I Earn £65k - What Home Can I Realistically Afford?

If you earn around £65,000 a year, you’re in a very strong position financially.

But with high house prices, large deposits, and stricter lending criteria, it’s still completely normal to ask:

“What home can I actually afford on £65k?”

The good news?

You have real buying power -and depending on whether you buy traditionally or explore rent-to-own, your options may be broader than you expect.

This guide explains what a £65k salary means in practice, how lenders calculate affordability, and how rent-to-own models can help you move into a home sooner - even without a deposit upfront.

1. How Lenders Calculate What You Can Borrow

Most mortgage lenders use a simple formula:

You can typically borrow 4.0x – 4.5x your annual income (With some lenders willing to go higher in the right circumstances, subject to affordability checks.)

Which means on a £65,000 salary, that gives you:

£260,000 - £292,500 mortgage potential

That’s as a solo buyer. Buying with a partner could push this higher, but we’ll keep this example focused on an individual earning £65k.

2. How Much Deposit You’d Need

For a standard first-time buyer mortgage, most lenders require 5%–15% of the property value.

Here’s what that looks like:

Even with a strong salary, saving £25k–£50k while paying rent can feel like running uphill.

That’s why many people earning £60k–£70k start looking at alternatives like private rent-to-own.

3. Why Deposits Are Still the Biggest Barrier

A higher income doesn’t always mean cash sitting in the bank.

Rent, commuting, lifestyle costs, student loans, and rising bills all chip away at your ability to save a lump-sum deposit - especially in London.

Rent-to-own deposit comparison

Instead of pausing life to save, your rent contributes towards ownership.

4. How Rent-to-Own Works

With rent-to-own, you:

• Move into the home you want to buy immediately
• Rent it for a fixed period (typically 2 years)
• Have up to 100% of your rent credited back as a deposit
• Lock in a future purchase price upfront
• Decide whether to buy at the end - no obligation

There’s no upfront deposit, no sudden rent hikes, and no pressure to commit before you’re ready.

5. Real Example: What You Could Afford on £65k With Rent-to-Own

Here’s a realistic scenario:

Salary: £65,000

Location: West London (Zones 2–3)

Home type: Modern new-build 1–2 bed apartment

Deposit required: £0

Monthly rent: £1,550 pcm

Potential home value: £401,800

Rent credited back after 2 years: £27,600

Outcome:

You live in the home you want today, build a sizeable deposit through rent, and have the option to buy in just two years - without needing to save tens of thousands upfront.

6. The Bottom Line: £65k Gives You Strong Options

If you earn £65,000, you’re well-positioned to buy - the challenge is often timing, not affordability.

• A traditional mortgage works if you already have a deposit
• Rent-to-own offers flexibility, predictability, and faster access to higher-value homes

Rent-to-own can be a great fit if you’re:

• Earning well but struggling to save a large deposit
• Renting in an expensive city
• Recently moved to the UK or self-employed
• Wanting certainty over future purchase price
• Not ready to commit before living in the home
• Keen to turn rent into progress toward ownership

Homeownership doesn’t have to mean waiting years on the sidelines.

On £65k, it’s very much within reach - it’s just about choosing the route that works for you right now.