For a £300,000 house, you’ll need a minimum deposit of £15,000 (5%), though £30,000-£60,000 (10-20%) gets significantly better rates.
Deposit Options for £300K House
| Deposit % | Amount | Mortgage | Best Rate Tier |
|---|---|---|---|
| 5% | £15,000 | £285,000 | Higher rates (~5.5%) |
| 10% | £30,000 | £270,000 | Good rates (~4.5%) |
| 15% | £45,000 | £255,000 | Better rates (~4.2%) |
| 20% | £60,000 | £240,000 | Best rates (~4.0%) |
Monthly Payments by Deposit Size
| Deposit | Mortgage | Monthly Payment (25yr) | Rate |
|---|---|---|---|
| 5% (£15K) | £285,000 | £1,754 | 5.5% |
| 10% (£30K) | £270,000 | £1,503 | 4.5% |
| 15% (£45K) | £255,000 | £1,380 | 4.2% |
| 20% (£60K) | £240,000 | £1,267 | 4.0% |
A 20% deposit saves £487/month compared to 5%.
Total Upfront Costs
| Cost | 5% Deposit | 10% Deposit | 20% Deposit |
|---|---|---|---|
| Deposit | £15,000 | £30,000 | £60,000 |
| Stamp duty (FTB) | £0 | £0 | £0 |
| Stamp duty (mover) | £5,000 | £5,000 | £5,000 |
| Solicitor | £1,700 | £1,700 | £1,700 |
| Survey | £500 | £500 | £500 |
| Arrangement fee | £999 | £999 | £999 |
| FTB Total | £18,199 | £33,199 | £63,199 |
Income Required
| Deposit % | Mortgage | Income Needed (4.5x) |
|---|---|---|
| 5% | £285,000 | £63,333 |
| 10% | £270,000 | £60,000 |
| 15% | £255,000 | £56,667 |
| 20% | £240,000 | £53,333 |
Saving for Your Deposit
| Monthly Savings | Time to £30K | Time to £60K |
|---|---|---|
| £500 | 5 years | 10 years |
| £750 | 3.3 years | 6.7 years |
| £1,000 | 2.5 years | 5 years |
| £1,500 | 1.7 years | 3.3 years |
Using Lifetime ISA adds £1,000/year bonus (up to £4,000 contribution).
Affordability Check (£65K Salary)
Monthly take-home on £65,000 salary: ~£3,756
| Expense | 5% Deposit | 10% Deposit |
|---|---|---|
| Mortgage | £1,754 (47%) | £1,503 (40%) |
| Council Tax | £180 (5%) | £180 (5%) |
| Utilities | £200 (5%) | £200 (5%) |
| Housing % | 57% | 50% |
The 10% deposit option is more sustainable at this income.
Related Guides
Tags:
