We explore the latest mortgage statistics, including average mortgage size, monthly payments and debt, to see how paying the mortgage impacts our bank accounts.
Mortgage statistics UK: Highlights
The average monthly mortgage payment on a house in the UK is £1,270 according to the latest figures.
The average size of a mortgage taken out in the third quarter of 2025 was £160,980.
The average outstanding mortgage debt per household in the UK is £137,510.
In October 2025, the average 2-year fixed-rate mortgage interest rate for a 25% deposit was 4.22%. It was 4.35% for a 15% deposit and 4.59% for a 10% deposit.
As of June 2025, there were almost 12.4 million outstanding mortgages in the UK totalling around £1.7 trillion.
What is the average mortgage size in the UK?
The average value of a mortgage taken out between July and September 2025 was £160,980, down 12% from the previous quarter.
The number of mortgages taken out has increased by 36% from the previous quarter, with a total of 488,501 mortgages secured on residential homes. This is the highest number of mortgages taken out in a quarter since 2013.
What is the average monthly mortgage payment in the UK?
The average monthly mortgage repayment on a house in the UK is £1,270. This is based on the average house price as of August 2025, the average 2-year fixed mortgage rate, a 15% deposit and a mortgage length of 25 years.
What’s the average mortgage interest rate in the UK?
In October 2025, the average 2-year fixed-rate mortgage interest rate for a 25% deposit was 4.22%. It was 4.35% for a 15% deposit and 4.59% for a 10% deposit.
The average interest rate also varies depending on the length of the fix. While it was 4.22% with a 25% deposit for a 2-year fix, it was 4.2% for a 3-year fix, 4.19% for a 5-year fix and 4.59% for a 10-year fix.
The graph below shows the average rates for fixed-rate mortgages with a 25% deposit and how they’ve changed over time.
While mortgage rates have historically stayed fairly consistent, they began increasing in the middle of 2022. The Bank of England increased the base rate to combat rising inflation, and this had a knock-on effect on mortgage interest rates.
LTV ratio, or loan-to-value ratio, is the ratio of what you borrow as a mortgage. For example, with a 90% LTV mortgage, you would need to put down a 10% deposit. Those who can afford a lower LTV ratio are generally able to access better interest rates, but this can be harder for first-time buyers who can’t put down a large deposit.
The average outstanding mortgage debt in the UK in the second quarter of 2025 was estimated to be £137,510. There were almost 12.4 million mortgage accounts active as of June 2025, and the value of residential mortgage loans was £1.7 trillion.
What is the average length of a mortgage in the UK?
25 years is often seen as the standard length for a mortgage. However, in 2022, half of first-time buyer mortgages (50%) had terms longer than 30 years, compared to a quarter (25%) in 2012.
Average house prices in the UK
The average UK house price in August 2025 was £272,995. The average price varies across regions of the UK, with an average price of £295,670 in England, £211,361 in Wales, £193,786 in Scotland and £185,108 in Northern Ireland.
The average house price in the UK had been rising since the banking crisis and market crash in 2007-2009 until 2022, reaching £265,727 in September 2022. They then began to drop again in 2023 against a backdrop of high mortgage rates, going back down to an average price of £254,633 in February 2024.
With some fluctuation between 2022 and 2024, house prices are rising once more, with the average price in August 2025 up 2.7% year on year from August 2024.
Buying a house is often seen as a good long-term investment option, as house prices tend to go up over time, but they can fluctuate in the short-term – going down as well as up – just like the stock market.
House-prices-to-earnings ratio: How does your region compare?
The house-price-to-earnings ratio is a way to calculate the affordability of housing by dividing house prices by salary. This varies between regions as both house prices and salaries change.
On average in England and Wales, house prices were 7.5 times the average salary in 2024. The ratio is most extreme in London, where house prices are 11.7 times higher than the average yearly salary. Those in the North East of England are in the best position, as house prices here are only 4.8 times earnings.
In the second quarter of 2025, 84,100 homeowners were behind on their mortgage payments by 2.5% or more, a slight decrease from the previous quarter. This is known as being in arrears – money that is owed and should have been paid already.
Between April and June 2025, 1,390 properties with a homeowner mortgage were repossessed. This is when the lender takes back the property because the mortgage hadn’t been paid. The number of repossessions was up 4% on the previous quarter, but still lower than the long-term average.
Sources
Methodology
Finder analysts took the average UK house price and mortgage rate, assuming a 15% deposit, and used this to calculate the average mortgage payment.
Click here for more research. For all media enquiries, please contact –
Matt Mckenna
UK Head of Communications T: +44 20 8191 8806
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Sophie Barber is a senior content marketing manager for Finder in the UK. She has over 5 years experience in writing and publishing clear, concise and informative articles that help consumers make informed decisions.
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Kate Steere is an editor and money expert at Finder, specialising in banking, savings and fintech. She has previously written for The Motley Fool UK and Fitch Solutions, where she covered a wide range of personal finance topics and kept a close eye on market trends. Kate has a Bachelor of Arts in Modern History from the University of East Anglia. When not working, she can usually be found curled up with a good book or heading out for a run.
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