£120,000 mortgage: monthly payments
Borrowing £120,000? At 4.5% over 25 years you would pay £667.00 a month. Every rate and term is compared below.
- At 4.5% over 25 years
- £667 a month
- Total interest
- £80,100
- Income needed (4.5x)
- £26,667
- Overpay £60 a month
- save £12,686
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A £120,000 repayment mortgage at 4.5% over 25 years costs £667.00 a month. You would repay £200,100 in total, of which £80,100 is interest.
Monthly payments on £120,000 by rate and term
| Rate | 20 years | 25 years | 30 years | 35 years |
|---|---|---|---|---|
| 3.5% | £696 | £601 | £539 | £496 |
| 4% | £727 | £633 | £573 | £531 |
| 4.5% | £759 | £667 | £608 | £568 |
| 5% | £792 | £702 | £644 | £606 |
| 5.5% | £825 | £737 | £681 | £644 |
| 6% | £860 | £773 | £719 | £684 |
How £120,000 is paid off over 25 years
- Balance still owed
- Interest paid so far
Total interest on £120,000 by term
A longer term lowers the monthly payment but adds interest. Stretching from 25 to 35 years saves £99 a month and costs £38,422 more overall.
Keep going
- Income needed: what £26,000 a year can borrow.
- With a 10% deposit £120,000 buys about £135,000. Stamp duty on £125,000 is £0 for a home mover.
- Nearby amounts: £90,000, £100,000, £110,000, £130,000, £140,000, £150,000.
Questions people ask
What are the monthly payments on a £120,000 mortgage?
£667.00 a month on a 25 year repayment mortgage at 4.5%. At 4% it is £633.40 and at 5% it is £701.51. Interest only at 4.5% would be £450.00.
What salary do I need for a £120,000 mortgage?
At the usual 4.5 times income, about £26,667 for a single buyer or a joint household income. Some lenders go to 5 or 5.5 times, which would need around £21,818.
How much does overpaying a £120,000 mortgage save?
Paying £60 extra a month at 4.5% clears it about 3 years 6 months early and saves roughly £12,686 in interest. Check your lender's overpayment limit, often 10% a year on fixed deals.