> House prices aren't that tightly linked to incomes. House prices are more stro... | Hacker News

Hacker News new | past | comments | ask | show | jobs | submit

login

FartyMcFarter on Sept 14, 2021 | parent | context | favorite | on: Job vacancies surge past one million in new record

> House prices aren't that tightly linked to incomes. House prices are more strongly influenced by interest rates and availability of credit.

I believe banks in the UK don't lend you more than 4.5x - 5.5x of your income, regardless of interest rates.

notauser on Sept 14, 2021 [–]

In the UK, lenders are resticted by the regulator - only 15% of their loans can be at greater than 4.5x income.

As a result 5x and 6x income mortgages tend to be easier to get the more you earn.

nly on Sept 14, 2021 | [–]

5x and 6x loans also require lower LTVs

Consider applying for YC's Spring batch! Applications are open till Feb 11.
Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact