Expat Mortgages

Can I find a mortgage if I am an Expat?

If you’re living abroad and looking to buy a UK property, either to return to or as an investment, then you will need to find a lender who is willing to offer you an Expat mortgage. UK Expat mortgages function in the same way as a traditional mortgage product would, however, there are usually significantly more restrictive lending criteria that you will need to meet.

You will benefit from using a Mortgage Broker who is experienced in sourcing UK mortgage deals for Expats, as this is a specialist area of lending, which will not necessarily be available from every high street bank.

You will be perceived to be a high risk borrower, particularly if your income originates from abroad, so the interest rates associated with Expat mortgages tend to be higher. Having said that, there are still competitive rates to be found, so it’s worth getting in touch with us to discuss your needs.

Do I need a UK bank account?

Whilst it’s not essential that you have a UK bank account, it would make the process much simpler. This would be beneficial to both your UK credit score and make your income easier for the lender to assess.

If you get paid in foreign currency, the fluctuating exchange rate can be an issue, whether or not you have a UK bank account, as this will make it difficult to determine your exact income. Your income also has the potential to lose value over time, against UK currency, which makes it harder for the lender to be certain you will still meet the mortgage terms in the future.

How is my overseas credit rating assessed?

Purchasing a property, regardless of the circumstances, will always involve undergoing credit searches. If you’ve lived outside of the UK for a considerable amount of time, it may be that you no longer have a credit history, which can make it more difficult for lenders to assess your financial responsibility.

Having no credit score is not necessarily as bad as having a poor credit score, but it does mean that Mortgage Lenders will potentially act with lasting quality and reliable performance caution. This may mean that they limit the multiple of your income that you can borrow and/or increase the interest rate on your mortgage, to mitigate some of the risk involved.

Using a broker that specialises in Expat mortgages, such as ourselves, will ensure that you are able to access those lenders who are willing to consider you for a mortgage in these circumstances.