How much income do I need to earn for a £1 million mortgage?

Some lenders will accept foreign income and bonuses paid in foreign income for mortgage affordability purposes. However, not all banks and building societies issue foreign-income mortgages. 

These currencies UK lenders consider include: Euro, Australian Dollar, Bulgarian Lev, Canadian Dollar, Croatian Kuna, Czech Koruna, Danish Krone, Hungarian Forint, Japanese Yen, New Zealand Dollar, Norwegian Krone, Polish Zloty, Romanian Leu, Singapore Dollar, Swedish Krona, Swiss Franc and United States Dollar.

Mortgage lenders tend to take a "haircut" and take a per centage off of the income to cover themselves in case of currency fluctuations. 

NatWest for Intermediaries offers a five-year fix at 4.19% for £1 million mortgages. There is a £1,495 arrangement fee and the overall cost for comparison is 6.6% APRC. 

If you borrowed £1 million on the 4.19% five-year fix, the monthly repayments on interest-only would be £3,491.67 increasing to £4,884.34 on capital repayment over a 30-year term.

This mortgage is available on capital repayment or interest-only, and borrowers need a 40% deposit to access the rate. This will also revert to NatWest's standard variable rate of 8.24%, and early repayment charges apply. 

Click here to view our latest large loan best buy table: https://www.trinityfinancialgroup.co.uk/mortgage-tools/million-pound-mortgage-best-buys/

Trinity Financial specialises in arranging £1 million+ mortgages and our team of expert advisers do everything possible to secure the cheapest rates and the fastest mortgage offers. 

More of the lenders have set up specialist lending teams to agree larger mortgage loans, and they have separate processing teams to underwrite applications. 

We regularly work with clients over the phone to discuss applications and confirm the documentation we will require, and we also have Mayfair based offices where we meet clients.

Click on the link to view some of the mortgages we have arranged over the last ten years. https://www.trinityfinancialgroup.co.uk/case-studies/

• You contact one of our consultants by calling 020 7016 0790 or complete our basic enquiry form or mortgage questionnaire for a more detailed initial response.
• You tell us what you are looking for and the property type you want to buy. We assess your mortgage and financial protection needs based on your monthly budget.
• We collect the information and documentation the lenders and providers need.
• Based on the information supplied, we provide you with illustrations of the most suitable products for your circumstances.
• We then submit the application on your behalf to secure a mortgage offer as quickly as possible. This is once you have confirmed you are happy to proceed.
• We manage the application through to completion and liaise between all involved parties, such as valuers, estate agents and solicitors.
• Post-completion, we are available for any questions. When you reach the end of your initial product, we can also discuss any further mortgage, will or financial protection product requirements.

As part of our ongoing service commitment - we will contact you at least three months before your fixed or tracker rate expires to ensure you avoid reverting to an expensive, standard variable rate.

At least 50 banks and building societies provide interest-only mortgages. 

Most of the larger lenders expect borrowers to earn in excess of £75,000 to qualify.

Sometimes the whole mortgage is available on interest-only, or for lower deposit mortgages we regularly arrange for 50% of the mortgage on an interest-only basis and 25% of the loan on capital repayment. 

Private banks regularly ask wealthier clients to make bullet repayments and they are linked with their bonuses to bring the loan-to-value down. These repayments are written into the mortgage contract.

If you earn over £250,000 one bank provides full interest-only for those with a 25% deposit.  

Smaller lenders are offering interest only to applicants with lower incomes who use the sale of the property as their repayment vehicle. 

Remember, you need a plan to repay the mortgage or the outstanding balance will remain the same. Part interest and part capital repayment mortgages are often a better option.

Trinity Financial's brokers have access to a range of lenders offering high-net-worth clients offset mortgages.

These mortgages are outstanding for those receiving more significant bonuses or commissions because of the reduced interest you pay. You can also reaccess the funds if you need them. 

Offset mortgages tend to be more expensive than standard ones, so borrowers will pay more, especially if they do not use the facility. 

Most banks and building societies allow borrowers to repay 10% of their outstanding mortgage balance each year without charge. They would need to reapply to their lender to get the overpayments back if required, which can be challenging.

Some lenders offer £1 million+ mortgages without early repayment charges.