Regular expenses on weight loss medications such as Wegovy and Mounjaro may significantly impact how much you can borrow for a mortgage, industry experts warn. Mortgage brokers highlight that monthly costs for these drugs can reduce borrowing capacity by thousands of pounds.
Lenders conduct thorough affordability assessments, scrutinizing income and outgoings to determine loan eligibility. Currently, approximately 1.5 million people in the UK use weight loss drugs, with over half taking Mounjaro. The majority—around 90%—pay privately, purchasing these medications from online suppliers or high street pharmacies.
With typical monthly expenses ranging between £200 and £300, these ongoing payments could cut the maximum mortgage offer by as much as £20,000. Jamie Alexander, Mortgage Director at Alexander Southwell Mortgages, explains, “Lenders treat these payments like any other recurring bill. Even if not explicitly asked, this regular outgoing reduces your disposable income, shrinking the amount you can borrow.”
READ MORE: Tesco Revamps Meal Deals with Four Exciting New Mains – Shoppers Respond with “Finally”
READ MORE: HMRC to Begin Issuing £100 Fines as Self-Assessment Deadline Approaches
Aaron Strutt of Trinity Financial adds, “If an applicant spends several hundred pounds monthly on weight loss drugs, lenders are likely to inquire about it.”
However, David Hollingworth from L&C Mortgages notes this issue isn’t widely impacting applicants yet. “It’s unlikely to be flagged on a large scale, though underwriters might ask about such payments in some cases,” he says. Nicholas Mendes of John Charcol also suggests that these costs “are potentially cancellable expenses,” which borrowers might reconsider when applying.
Meanwhile, experts from the University of Oxford have questioned the long-term cost-effectiveness of these medications. Sam West, Dimitrios Koutoukidis, and Susan Jebb highlight that while one in 50 people in the UK currently use these treatments, more than half discontinue within a year—often due to the financial burden, which ranges from £120 to £250 monthly.
As the popularity of weight loss drugs grows, prospective homebuyers should be mindful that such regular medical expenses could influence their mortgage borrowing potential.