Deposit for a £450,000 House (2026): How Much You Need
The minimum deposit for a £450k house is £22,500 (5%). But £450,000 is a significant number for a reason most people miss: it’s the exact ceiling for using a Lifetime ISA, and just under the limit for first-time buyer stamp duty relief. Here’s what a £450,000 purchase really takes in 2026.
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Quick answer
The minimum deposit for a £450,000 house in 2026 is £22,500 — that’s 5%, leaving a £427,500 mortgage at 95% loan-to-value. Most buyers at this level put down more: a 10% deposit is £45,000, 15% is £67,500, 20% is £90,000, and 25% is £112,500. Two things make £450,000 a significant price point. First, it is the exact maximum property price for using a Lifetime ISA — buy at £450,000 or below and you can use your LISA and its 25% government bonus; buy for even £1 more and you can’t, and would face a 25% withdrawal penalty to access the money. Second, at £450,000 you’re still under the £500,000 ceiling for first-time buyer stamp duty relief, so a first-time buyer pays £7,500 (not the £12,500 a home mover pays) — a genuine saving that disappears above £500,000. To borrow at this level you’ll need substantial income: roughly £80,000–£90,000 household for a 10–20% deposit at typical multiples. Monthly, a £405,000 mortgage (10% deposit) over 25 years at around 4.5% costs about £2,251. Factor in stamp duty and fees on top of the deposit — the total upfront cash at a 20% deposit is around £100,000 for a first-time buyer. This is general information, not advice. As of September 2026.
In this guide
Deposit tiers for a £450k house
Your deposit is a percentage of the £450,000 price, setting how much you borrow and your loan-to-value (LTV):
| Deposit % | Deposit amount | Mortgage | LTV |
|---|---|---|---|
| 5% | £22,500 | £427,500 | 95% |
| 10% | £45,000 | £405,000 | 90% |
| 15% | £67,500 | £382,500 | 85% |
| 20% | £90,000 | £360,000 | 80% |
| 25% | £112,500 | £337,500 | 75% |
The 5% minimum (£22,500) is genuinely available — 95% mortgages exist at this price — but as with any larger purchase, a bigger deposit drops you into a lower loan-to-value band and unlocks better rates, which matters more on a large loan because the rate applies to a bigger balance. Moving from 10% to 15%, for instance, can shift you into a cheaper band and save meaningfully across a £380,000-plus mortgage. At £450,000, stretching the deposit to the next band down is often worthwhile if you can — but the two features that make this price point special are the Lifetime ISA cap and stamp duty, which we’ll cover next.
The Lifetime ISA cliff edge
£450,000 is the exact maximum for using a Lifetime ISA
This is the single most important thing about the £450,000 price point, and it catches people out. A Lifetime ISA (LISA) can only be used to buy a first home costing £450,000 or less. That makes £450,000 a hard cliff edge:
- Buy at £450,000 or below: you can use your LISA — including all your contributions and the 25% government bonus (up to £1,000 a year of free money) — toward the purchase.
- Buy at £450,001 or above: you cannot use your LISA for the purchase at all. If you withdraw the money anyway, you pay a 25% withdrawal penalty, which claws back the government bonus and takes a chunk of your own savings.
So if you’ve been saving into a Lifetime ISA, a £450,000 home is the most expensive property you can buy while still using it. This has a real practical implication: if you’re hovering around this price and relying on your LISA, staying at or under £450,000 preserves potentially thousands of pounds in bonus and avoids the penalty — whereas nudging just over the line loses it entirely. It’s worth keeping the £450,000 figure firmly in mind when house-hunting if a LISA is part of your deposit. For a home above this level, see our guide to the deposit for a £600k house, where the LISA can’t be used.
Stamp duty at £450k
The £450,000 price point has a second advantage for first-time buyers: it’s still under the £500,000 ceiling for first-time buyer stamp duty relief. Here’s how the stamp duty compares:
- First-time buyer: £7,500. First-time buyer relief means 0% on the first £300,000 and 5% on the portion from £300,001 to £450,000 (£150,000 × 5% = £7,500). Because £450,000 is under the £500,000 relief ceiling, first-time buyers keep this benefit.
- Home mover (standard rates): £12,500. Without first-time buyer relief, it’s 0% to £125,000, 2% to £250,000, then 5% to £450,000 — totalling £12,500. So first-time buyer relief saves £5,000 here.
- Additional property (second home / buy-to-let): £35,000. The 5% surcharge adds £22,500 on top of the standard £12,500.
This is a meaningful distinction from higher price points: above £500,000, first-time buyers lose relief entirely, so the £450,000 level is one of the last where the FTB saving still applies. Our guide to how stamp duty is calculated explains the bands, and first-time buyer stamp duty covers the relief in full. Remember stamp duty is cash needed on completion, on top of your deposit.
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The income you’ll need
A £450,000 purchase requires a substantial income, and this is often the real constraint rather than the deposit. Lenders typically lend around 4.5 times income, with some going to 5× for strong applicants. Here’s the rough household income needed:
| Deposit | Mortgage | Income at 4.5× | Income at 5× |
|---|---|---|---|
| 10% (£45,000) | £405,000 | ~£90,000 | ~£81,000 |
| 15% (£67,500) | £382,500 | ~£85,000 | ~£76,500 |
| 20% (£90,000) | £360,000 | ~£80,000 | ~£72,000 |
So you’re generally looking at a household income of around £72,000–£90,000 to buy at £450,000, depending on your deposit and the lender’s multiple. For a couple, that’s roughly £36,000–£45,000 each. Higher-multiple lenders (5× or more for higher earners or certain professions) can reduce the income needed, and a larger deposit lowers the loan and therefore the income required. As with any larger purchase, deposit and income work together — you need both to line up at this level, which is exactly what a broker helps you establish.
Monthly cost & total upfront
On a repayment basis over 25 years, the monthly mortgage payment depends on your deposit and rate:
| Deposit | Mortgage | ~4.5% rate | ~5.0% rate |
|---|---|---|---|
| 10% (£45,000) | £405,000 | ~£2,251/mo | ~£2,368/mo |
| 20% (£90,000) | £360,000 | ~£2,001/mo | ~£2,105/mo |
So budget roughly £2,000–£2,370 a month depending on deposit and rate. On the total upfront cash, a first-time buyer with a 20% deposit needs about: £90,000 deposit + £7,500 stamp duty + ~£2,500 fees = around £100,000. At a 10% deposit it’s roughly £55,000 upfront (£45,000 + £7,500 + £2,500). The stamp duty and fees are cash on top of the deposit — they can’t normally be added to the mortgage — so budget for the full cost of buying. Extending the term beyond 25 years would lower the monthly figure at the cost of more total interest — see our mortgage repayments guide.
Raising the deposit
Assembling £45,000–£112,500 is significant, and buyers at this level typically combine sources:
- Lifetime ISA. As covered, fully usable at £450,000 (the cap) — the 25% bonus makes it valuable, so max it if you’re eligible and buying at or under this price. See our Lifetime ISA guide.
- Existing equity. If you’re moving house, the equity from your current home is usually the core of the deposit.
- Savings and investments built up over time.
- A gifted deposit. Family help is common at this level — a gifted deposit from parents can bridge the gap, with the right documentation.
For first-time buyers at £450,000, the combination of a maxed Lifetime ISA plus savings (and often family help) is the typical route — and staying at or under £450,000 keeps the LISA in play, which is a genuine financial advantage worth protecting.
The bottom line
The minimum deposit for a £450,000 house is £22,500 (5%), but most buyers put down more to access better rates — 10% is £45,000, 20% is £90,000. Two things make £450,000 special: it’s the exact ceiling for using a Lifetime ISA (buy for £1 more and you lose the bonus and face a penalty), and it’s still under the £500,000 first-time buyer stamp duty relief limit, so an FTB pays £7,500 rather than the £12,500 a mover pays. You’ll need substantial income — around £72,000–£90,000 household — and monthly payments run about £2,000–£2,370. Budget around £100,000 total upfront at a 20% deposit. If a LISA is part of your plan, the £450,000 line is one to respect carefully.
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Deposit for a £450k house: FAQs
How much deposit do I need for a £450,000 house?
The minimum deposit for a £450,000 house is £22,500, which is 5% of the purchase price, leaving a £427,500 mortgage at 95% loan-to-value. However, most buyers at this level put down more to access better rates: a 10% deposit is £45,000, 15% is £67,500, 20% is £90,000, and 25% is £112,500. A larger deposit drops you into a lower loan-to-value band, which unlocks better interest rates — worthwhile on a large loan because the rate applies to a bigger balance. Remember that £450,000 is the exact maximum price for using a Lifetime ISA, so if a LISA is part of your deposit, staying at or under this price keeps it usable. You’ll also need around £7,500 for stamp duty as a first-time buyer (£12,500 as a home mover) plus fees, on top of the deposit.
Can I use a Lifetime ISA to buy a £450,000 house?
Yes — £450,000 is the exact maximum property price for using a Lifetime ISA, so a home costing £450,000 or less qualifies. You can use your LISA contributions plus the 25% government bonus (up to £1,000 a year of free money) toward the purchase. This makes £450,000 the most expensive first home you can buy while still using your LISA. Crucially, the cap is a hard cliff edge: if you buy for even £1 more than £450,000, you cannot use your LISA for the purchase at all, and withdrawing the money for any other reason incurs a 25% penalty that claws back the bonus and takes some of your own savings too. So if you’ve been saving into a Lifetime ISA and are buying around this price, staying at or under £450,000 protects potentially thousands of pounds in bonus. It’s a key figure to keep in mind.
How much is stamp duty on a £450,000 house?
It depends on your buyer status. A first-time buyer pays £7,500, thanks to first-time buyer relief: 0% on the first £300,000 and 5% on the £150,000 from £300,001 to £450,000. Because £450,000 is under the £500,000 ceiling for first-time buyer relief, first-time buyers keep this benefit — an important advantage over higher-priced homes where relief is lost. A home mover (standard rates) pays £12,500: 0% to £125,000, 2% from £125,001 to £250,000, then 5% from £250,001 to £450,000. So first-time buyer relief saves £5,000 at this price. If the £450,000 property is a second home or buy-to-let, the 5% additional-property surcharge adds £22,500, taking the total to £35,000. Stamp duty is cash needed within 14 days of completion, on top of your deposit, so budget for it accordingly.
What income do I need to buy a £450,000 house?
You’ll typically need a household income of around £72,000 to £90,000, depending on your deposit and the lender’s income multiple. At a 10% deposit (a £405,000 mortgage), you’d need roughly £90,000 at a standard 4.5 times income multiple, or about £81,000 at 5 times. With a 20% deposit (a £360,000 mortgage), that drops to around £80,000 at 4.5 times or £72,000 at 5 times. For a couple, that’s roughly £36,000 to £45,000 each. Higher-multiple lenders offering 5 times income or more can reduce the income needed, and certain professions may access enhanced multiples. A larger deposit reduces the loan and therefore the income required, so deposit and income work together at this price point. A broker can confirm your realistic borrowing across lenders based on your income and deposit.
What’s the monthly payment on a £450,000 house?
It depends on your deposit (and therefore loan size) and the interest rate. On a repayment mortgage over 25 years at around 4.5%, a 10% deposit (a £405,000 mortgage) costs about £2,251 a month, while a 20% deposit (a £360,000 mortgage) costs about £2,001 a month. At a 5% rate, those rise to roughly £2,368 and £2,105 respectively. So budget broadly £2,000 to £2,370 a month depending on your deposit and rate. A larger deposit not only reduces the balance but can access a better rate band, lowering the monthly cost by more than the loan reduction alone. Extending the term beyond 25 years would reduce the monthly payment but increase the total interest paid over the life of the mortgage. These figures are illustrative; your actual rate depends on the deal, your circumstances and the loan-to-value.
What’s the total upfront cost of buying a £450,000 house?
Beyond the deposit, budget for stamp duty and fees. For a first-time buyer with a 20% deposit, the total upfront cash is around £100,000: £90,000 deposit, plus £7,500 first-time buyer stamp duty, plus roughly £2,500 in legal and survey fees. At a 10% deposit it’s about £55,000 (£45,000 deposit, £7,500 stamp duty, £2,500 fees). A home mover would pay more stamp duty (£12,500 instead of £7,500). The key point is that stamp duty and fees are cash you need on top of the deposit — they generally can’t be added to your mortgage — so they must come from your own funds at completion. Budgeting only for the deposit and forgetting the £10,000-plus in additional costs is a common mistake. Always plan for the full cost of buying, not just the deposit.
- GOV.UK — Lifetime ISA
- GOV.UK — Stamp Duty Land Tax
- MoneyHelper — free, government-backed money guidance
Important information
nextmove is an introducer, not a lender or mortgage adviser. This article is general information only and does not constitute financial advice. Deposit requirements, income multiples, interest rates, loan-to-value bands, Lifetime ISA rules and stamp duty all vary between lenders and change over time; the figures here are illustrative examples based on 2026 rates and bands (England and Northern Ireland), not quotes, and your actual borrowing, rate and costs depend on your circumstances, deposit, credit profile and lender criteria. The Lifetime ISA £450,000 property cap and 25% withdrawal penalty are set by the government and may change. We introduce you to FCA-regulated, whole-of-market mortgage brokers who can assess your situation and advise, and we may receive a fee or commission for doing so.
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Deposit
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