More than 40% of UK homebuyers are now applying for mortgages worth over four times their annual income highlighting the growing strain between wages and house prices.
Latest data from Mojo Mortgages shows that 40.2% of purchase applicants so far in 2026 have sought loans exceeding 4x salary – more than double the 18.5% recorded in 2023.
The proportion has risen sharply year on year: 29.7% in 2024, 39.6% in 2025 and now just over 40% in early 2026, signalling what the broker describes as a structural shift in borrowing behaviour rather than a short-term spike.
The trend is particularly pronounced in major urban centres. Bristol currently tops the table, with 52% of applicants seeking more than 4x income. London follows at 49%, while Coventry (46%), Leicester (45%) and Manchester and Nottingham (33.3%) also show elevated levels of “income stretching”.
EARNINGS GAP
Median full-time UK salaries stand at just over £39,000, falling to £34,000–£36,000 in many regions outside London – levels that struggle to keep pace with cumulative house price growth over the past five years.
John Fraser-Tucker, Head of Mortgages at Mojo Mortgages, says: “The fact that over half of applicants in Bristol are now looking for 4x their salary or more isn’t just a statistical quirk; it’s a reflection of a market where wages simply haven’t kept pace with house price growth.
“Even with recent cooling in some areas, the cumulative growth of property values over the last three to five years has been so considerable that the ‘traditional’ 3x or 4x multiple is, in many cases, no longer enough to get a foot in the door in some of these top-tier cities.”
