A 5.5 times salary mortgage means a lender is prepared to lend up to five and a half times your annual income. For example, someone earning £60,000 could potentially borrow up to £330,000, subject to affordability checks.
These higher income multiple products are not standard and are usually offered to borrowers with strong credit profiles, stable employment and higher earnings. Lenders still apply detailed stress testing to ensure repayments remain affordable.
While higher multiples increase borrowing power, they also increase monthly repayments and financial exposure. Careful assessment is important before committing to this level of borrowing.
Your home may be repossessed if you do not keep up repayments on your mortgage.