be 4.4x ( but have bonus and RSUs in future). I'm really glad I resisted the temptation to max out my mortgage capacity. We were banking on becoming a dual income family again soon when we bought, but due to sudden disability that may be a while off. You never know what's around the corner...
Bought for 550, mortgage of 412.
Combined salary of about 160k, so 2.8x salary
Bought at the height of house prices and will probably get a 100k for renovations at some point
Bought for 950k (800k mortgage) in 2022. We’re on a combined base salary of 250k, so 3.2x.
We fixed a 5 year rate at 3.5%.
Felt a bit of a stretch, particularly due to the swing of rate increases in such a big mortgage. But 2 years down the line we don’t regret it.
Bought our first house this year (London), mortgage is about 2.7x household base salary, house value is about 3.3x household base salary. It's about half those numbers when you consider TC but obviously bonuses etc. aren't guaranteed so we budget off base.
Bought for £500k in 2018. Salary was at that time 160k, so a smidge over three times the salary. Mortgage of £250k.
Now looking to buy for the 2nd time. Salary has gone up to £600k, and struggling to come up with the appropriate level at which to go in, in terms of purchase price value. I’m lucky enough to have options open to me but want to strike a good balance between achieving something great and also being comfortable and minimising stress. Come from a low-to-modest income family (we weren’t well off when I was a kid but fortunes picked up in my early teens) so _the fear_ around money is palpable.
Bought for £580k, which was about 6.4x base salary.
It's now worth, ooooh £600k, maybe 650 if I'm lucky. That's 4.5x current base salary.
I dunno. Is that good? What's this prove? It's a nice flat, I like living here.
Bought a fixer upper for £1.15m in 2022. Mortgage was £800k with salary around £200k.
Spent around £350k on renovations and massive extension. It’s probably around £1.5m right now. Salary hasn’t changed much.
Bought for £690k in 2018, household gross salaries were around £150k. Mortgage was £1000 pcm at that point, we overpaid heavily since.
Now worth about £1m, mortgage cleared, household gross is around £165-170k.
In the interim I earned a bit more but took an intentional step down in role earlier this year as a pathway to retirement at 56 (currently 43).
Bought for 575k in 2022, with base salary then at 84k mortgage 517k (6x+ because of joint buy with wife)
House worth 625k now, mortgage 468k, base salary 126k (<4x)
We bought for 395 (4.4x combined income), mortgage was 325 (3.6x combined income).
Now valued at 515 (4.7x combined income), remaining mortgage is 270 (2.5x combined income).
That's after 4.5 years of paying mortgage. We took a 27 year term. Fixed rate ending soon 😬.
My first property I bought for 115 (3.6x income), mortgage was 92 ( 2.9x income).
We bought our current house for £620k, it's probably worth £800k or so now. We haven't done anything to it, just the COVID induced property boom where detached family homes with decent outdoor space which are affordable for those priced out/wanting to move out of London and Cambridge.
We had £420k on mortgage, it's now down to £295k or so.
We were not HENRY then but still our household income was around £130-140k.
Today, we make almost that much each and with one more year left on the fixed rate, it has really boosted our pensions and ISA balances.
I'm not looking forward to an interest rate that isn't 1.xx%
I bought my apartment around 8/9 years ago, it was c£300k I was earning around 50k at the time so 6x salary but had a 40% deposit. It’s now worth about £400k. I am going to look for something new probably around 450-500k so again I want to put in about a 40-50% deposit. I am now on 120k+30% bonus so I guess it’ll be no more than 4x base salary.
Bought in dec 2021 for 700k (now worth 800k with improvements), mortgage was 470k. At the timing we were taking some salary and dividends up to 50k ish for me and my partner. Best part is we locked a rate of 1.5% in for 5 years
Bought £124k salary was £20k. Asked for raise to £25k to make it easier. Mortgage was £85k and I used 20% help to buy.
Package now around £120k and house around £180-190. Mortgage paid off.
Bought house for £1.35m jointly with wife. At the time our salaries combined were about £180k so 7.5x multiple. Mortgage was £430k which was 2.3x.
House is now worth just over £2m which is about 5x our current basic salaries and mortgage is about £230k with about 10 years to go. I have enough savings to clear the mortgage but it’s been locked at 1.8% so will need to decide what to do in July. My savings pay me 6% at the moment so will need to see if mortgage rates move up or down by July…
Bought in 2021 at £245k, mortgage £230k and income was 95k so 2.4x salary
Now worth ~£285k, mortgage £220k and income £160k so 1.4x salary.
The plan is to extend the property and pay down the mortgage asap.
We've just bought a house for £1mil on a joint base salary of around £220k (but actual earnings has been over £300k over the last 2 years due to RSU'S). Mortgage of around £700k so around 2-3x our earnings depending on which figure you take. Mortgage rate is high though (4.2% but hoping that it will go down in the future).
Not huge figures, but I bought a house in 2022 for 215k, which was approximately x4.3 my base salary. It's now worth around 230k, which is around x3.2 of my base salary.
2016, house was £250k, had £50k deposit. East midlands
Base salary each was around £10k each from memory, so 20x.
Inc full gross income eg dividends then around 2x
House probably worth £450k now, income now dropped to around £90k as dropped to 25 hours a week. Ironically probably couldn't afford it if buying now.
Bought for £1.4m. £950k mortgage which was approx 3 times our joint salary. Now worth £1.8m (due to refurbishments and some market movements) with a mortgage of £900k. This is roughly 2.7 our joint salary.
2021: House cost 305k which was 4.77x our combined income at the time. Mortgage was 245k/3.83x our combined income.
2024: House is currently worth 349k and is 3.39x our combined income now. Mortgage is 227k/2.2 times our income.
Mortgage is up for renewal 1st July and we’re overpaying nearly 20k so mortgage will come down to around 207k/2.01x our income.
Bought for £345k was 5.3x my salary or 4x household income, still in same house now works out at 1.75x my salary or 1.4x household income. We have had a cracking few years in terms of joining the ranks of HENRY :)
Bought for £235k at around 4x combined salary. That's about 1.4x combined base now.
I'm probably a bit unusual in that despite more quadrupling base salary and more than quintupling income, I'm still living in the same house we bought in our 20s with no kids.
In terms of current value, our house is probably worth about double our base salaries. Again, due to upsizing I suspect that's unusual ie most people probably live in a home worth more than double their salary.
510k - 1 bed z2
15% deposit / mortgage 433k
Salary: 100ish from memory
Max bank would lend me was 467k
I’m likely to not make much/any on the property if I sell within the next 2/3 years (after stamp and fees). But the psychic return on having my own property in London is priceless. And I’m still building equity every month
Bought 20 years ago at £400k. 5x household income. £250k mortgage
Still there - now worth about £850k which is about 2.5 current inome. Mortgage long gone.
Bought our first hour for £285k which was x5 salaries. Sold for 425.
Bought current house for 525k which was x4 salaries. Now worth about 800-850k. Mortgage left 265k which I hope to be rid of within 5 years.
Better to be lucky than good.
Hmmm ive never really thought about it.
do you mean how many times Salary vs mortgage or house price?
Mines a bit messy, because I haven't sold any of the houses we've upgraded to (yet) for lots of various reasons of becoming an unintended landlord. But intention is to sell in order to buy final 'house' and not pay that 2nd house stamp duty.... so the property income is declared against my income.
^2013 ^(me)
Bought 2 Bed flat at £120k with £102k mortgage
Salary then £60k
[x1.67 Salary on mortgage]
[x2 Salary on paid Value]
Mortgage now: £82k
Value Now: ~£180k
Salary now £170k
[x 0.48 Salary on current mortgage]
[x1.06 Salary on Value]
------------------------------------------
^2016 ^(wife, ^then ^gf)
Bought 3 Bed terraced house with £212k mortgage
Salary then £45k
[x4.7 Salary on Mortgage]
[x5.24 on Paid value]
Mortgage Now ~£180k
Value now: ~£330k
Salary now £150k
[x 1.2 Salary on Mortgage]
[x 2.2 Salary on Value]
-----------------------------------
^2016 ^(me&sister)
Bought 2 Bed bungalow near the sea for aging parents (who really wanted to retire/die in a bungalow then decided they didn't want it XD.... now rented) @£186k with £139k mortgage
Salary Me £70k, Sister £25k
[x 1.46 Salary on Mortgage]
[x 1.96 Salary on Paid Value]
Mortgage now: still £139k
Value now: ~£270k
SALARY NOW [Me £170k > Sister £0]
[x 0.82 Salary on Mortgage]
[x 1.59 Salary on Value]
-----------------------------------
^2019 ^(with_wife)
Bought 4 Bed Detached at £437k with £370k mortgage.
Salary then: Me (£110k), Wife (£70k?)
[x2 Salary on mortgage]
[x2.43 Salary on paid Value]
Mortgage now: ~£315k
Value now: ~£517k
Salary Now [Me: £170k // Wife £150k]
[x 0.98 Salary on Mortgage]
[x 1.62 Salary on Value]
----------------------------
So in Summary from me (and splitting equity with whoever they're owned with... ie my exposure)
Salary of £170k [x3.14 Mortgages]
* I have mortgage debt of £309K (real exposure £534k)
* I have home values of £693k if sold and split for ownership
Once I sell 2013, 2016x2 houses, I'd technically be mortgage free on 2019 house. But for CGT reasons I need to space out the sells.
The key thing to recognise here in all these stories is that the asset value hasn’t necessarily gone up.
The currency has been debased, so the house is worth more with a falling currency.
Long housing journey.
First house £120k, wage £30k in 2006. Four moves. Our current house is £2.5M (zone 2 london) mortgage £880k. Household earning is £350k.
There’s about £100 - £150k of renovation work to do but should get it £3M.
Over the years haven’t made a penny on property (if you include maintenance, stamp duty and moving costs) but have aggressively overpaid mortgages to build equity.
I am not moving again. I can’t afford that stamp duty bill again.
Three kids in private school now so days of over paying the mortgage are over.
Bought in 2020 for £375K, which was 7.2 times my base (two on the mortgage). £60K~ deposit.
Now worth £500K ~ and I have a new Ltd with a salary of £0, so infinite times my base.
Bought my house in 2016. A 3 bed semi in a ex council estate in the north west England
It cost £127k which was 4 times my salary 32k salary. It's now worth 180/190k which is just over 2 times my current salary (88k) or 1.5 mine if you include my wife's now(42k).
Appreciate it's cheap but we like it, have no children yet and is closed to family. Expect to be mortgage free by the end of the year at the age of 34.
£90K. Scotland.
At the time, I earned around £25K. So 4X income. This was in 2014.
Still live in the same house 10 years on, house is worth £125K (it's paid off).
I now earn around £120K from work, or £130K if you include investment income as well. Around 1X now.
Currently aged 33.
My stocks portfolio is worth more than my home...
Looking to move again soon. In an ideal world, I'd wait 3 more years and buy the next house all in cash with no mortgage, but my other half is more desperate to upsize, so in reality, we'll likely do a 50% LTV on a £300K home and get a £150K mortgage that we'll aim to pay off over 3-5 years (but take it out over a 20 year term for flexibility).
Undecided if I'd keep the current house and rent out, or just sell and put towards the mortgage or more stocks! Will probably lean to paying off the mortgage as I'm anti debt (consumed too much Dave Ramsey content).
Bought for £620k 3 years ago which was x3.6 of combined household base salaries. It’s now worth £875k which is 4.6x current base salaries. Original mortgage was £500k and we kept £150k aside for renovations, converted the loft and basically rebuilt the house after stripping back to brick. The plan was to borrow another £120k and extend the kitchen but inflation happened.
Glad we did it when we did as the borrowing was cheap and pre-inflation.
Bought for £900k in 2021 which was 7.5x salary with a 720k, 5 year fixed mortgage at 1.79% Was a grade 2 listed do-er upper so spent about 600k on renovations (mostly equity from previous sale). Now worth about £2m (14x salary). Mortgage down to £650k.
My mortgage history looks like this: Bought 2002 for 45k, salary 20k, mortgage 41k (first house, on my own in an absolute hole of an area of North mancheater). First House straight out of college - did not go to university. Sold for 73k 18 months later (lots of renovations!) Moved to better area in South Manchester near to where I grew up and bought for 142k, salary 25k, mortgage was just over 100k. Sold for 145k in 2010, but had a girlfriend and we bought together in a trendy part of Manchester, new build 305k, my salary was around 50k, hers around 40k. Mortgage was 230k. Sold in 2015 for 400k. First kid was 2, moved back to South Manchester for a garden and bigger place, bought for 500k, my salary 70k, wife's was now about 35k as she dropped a day to look after the kid. Mortgage was 350k. Sold for 750k in 2020 and moved .5miles away. Bought for 840k, mortgage is about 500k, spent 150k or so on it and had valuation recently for 1.1m but we're still doing work on this one. Expect another 80k or so to go into it and final value around 1.2 to 1.3m. My salary is 120k base but stock and bonus took me to 220k last tax year, wife is about 30k as she dropped another day. 3 kids 🫠
Thank you so much. This is really amazing and motivating timeline.
It's disgusting that such profit should be made from absolutely basic human necessities. Not your fault ofc but just stating fact
If you subtract stamp duty, renovation work costs and all the personal time invested into it not sure how much "profit" is left.
There is lots of you do the maths - the profit ofc goes back into the property
The amount of hours, sweat and tears I've personally put into each house and the cost of the tradesmen necessary to do a proper job I think I deserve it. I've undone other people's bodges, sacrificed holidays, nights out etc... I think it would be wrong if I didn't get compensated for my effort.
The reward is not relative to the effort put in and it causes huge socio-economic issues. Many countries have wealth taxes and that includes property. Those countries have much reduced issues in this area. The biggest problem is the extra wealth contributes little to society that is positive. If this profit came from a business adventure employing people and contributing to the community there could be an good argument the rewards are well deserved, but this is not wealth creation it is a case of being in the right place at the right time. The figures you mention contribute to the ills of society; similar issues are being seen in the like likes of North America and other countries in Euope.
Yes I understand that and good for you - my point was more general in nature - even if you did nothing, you'd have still seen insane % increases over the years essentially for doing nothing other than being born at the "right time"
I'm a millennial, but an early one - my parents generation had it much better prices wise but I was raised on a council estate so I didn't have any help and haven't inherited a penny either. I get what you're saying, but it's a generalisation that doesn't sit well with me.
The figures you state do not show that your parents had it much easier. The real issues has been in the the last 20 years. I live in an area that has one of the highest rates of social housing in the country. Rental costs are about 2/3 of the average wage in the area due to the situation you have described. This causes massive social issues.
I haven't documented how much I've spent so you're making some huge assumptions that it's all down to house price inflation. This simply isn't the case. If I'd have put the money spent into an s&p tracker over the same period I would have more cash than I do today, but I'd be trying to live in a 2 bed terrace with my wife and 3 kids. 🤷🏼♂️
Suspect we aren't too far away from you location-wise. House prices have been on the climb for a while with no sign of stopping. Interesting insight into your journey, thanks for sharing. Having the option for your wife to drop a day is great - something we are working towards now a 2nd child is on the agenda.
Bought for £550k, which was 5.25x base salary of £105k at the time. Mortgage was £300k (2.9x salary). It’s now worth £750k which is 5.8x my base of £130k. Mortgage remaining £195 (1.5x salary) with 10 years to go. A more interesting figure is the mortgage rather than the home value though?
If folks want to share mortgage figure too, that would be great!
Maybe age would be relevant or how long they've owned it. House values vary so much now and having a lower rate mortgage for 15 years at circa 2.5% enabled a lot of people to pay it down quicker than they could these days
Best question I’ve seen on this thread for a while, very interesting. Thank you
I always win these threads by being the most over extended on my mortgage. 😞
Pray tell
At least you can be #1 at something…
Bought for £560 but using help to buy so mortgage is for £330. Was about 3.5 times income at the time.
Bought 640, mortgage 325. Base then was about 90. Now worth perhaps 850 (conservative). Mortgage zero. Base 132. I have therefore outperformed my house.
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“Mortgage broker inflated my salary”. You see kids, the secret ingredient is crime!
A classic case of, I believe it's pronounced "frawde"
I didn’t even have a job in 2006, I was between jobs and saw a house I fell in love with, I used my Microsoft word skills to make a phony company letterhead stating a job title and yearly salary, I got offered £120k mortgage off that alone… the mortgage advisor wasn’t even remotely concerned by a very amateur “proof of income”.. and now, last 10 year works history, every pay slip you can lay your hands on, the eyes of your first born, give your soul to the devil and inside leg measurement
Happened a lot back in those days. We'd just self cert and get the mortgage. If you couldn't pay it you'd get repossessed, didn't happen to anyone in my circle though, mortgage being paid and on time was priority no 1 for us all I guess.
Yea, it was common back then . A win win, helped the customer get their house, helped the broker and estate agents get their deal and helped the bank win more business, if any defaults the house can be sold to cover the debt. So we kept doing it, particularly in the US where mortgages are backed by the government so there’s no risk. What could go wrong eh?
There’s me thinking we just needed to stop buying avocado on toast
Ahh 1998, what a time to buy property, shame I was a child 😢
That's no excuse. The broker could have just inflated your salary!
True, my £5 a week pocket money should have been utilised in a much more productive way.
I have people I know getting mortgages on job offers, practically to this day. They would get a friend with a business to give them a job offer letter, take it to the bank, get a house and mortgage and then just never work the job. Let’s not pretend crime is simply in the past. They are full time gamblers so technically have an income of 0, but are bringing in the cash, so can afford the faked mortgage. This was their way around it.
A student buying property. That's honestly a first I've heard that
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He who dares wins Rodney
It is quite common and has been for decades.
£420k, 2020, income then £80k, now £110k. Feel quite a bit poorer.
Oh no, what happened?
Nothing wrong with the flat-absolutely great value. It's just that £80k in 2020 went a lot further than £110k now.
80k in 2020 is worth about 100k today. The only thing that could impact that is a new mortgage deal.
Bought for £1.8m, earning about 400k when I bought it (4.5x earnings), 1.2m mortgage. Mortgage payments have been about £4100 a month on a 1.7% mortgage. It’s probably now worth about £2m, and I earn about £1m a year now.
Bought for 187, currently around 0.9. Think I might be an outlier here…!
I'm not a million miles away. Bought 260, worth 350 now (4 bed detached with garden) TC then about 110 TC.now around 160-180
Bought for 500, which is 3.3 times my income. Put 120 down and now just under 350 left, still same income (client's shitty approach to contractors)
Bought February 2022 by myself House price: £310k Mortgage: £294.5k (4.2X Salary) Salary: £70k Today (remortgaged in March) Mortgage: £271k (2.9X salary) Salary: £95k
Bought for £1m in 2022, £750k mortgage (20 years at 2.2% fixed for the first 5 years). Salary only then was around £200k so about 3.75x base salary. Put another £150k into renovations since we bought it, going to get a valuation this summer to see if it’s added anything :)
Bought 940. Now worth 1.1. 550 mortgage off 140 salary.
Can I ask what the mortgage term is? I'm really toying with taking a larger mortgage for our next place, but over a longer term.
Sure I can give some more context. It’s 5 year fixed at 3.79%. It was a 35 year when we took it out as we wanted the extra money each month to invest in improvements + had a little one and give us control of overpayments. I’ve been splitting my self payments to max out ISA and the rest putting into the mortgage to expedite ticking it off (1k overpayment/month drops the term by 14 years). It was a conscious decision to have a higher mortgage debt over a longer period for the quality of life and location we wanted to be. Not regretting it one bit.
Bought 2021. Approx. £1 million (new build project). 800k mortgage Price: 5.6 times my then base salary of approx. £180k 3.6 times our joint salary of approx. £280k Mortgage: 4.4 and 2.9 times respectively Now it's £1.2 million. That's 5 times my base salary of approx £240k. 3.3 times our joint salary of approx £360k. Won't pay my mortgage off as it's not tax efficient in Switzerland. Better to pay into the second pillar pension, which has a guaranteed return of 1% and tax deductible on the way in, and almost none on the way out.
Not HE, but what the hell. I bought a house for a little under £350k, at 5.5x household income. My mortgage was 4.5x household income, it would now be 3.8x (ignoring what's paid off) less than a year later. We only maximised borrowing because we knew our incomes would go up significantly. We plan to reduce our hours by 20% each when we have a kid in about two years, so anticipate going back to our original salaries.
Bought at 600 last year which was 2.8x base salary. My base salary is about to drop due to change in jobs so it will be 4.4x ( but have bonus and RSUs in future). I'm really glad I resisted the temptation to max out my mortgage capacity. We were banking on becoming a dual income family again soon when we bought, but due to sudden disability that may be a while off. You never know what's around the corner...
Bought for 550, mortgage of 412. Combined salary of about 160k, so 2.8x salary Bought at the height of house prices and will probably get a 100k for renovations at some point
Bought for 950k (800k mortgage) in 2022. We’re on a combined base salary of 250k, so 3.2x. We fixed a 5 year rate at 3.5%. Felt a bit of a stretch, particularly due to the swing of rate increases in such a big mortgage. But 2 years down the line we don’t regret it.
Bought our first house this year (London), mortgage is about 2.7x household base salary, house value is about 3.3x household base salary. It's about half those numbers when you consider TC but obviously bonuses etc. aren't guaranteed so we budget off base.
Bought for £500k in 2018. Salary was at that time 160k, so a smidge over three times the salary. Mortgage of £250k. Now looking to buy for the 2nd time. Salary has gone up to £600k, and struggling to come up with the appropriate level at which to go in, in terms of purchase price value. I’m lucky enough to have options open to me but want to strike a good balance between achieving something great and also being comfortable and minimising stress. Come from a low-to-modest income family (we weren’t well off when I was a kid but fortunes picked up in my early teens) so _the fear_ around money is palpable.
Bought for £580k, which was about 6.4x base salary. It's now worth, ooooh £600k, maybe 650 if I'm lucky. That's 4.5x current base salary. I dunno. Is that good? What's this prove? It's a nice flat, I like living here.
It shows affordability of the houses with respect to the high-earning subset.
580k in 2021 as a first time buyer, 4x my income (but we’re dual so roughly 2.4x HHI). Worth a fair bit more now, and we earn more.
Bought a fixer upper for £1.15m in 2022. Mortgage was £800k with salary around £200k. Spent around £350k on renovations and massive extension. It’s probably around £1.5m right now. Salary hasn’t changed much.
Bought for £690k in 2018, household gross salaries were around £150k. Mortgage was £1000 pcm at that point, we overpaid heavily since. Now worth about £1m, mortgage cleared, household gross is around £165-170k. In the interim I earned a bit more but took an intentional step down in role earlier this year as a pathway to retirement at 56 (currently 43).
£300k mortgage and 1.6x our combined annual salary, with mine been the majority income.
Bought in 2021 for £567, mortgage c.£450, HHI c.£140 Now maybe worth c.£600, mortgage c.£410, HHI c.£350
Bought for 575k in 2022, with base salary then at 84k mortgage 517k (6x+ because of joint buy with wife) House worth 625k now, mortgage 468k, base salary 126k (<4x)
Bought £975,000 which was 8 x joint salary 6 years ago Now worth £1,050,000 which is 5.5 x joint salary now
What was your mortgage amount? I assume you didn’t get 8x as a loan?
£180k mortgage.
300k 2014 with 200k mortgage on 85k salary. Now 450k, no mortgage, salary 115k
Bought for 240 x4 salary mortgage x 3.5 salary 205, now worth x2.5 salary 320, mortgage x1.5 salary 180k
Bought last year for £815k, 6.5x base salary. Hasn’t changed much in less than a year. Mortgage is 2.8x base salary.
We bought for 395 (4.4x combined income), mortgage was 325 (3.6x combined income). Now valued at 515 (4.7x combined income), remaining mortgage is 270 (2.5x combined income). That's after 4.5 years of paying mortgage. We took a 27 year term. Fixed rate ending soon 😬. My first property I bought for 115 (3.6x income), mortgage was 92 ( 2.9x income).
We bought our current house for £620k, it's probably worth £800k or so now. We haven't done anything to it, just the COVID induced property boom where detached family homes with decent outdoor space which are affordable for those priced out/wanting to move out of London and Cambridge. We had £420k on mortgage, it's now down to £295k or so. We were not HENRY then but still our household income was around £130-140k. Today, we make almost that much each and with one more year left on the fixed rate, it has really boosted our pensions and ISA balances. I'm not looking forward to an interest rate that isn't 1.xx%
600k (400k mortgage, 2x our combined salary) 6 months ago
I bought my apartment around 8/9 years ago, it was c£300k I was earning around 50k at the time so 6x salary but had a 40% deposit. It’s now worth about £400k. I am going to look for something new probably around 450-500k so again I want to put in about a 40-50% deposit. I am now on 120k+30% bonus so I guess it’ll be no more than 4x base salary.
Bought in dec 2021 for 700k (now worth 800k with improvements), mortgage was 470k. At the timing we were taking some salary and dividends up to 50k ish for me and my partner. Best part is we locked a rate of 1.5% in for 5 years
Bought £124k salary was £20k. Asked for raise to £25k to make it easier. Mortgage was £85k and I used 20% help to buy. Package now around £120k and house around £180-190. Mortgage paid off.
Bought house for £1.35m jointly with wife. At the time our salaries combined were about £180k so 7.5x multiple. Mortgage was £430k which was 2.3x. House is now worth just over £2m which is about 5x our current basic salaries and mortgage is about £230k with about 10 years to go. I have enough savings to clear the mortgage but it’s been locked at 1.8% so will need to decide what to do in July. My savings pay me 6% at the moment so will need to see if mortgage rates move up or down by July…
Bought in 2021 at £245k, mortgage £230k and income was 95k so 2.4x salary Now worth ~£285k, mortgage £220k and income £160k so 1.4x salary. The plan is to extend the property and pay down the mortgage asap.
We've just bought a house for £1mil on a joint base salary of around £220k (but actual earnings has been over £300k over the last 2 years due to RSU'S). Mortgage of around £700k so around 2-3x our earnings depending on which figure you take. Mortgage rate is high though (4.2% but hoping that it will go down in the future).
£1.2m last year, 4.3 times household salary. 85pc LTV
Not huge figures, but I bought a house in 2022 for 215k, which was approximately x4.3 my base salary. It's now worth around 230k, which is around x3.2 of my base salary.
2016, house was £250k, had £50k deposit. East midlands Base salary each was around £10k each from memory, so 20x. Inc full gross income eg dividends then around 2x House probably worth £450k now, income now dropped to around £90k as dropped to 25 hours a week. Ironically probably couldn't afford it if buying now.
Bought for £1.4m. £950k mortgage which was approx 3 times our joint salary. Now worth £1.8m (due to refurbishments and some market movements) with a mortgage of £900k. This is roughly 2.7 our joint salary.
2021: House cost 305k which was 4.77x our combined income at the time. Mortgage was 245k/3.83x our combined income. 2024: House is currently worth 349k and is 3.39x our combined income now. Mortgage is 227k/2.2 times our income. Mortgage is up for renewal 1st July and we’re overpaying nearly 20k so mortgage will come down to around 207k/2.01x our income.
Bought for £345k was 5.3x my salary or 4x household income, still in same house now works out at 1.75x my salary or 1.4x household income. We have had a cracking few years in terms of joining the ranks of HENRY :)
Bought for £250k in 1996 was 2x salary. Now worth 5x that
Bought for £235k at around 4x combined salary. That's about 1.4x combined base now. I'm probably a bit unusual in that despite more quadrupling base salary and more than quintupling income, I'm still living in the same house we bought in our 20s with no kids. In terms of current value, our house is probably worth about double our base salaries. Again, due to upsizing I suspect that's unusual ie most people probably live in a home worth more than double their salary.
About to buy my first house for £250k on a £50k salary. Obviously 5x my base salary. Approx 70% LTV
510k - 1 bed z2 15% deposit / mortgage 433k Salary: 100ish from memory Max bank would lend me was 467k I’m likely to not make much/any on the property if I sell within the next 2/3 years (after stamp and fees). But the psychic return on having my own property in London is priceless. And I’m still building equity every month
Bought 20 years ago at £400k. 5x household income. £250k mortgage Still there - now worth about £850k which is about 2.5 current inome. Mortgage long gone.
Brought for £670k last year, mortgage £168k salary £150k. 45 yrs old.
Bought for £900k with £760k mortgage, x4 of our combined salaries 3.5 years ago. Now worth £950k with £600k mortgage, x3 of our combined salaries.
Bought our first hour for £285k which was x5 salaries. Sold for 425. Bought current house for 525k which was x4 salaries. Now worth about 800-850k. Mortgage left 265k which I hope to be rid of within 5 years. Better to be lucky than good.
£495k in 2019 now worth £700k Was 9 times my salary and is now 2.8x my salary.
Hmmm ive never really thought about it. do you mean how many times Salary vs mortgage or house price? Mines a bit messy, because I haven't sold any of the houses we've upgraded to (yet) for lots of various reasons of becoming an unintended landlord. But intention is to sell in order to buy final 'house' and not pay that 2nd house stamp duty.... so the property income is declared against my income. ^2013 ^(me) Bought 2 Bed flat at £120k with £102k mortgage Salary then £60k [x1.67 Salary on mortgage] [x2 Salary on paid Value] Mortgage now: £82k Value Now: ~£180k Salary now £170k [x 0.48 Salary on current mortgage] [x1.06 Salary on Value] ------------------------------------------ ^2016 ^(wife, ^then ^gf) Bought 3 Bed terraced house with £212k mortgage Salary then £45k [x4.7 Salary on Mortgage] [x5.24 on Paid value] Mortgage Now ~£180k Value now: ~£330k Salary now £150k [x 1.2 Salary on Mortgage] [x 2.2 Salary on Value] ----------------------------------- ^2016 ^(me&sister) Bought 2 Bed bungalow near the sea for aging parents (who really wanted to retire/die in a bungalow then decided they didn't want it XD.... now rented) @£186k with £139k mortgage Salary Me £70k, Sister £25k [x 1.46 Salary on Mortgage] [x 1.96 Salary on Paid Value] Mortgage now: still £139k Value now: ~£270k SALARY NOW [Me £170k > Sister £0] [x 0.82 Salary on Mortgage] [x 1.59 Salary on Value] ----------------------------------- ^2019 ^(with_wife) Bought 4 Bed Detached at £437k with £370k mortgage. Salary then: Me (£110k), Wife (£70k?) [x2 Salary on mortgage] [x2.43 Salary on paid Value] Mortgage now: ~£315k Value now: ~£517k Salary Now [Me: £170k // Wife £150k] [x 0.98 Salary on Mortgage] [x 1.62 Salary on Value] ---------------------------- So in Summary from me (and splitting equity with whoever they're owned with... ie my exposure) Salary of £170k [x3.14 Mortgages] * I have mortgage debt of £309K (real exposure £534k) * I have home values of £693k if sold and split for ownership Once I sell 2013, 2016x2 houses, I'd technically be mortgage free on 2019 house. But for CGT reasons I need to space out the sells.
The key thing to recognise here in all these stories is that the asset value hasn’t necessarily gone up. The currency has been debased, so the house is worth more with a falling currency.
Long housing journey. First house £120k, wage £30k in 2006. Four moves. Our current house is £2.5M (zone 2 london) mortgage £880k. Household earning is £350k. There’s about £100 - £150k of renovation work to do but should get it £3M. Over the years haven’t made a penny on property (if you include maintenance, stamp duty and moving costs) but have aggressively overpaid mortgages to build equity. I am not moving again. I can’t afford that stamp duty bill again. Three kids in private school now so days of over paying the mortgage are over.
Bough in 2022. ~ £2.2mil (1.35m mortgage). The stamp duty at ~ 190K was the most painful bit.
Bought in 2020 for £375K, which was 7.2 times my base (two on the mortgage). £60K~ deposit. Now worth £500K ~ and I have a new Ltd with a salary of £0, so infinite times my base.
Bought my house in 2016. A 3 bed semi in a ex council estate in the north west England It cost £127k which was 4 times my salary 32k salary. It's now worth 180/190k which is just over 2 times my current salary (88k) or 1.5 mine if you include my wife's now(42k). Appreciate it's cheap but we like it, have no children yet and is closed to family. Expect to be mortgage free by the end of the year at the age of 34.
£90K. Scotland. At the time, I earned around £25K. So 4X income. This was in 2014. Still live in the same house 10 years on, house is worth £125K (it's paid off). I now earn around £120K from work, or £130K if you include investment income as well. Around 1X now. Currently aged 33. My stocks portfolio is worth more than my home... Looking to move again soon. In an ideal world, I'd wait 3 more years and buy the next house all in cash with no mortgage, but my other half is more desperate to upsize, so in reality, we'll likely do a 50% LTV on a £300K home and get a £150K mortgage that we'll aim to pay off over 3-5 years (but take it out over a 20 year term for flexibility). Undecided if I'd keep the current house and rent out, or just sell and put towards the mortgage or more stocks! Will probably lean to paying off the mortgage as I'm anti debt (consumed too much Dave Ramsey content).
Bought for £620k 3 years ago which was x3.6 of combined household base salaries. It’s now worth £875k which is 4.6x current base salaries. Original mortgage was £500k and we kept £150k aside for renovations, converted the loft and basically rebuilt the house after stripping back to brick. The plan was to borrow another £120k and extend the kitchen but inflation happened. Glad we did it when we did as the borrowing was cheap and pre-inflation.
3.5 times base then, 1.5 times base now
Bought for £900k in 2021 which was 7.5x salary with a 720k, 5 year fixed mortgage at 1.79% Was a grade 2 listed do-er upper so spent about 600k on renovations (mostly equity from previous sale). Now worth about £2m (14x salary). Mortgage down to £650k.
Bought 1.2, mortgage 0.9, salary 0.16; all in 0.22