How to get a mortgage on the Moon!

Ever wondered what it would be like to live amongst the stars and embrace a lunar lifestyle? Well, we’re about to skyrocket the property market quite literally into space!

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With technology advancing and Earth becoming increasingly populated and polluted, Moon migration is something to consider but how much would it really cost to move moonwards?

Living on the Moon creates its own array of challenges and double glazed windows just won’t cut it. Constructing a house that can adapt to extreme weather conditions and a zero-gravity environment can be a costly expense. Therefore it is important to understand how much not only a Moon property will cost, but the price of the lifestyle that comes with it and how you can pay off an expedition that ventures beyond our atmosphere. 

Choosing the right mortgage has always been a daunting task for any homeowner, however, when your property is located 384,400km away from civilisation, it is essential to know the ins and outs of your moon mortgage. 

We’ve explored the logistics and locations to put together a comprehensive guide on how to get a mortgage on the Moon. This guide will help you navigate the market with ease and find the right mortgage at the best price. If you are looking to do your own research, try our mortgage comparison to explore your options closer to the ground!

How to land yourself a property on the Moon

First and foremost, you need to secure yourself a land license. The cost of a land license can vary from location to location depending on the desirability of the area. 

One acre of land on the Moon’s most sought-after location ‘the Sea of Rains' would cost you a respectable £94.87, whereas a license in the ‘Sea of Vapors’ would cost £13.64. Picking the right location is essential before beginning your voyage across the universe. 

Next, to build an average 76m2 house requires a minimum of 26 workers along with their tools, equipment and materials. Because of the property's remote location, the cost of travel has to be factored into the final calculation and makes up a large majority of the price. To transport these essential components from the earth to the Moon will cost on average £5.8 million

Also, building a house on the Moon isn’t as simple as building a house on Earth. Due to the extreme weather conditions and the high likelihood of meteor showers, things like air seals, industrial-strength air-con and heaters, meteor proof windows, insulation and organic sources of energy are all pricey necessities. These will come to a combined cost of £29 million ($40 million). 

Therefore, the overall cost to build the first fully functioning house on the moon would be £34,892,500.06. However, after the first house is built, the cost to transport equipment and tools to the moon would be subtracted and allow houses to be built at a cheaper(!) rate of £29,281,781.99. 

How much would houses on the Moon go on the market for? 

With the markup price for a property being on average 27.61%, you could expect to buy the first house on the Moon for £44,525,536.42. The price of the houses thereafter will be valued at a slightly lower price of £37,365,824.98, as the transportation cost for the tools and equipment would have been accounted for in the initial build. 

To put that into perspective, if a lender was to accept a 10% deposit - you’d need about £4.4 million to put down, and expect a monthly mortgage repayment of around £234,262.67 over 25 years.

How to adapt to a lunar lifestyle

Before launching into your new lunar life, it is important to understand how to live within your new environment.

Electricity 

Generating energy is vital when living in such extreme conditions, and therefore the cost of some suppliers may force you to consider some alternative options. 

The most efficient way to generate electricity on the Moon is to buy a small nuclear reactor costing a hefty £1 billion. Alternatively, investing in 34 solar panels would generate enough electricity to run one house and cost only a modest £17K in comparison. 

Food

The ability to grow food and vegetation sustainably on the Moon is also a key factor to consider. Given that an average house will occupy four people, a combined total of seven lunar greenhouses is needed to produce one tonne of food to maintain a liveable environment. This may add additional living costs that you will need to think about once your property is secured. Unfortunately, Deliveroo hasn’t expanded its range to the Moon yet. 

Water

Access to water is also vital when living on the Moon. To live comfortably for a year, 5.4 tonnes of water is required to regulate crop growth and personal hydration for one household. Transporting large quantities of water across the universe is expensive, therefore, water recycling is the cheapest and most efficient way to maintain water. Purifying and reusing liquid waste will create a constant and easily accessible supply of water and, as life develops on the Moon, ways to purify and extract molecular water trapped in ice across lunar surfaces will continue to develop to create larger and more sustainable ways of supplying water in the future. 

Lunar Pioneers 

As the community continues to grow, people will pioneer and discover new and sustainable ways of living on the Moon. The development of mining Helium-3 ions found on the Moon’s Upper crust will, in time, fuel non-radioactive nuclear fusion reactions and produce larger quantities of cleaner and safer energy than what is currently available on Earth. 

Also, a cheaper way to acquire materials on the Moon would be to launch a ‘clean up our universe’ mission, whereby reusing and recycling space junk to help to create new buildings and communities. 

By investing in renewable and sustainable solutions from the get-go, life on the Moon will be able to work in harmony with its environment, not against it, and will continue to create many habitable communities. 

Which lunar location should you hunker down in? 

When it comes to figuring out where to set up base, the Moon offers a variety of locations to choose from. Each location has its unique features, from tranquil lakes to mountainous terrain, making the Moon a suitable location for everyone. 

The Sea of Rains (Mare Imbrium) will be the most in-demand location to live in

Despite being the most expensive location on the moon at £94.34 per land license, the Sea of Rains has always been a long-time favourite for many families and property investors due to its desirable location. Its north-central location makes it a safe environment to bring up a family. Not only is it a 30-minute jet jump to the peaceful Sea of Serenity, where you can potentially enjoy a relaxing weekend away, but it's also only a short excursion away from Crater Plato where the kids can spend hours of fun playing and discovering amongst the moon mud. 

Image: ‘Sea of Rains’ is known scientifically by its Latin name; Mare Imbrium 

The Bay of Rainbows (Sinus Iridum) is the new hipster hangout 

The Bay of Rainbows is one of the most vibrant cosmopolitan craters found on the moon, populated with young and ambitious students and creatives. If you’re in your twenties, this location is the perfect place to set up camp, costing a reasonable £32.65 per land license! Located just north of the Sea of Rains, this area is surrounded by the breathtaking Jura Mountains and also neighbours the Crater Bianchini, where many live music and art exhibitions have taken place throughout the year. 

Image: The Bay of Rainbows also known by its latin name; Sinus Iridum 

Retire peacefully in the Lake of Dreams (Lacus Somniorum)

The tranquil setting of the Lake of Dreams has quickly made a name for itself,  becoming one of the most sought-after locations for those wanting to enjoy a peaceful retirement.  The Lake of Dreams, also referred to as the “Lake of Sleep”, borders the northeast edge of the Sea of Serenity displaying some of the most scenic views the moon has to offer for £31.75 per land license. 

Image: The Lake of Dreams, also known by its latin name; Lacus Somniorum 

Taurus Mountains ideal for the explorers of the moon (or beyond) 

If you’re seeking adventure, this exquisite location positioned in the foothills of Montes Taurus offers you a variety of extraordinary craters to explore. From crater Romer to Carmichael, the adventure is endless at only £23.13 per land licence, while also offering a 360 view of the stunning moonscapes!

Image: The Taurus Mountains, know by its Latin name; Montes Taurus

LocationPrice per acre ($)Price per acre (£)
Sea of Rains$131.77£95.34
Moscoviense (far side)$63.35£45.36
Sea of tranquility$53.21£38.10
Ocean of Storms$50.68£36.28
Bay of Rainbows$45.61£32.65
Lake of Dreams$44.35£31.75
Orientale (far side)$36.74£26.30
Sea of Serenity$35.48£25.40
Lake of Happiness$34.21£24.49
Taurus Mountains$32.31£23.13
The Lunar Alps$31.68£22.68
Sea of Clouds$29.14£20.86
Sea of Vapours$18.95£13.57

Top tips for saving for that monster Moon mortgage

Stop renting 

If you’re eager to start your voyage across space, moving back home or finding cheaper temporary accommodation is the easiest and quickest solution to save a lot of money in a short period of time. 

Get a lodger

If you have an extra room which isn’t being utilised, why not make some money from it? Getting a lodger might not be an ideal solution for extended periods of time, however, if you can cope for a couple of months to a year the income will be worth it. 

Look into Lifetime ISA

A lifetime ISA is a type of ISA where the government gives you a bonus of 25% of what you pay in up to a maximum of £1,000 per tax year.

You can put a maximum of £4,000 into a Lifetime ISA each tax year. The amount you pay in is related to your annual ISA allowance (£20,000 for 2020/21).

This means that if you pay £4,000 into your Lifetime ISA, you can still pay £16,000 into other ISA products.

You can only open one of each type of ISA in a tax year. So you can open a Lifetime ISA, a cash ISA, a stocks and shares ISA and an innovative finance ISA in each tax year.

How is the bonus calculated?

Bonus payments are now calculated monthly. Any bonus is calculated based on payments you make into your account from the 6th of the month to the 5th of the following month.

Who can get a lifetime ISA?

Anyone aged between 18 and 39 who is a UK resident can open a lifetime ISA. You can save up to £4,000 each tax year, every year until your 50th birthday. You can withdraw your funds at any time to buy your first home worth up to £450,000, and from age 60 for any purpose.

You can read more about whether a Lifetime is right for you in our guide.

Using a lifetime ISA to buy your first home

If you want to use your lifetime ISA to buy a home, here are a few things to be aware of:

  • You can only use a LISA if you are a first-time buyer. This means that you cannot own, or have previously owned a property in the UK or anywhere in the world.

  • The property can only have a maximum value of £450,000

  • The property must be a home you intend to live in. It cannot be a property that you want to rent out or use as a holiday home.

  • The property must be purchased through a traditional repayment mortgage.

Keep up to date with scientific advancements

Even if you have your deposit for your luxury lunar pad ready and waiting, we may need technology to catch up first. Keep your eye out for advancements in space travel and technology, so you can be ready to go once it’s possible to make your Moon move a reality.

Fusion Energy advocate Ricard Dinan, CEO of Pulsar Fusion, says energy bills would not be a problem for future moon residents. 

"The moon has an abundant supply of the perfect nuclear fusion fuel in the form of Helium 3. A rare isotope of Helium which is in plentiful supply in the soil on the lunar surface. 

One small nuclear fusion reactor built on the moon would have a limitless and inexpensive supply of Helium 3 which would provide all the energy required for future moon colonies. 

Not only would the energy supply be abundant it would also be incredibly efficient and clean. The only costs would be the construction and management of the reactor. Energy bills for future moon residents are therefore likely to be incredibly low.”

For more saving advice, why not check out our blog which highlights  7 ways to save up a mortgage deposit. 

If a move to the Moon isn't quite on the cards just yet, make sure you use our mortgage comparison tables to get the best deal for you.

If you're a first time buyer or looking to move house or remortgage, we can help you find the best mortgage deal to suit your needs.

Methodology

To calculate the cost of a house on the Moon, various factors were considered: the raw materials needed to build a house, the special materials needed to build on the Moon’s atmosphere, astronauts required to travel to build, and the average cost of transporting materials to the Moon. We used cost per kg transportation data from SpaceX, to calculate the cost of transporting all raw materials to build.

Some materials such as the workforce, building tools and power generators would only have to be transported once, which is why subsequent houses built after the first would be at a lower price. We have also factored in the average mark-up from the housing market of 27.61%, to calculate what a sale price would cost.

Costs of acres of land on the Moon were taken from Lunarregistry.com.

Currencies were correct as of 18 February 2021. 

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