Buying Your Future UK Home Via An Expat Mortgage
Published: | 7 Jun at 6 PM |
Become a
Featured Expatand take our interview.
Become a
Local Expertand contribute articles.
Get in
touchtoday!
For expats thinking of buying a home in the UK for retirement after their contract ends, getting a mortgage can be a challenge.
At present, some four million British citizens are living overseas, with a good number preparing to return home once they’ve retired. One way of making sure there’s a home to go to is to purchase a buy-to-let property and tailor the rental lease to the end date on the overseas contract. However, if a mortgage is needed, the bureaucratic requirements can be more complicated than expected, with stumbling blocks including a reduced choice of providers, tougher ID checks and restrictions on certain countries.
Firstly, few banks and even fewer major building societies offer expat mortgages, leaving a choice of smaller or specialist lenders. The plus point is the growth in alternative providers caused mostly by increasing expat interest in buying investment properties in the home country. The three major lenders, unheard of by the majority of expats, are Kent Reliance, the Market Harborough Building Society and Al Rayan Bank. Additionally, you’ll need to accept slightly higher interest rates as well as producing a deposit of around 25 per cent of the value of the chosen property. For lenders, the margins are good and acceptable clients are normally good for the money.
Another headache could well be the fact that only expats living in certain countries are eligible for expat mortgages. Those living elsewhere are unlikely to be able to realise their dreams if their present countries of residence are deemed to have a reputation for money laundering. For example, if your present contract is with a multinational in Nigeria, an employment reference could make all the difference between outright rejection and eventual approval. Self employed expats will need to use a recognised accountancy firm.
Comments » No published comments just yet for this article...
Feel free to have your say on this item. Go on... be the first!
Celebrating Hanukkah In The Netherlands
As the year draws to a close and more and more of your daily life is conducted in the darkness of winter, the Jewish fes... Read more
Why The Netherlands Is The Best Place For Expats To Start A Business
Practica Coaching offers various coaching programmes, tailored to help you take that next step in your career or to help... Read more
How To Deal With Difficult People At Work
I was brought to tears by my boss once in my life. I was 21, inexperienced and a bit naive - just like a 21-year-old sho... Read more
7 Dutch Christmas Traditions To Incorporate Into Your Festivities
Whether this is your first Christmas in the Netherlands or you just want to start celebrating the festive season the Dut... Read more
How To Get A Car In The Netherlands: A Guide For Expats
Moving to a new country can be stressful. There is a lot to take care of, including transportation such as a car. Mobili... Read more
Dutch Tongue Twisters To Master Your Pronunciation
Learning Dutch is challenging - especially when it comes to the pronunciation - but if you really want to put yourself ... Read more