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5% deposit scheme: How much do you need to earn to buy property?

Chancellor Rishi Sunak’s latest budget includes a government guarantee for 95% mortgages, which he claims will turn ‘generation rent’ into ‘generation buy’. 

Loanbird.co.uk wanted to ascertain just how much you’d need to earn to buy a property, in each city in the UK. To do this, they took the average property price in each city, took away a 5% deposit to leave the 95% owed. They then worked out monthly mortgage repayments and salary needed, based on a mortgage over 25 years with an interest rate of 4.5%.  

5% deposit scheme: Can YOU afford to buy in your city? 



  • To buy a property in London, the most expensive city to buy, you’d need to earn a salary of £153,111 

  • To buy in Glasgow, the cheapest city to buy, your salary would need to be at least £28,663.44 

  • If you’re earning a salary of £30,000 or more, you could buy in Aberdeen, Belfast, Liverpool, Newcastle and Sheffield! 


  • Loanbird used the UK House Price Index to find the average price of a property in each city.  

  • They then used this figure to workout how much a 95% mortgage loan would be. 

  • Monthly repayments were worked out using Which.co.uk’s Monthly Mortgage Repayment Calculator, based on a mortgage taken over 25 years with an interest rate of 4.5% 

  • Loanbird then calculated you would need 3x this amount to comfortably live, whilst paying your mortgage repayments. Hence, to workout your monthly take-home pay needed, they multiplied monthly repayments by 3.  

  • They then used the Salary Calculator to work out how much your salary would need to be (before tax) to receive the required take-home pay figure.   

  • This is based on one person buying a property alone. 

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