Definition
An expat mortgage is a specialised mortgage designed for expatriates who want to buy property in the UK.
Securing an Expat Mortgage
The process of securing an expat mortgage is similar to that of a traditional mortgage, requiring proof of income, credit history, and a down payment.
Understanding Interest Rates and Risks
Expat mortgages often have higher interest rates due to the higher risk associated with lending to individuals living and working outside their home country.
Choosing the Right Lender for Your Expat Mortgage Journey
Working with a reputable lender experienced in expat mortgages increases the chances of approval, especially if you have unique circumstances like being self-employed or earning foreign currency.
Raising Money or Saving Money through Remortgages
Typically, this can be done through remortgaging your UK property. This may be your residential home, a second home or Buy to Let or Commercial property. Circumstances vary but you could raise 85% of the value of residential property, this is 75% for Buy to Lets.
Remortgages are not always the most suitable or cost-effective solution. You could raise funds through a secured loan on residential or Buy to Let property. Finding a partner that considers these gives you an extra option to ensure you get the best outcome. There are also times where speed is of the essence or borrowing may only be needed for a very short-term period, again, these products are all available to Ex-PATs.
Investing in UK Property
If you are considering investing in UK property, then securing the best mortgage for your needs is essential. Ex-PAT property investment enables up to 75% of the value of the property to be borrowed meaning you may only need a 25% deposit.
As well as the typical Ex-PAT Buy to Let mortgage for a UK property purchase, there are also other methods such as Special Purpose Limited Company Buy to Let Mortgages which can sometimes be more tax efficient. Regardless of your experience or background, specialist advisers should be able to help Ex-PATs; from a first-time buyer first time landlord through to specialist large portfolio support and Ex-PAT auction finance too.
Specialist Circumstances
Ex-PAT UK mortgages are available across a range of scenarios and circumstances, just some of which are listed below:
- Commercial
- Semi-Commercial
- Air-BnB
- Holiday Let
- Debt Consolidation
- Second Home
- Adverse Credit
- Foreign Income
- Age Restrictions
- Non-Standard Construction
Currency Considerations
When pursuing an expat mortgage, it’s absolutely essential to carefully factor in the potential currency fluctuations and their significant impact on mortgage repayments over the course of the loan term.
Moving Back?
If you’re considering relocating to the UK, specialist advisors can assist you. They specialise in providing guidance for individuals who used to live abroad and are now planning to return to the UK. You can access mortgages with a loan-to-value (LTV) ratio of up to 85% as an ex-pat looking to resettle in the country.
Making an Informed Decision
Careful financial planning, understanding mortgage terms and conditions, and considering potential risks are important steps in making an informed decision when pursuing an expat mortgage.