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A mortgage of £220,000 is slightly above the average size in the UK right now. Here you will learn what the repayments will be for a mortgage of this amount, how to calculate them, and what to do after you have established the cost.
How much are the repayments on a £220,000 mortgage?
A mortgage of £220,000 would cost you roughly £1,161 per month in the current UK market. This is based on a capital repayment mortgage with a 4% interest rate and a 25-year term, all of which is representative of current market conditions (December 2024).
If you were to take out a mortgage of this size on these terms, you would repay £348,372 by the end of the agreement, assuming you don’t switch to a new deal during this period.
Your exact repayments will, however, vary depending on the interest rate you qualify for, the term length you select and the type of mortgage you choose.
Calculate your mortgage repayments
You can use our mortgage calculator below to get an idea of how much your £220k mortgage will cost each month and overall. This tool is set up to calculate the repayments on a mortgage of this amount, but you can manually input a different amount if you wish.
The term, interest rate and repayment type can also be changed for comparison purposes.
Now that you have run your calculations, you can compare mortgage rates for free on Teito or seek expert advice from one of our brokers - get started here.
What factors will determine your mortgage repayments?
The exact repayments on a mortgage of £220,000 will depend on these variables:
- Interest rate: The lower the rate, the lower your repayments will be. Different product types, such as fixed and tracker mortgages, come with their own interest rates.
- Term length: Mortgages taken over a longer term have lower repayments but cost more overall, while the exact opposite is true of shorter-term agreements.
- Repayment type: Whether you choose a capital repayment or interest-only mortgage will determine the way your debt is repaid, and by how much each month.
We will now explore each of these factors in detail, with example calculations for context.
Term length
The table below shows how the repayments on a £220,000 mortgage will change depending on the term length. These numbers are for a capital repayment mortgage with a 4% rate.
|
Mortgage Amount |
Term Length |
Monthly Repayments |
Overall Repayment |
|
£220k |
10 years |
£2,227 |
£267,287 |
|
£220k |
15 years |
£1,627 |
£292,916 |
|
£220k |
20 years |
£1,333 |
£319,958 |
|
£220k |
25 years |
£1,161 |
£348,372 |
|
£220k |
30 years |
£1,050 |
£378,113 |
|
£220k |
35 years |
£974 |
£409,124 |
|
£220k |
40 years |
£919 |
£441,343 |
Interest rate
The interest rate on a £220,000k mortgage will be determined by the amount of deposit you have (loan-to-value ratio) and the overall strength of your application.
This table shows the repayments on a mortgage of this size across different interest rates. These results are for a capital repayment mortgage taken over 25 years.
|
Mortgage Amount |
Interest Rate |
Monthly Repayments |
Overall Repayment |
|
£220k |
3.5% |
£1,101 |
£330,412 |
|
£220k |
4% |
£1,161 |
£348,372 |
|
£220k |
4.5% |
£1,223 |
£366,894 |
|
£220k |
5% |
£1,268 |
£385,829 |
|
£220k |
5.5% |
£1,351 |
£405,298 |
|
£220k |
6% |
£1,417 |
£425,239 |
£220k interest-only mortgage repayments
The main alternative to a capital repayment mortgage is an interest-only mortgage. The table below shows how much the payments will be on a £220k mortgage with this repayment type. These results are based on different interest rates and a 25-year term length.
|
Mortgage Amount |
Interest Rate |
Interest-only Payments (Monthly) |
Overall Repayment |
|
£220k |
3.5% |
£642 |
£412,500 |
|
£220k |
4% |
£733 |
£440,000 |
|
£220k |
4.5% |
£825 |
£467,500 |
|
£220k |
5% |
£917 |
£495,000 |
|
£220k |
5.5% |
£1,008 |
£522,500 |
|
£220k |
6% |
£1,100 |
£550,000 |
Exact mortgage amount
The table below shows example calculations for similar mortgage amounts in the £220k ballpark, based on a 4% interest rate, 25-year term and capital repayment mortgage type.
|
Mortgage Amount |
Monthly Repayments |
Overall Repayments |
|
£218k |
£1,151 |
£345,205 |
|
£219k |
£1,156 |
£346,789 |
|
£220k |
£1,161 |
£348,372 |
|
£221k |
£1,167 |
£349,956 |
|
£222k |
£1,172 |
£222,000 |
|
£223k |
£1,177 |
£353,123 |
|
£224k |
£1,182 |
£354,706 |
Calculations all done? Here are your options now...
Other costs and fees
Your monthly mortgage payments aren’t the only cost that comes with a £220,000 mortgage. You should also factor in the fees below when working out your budget:
- Product fees: Can range between nothing and £2,000. Fee-free deals often come with higher rates, but the fee itself can sometimes be added to the mortgage.
- Valuation fee: Some lenders will expect you to foot the cost of having the property you’re buying valued, and this can set you back between £250-1,500.
- Legal fees: Can range from a few hundred to several thousand pounds.
- Stamp duty: You can find out exactly how much your bill will be in our stamp duty guide.
- Admin costs: This includes the booking fee, telegraphic transfer fee and the account fee. All in all, admin costs for a mortgage application can cost around £1,000.
Tip to help reduce your mortgage payments
The tips below can potentially help you reduce the repayments on a mortgage of £220k:
- Put down a larger deposit: Not only would you need to borrow less, putting down extra deposit can reduce the loan-to-value (LTV) ratio and help you qualify for a lower rate.
- Improve your credit situation: Waiting for any bad credit to disappear from your credit files, paying off debts you’re in a position to clear, and paying any existing bills and credit agreements on time ahead of your application can also help you land a lower rate.
- Consider a longer mortgage term: This will reduce your monthly payments in the short term (on a capital repayment agreement), but you will be paying more in interest overall.
- Consider interest-only: Interest-only mortgages have lower monthly payments but you will need a repayment vehicle to settle the debt at the end of the term. Be sure to seek professional advice from a qualified mortgage broker before choosing this option.
How to apply for a £220,000 mortgage
Now that you have worked out the costs involved for a £220,000 mortgage, you can take your next steps by comparing mortgage rates for free on Teito. You can choose the deal you want in real-time and access expert advice from our brokers at any point in the process.
Here are just some of the reasons people choose Teito for their mortgage needs:
- You can access the latest mortgage rates in seconds
- Our brokers can access exclusive deals you won’t find on the high street
- We are 5-star rated on leading review services
- You can secure an agreement in principle in minutes
Ready to compare mortgage rates for free and take advantage of a free, no-obligation chat with one of our expert mortgage brokers? Get started here.
FAQs
Most mortgage lenders will let you borrow up to 4.5 times your annual salary, so you would need household income of around £48,890 to get approved for a £220,000 mortgage. If you don’t earn this much, there are lenders who offer mortgages of 5-6 times salary, under the right circumstances, and also providers who accept supplemental income on top of a wage.
Choosing an Adviser
Selecting a qualified and experienced mortgage adviser is of great importance. To choose a suitable adviser, evaluate their qualifications, experience, and reputation, and ensure they are regulated by the Financial Conduct Authority (FCA).
Read reviews from previous clients and make sure they provide a clear explanation of the products and services they offer, as well as the fees and charges associated with them.