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Mortgages for Foreign Nationals
Mortgage Lane has clients from all over the globe, including foreign nationals. We are specialists in Mortgages for applicants investing in the UK from overseas, advising on buy to let and commercial property. Whether you are first time buyer or an experienced portfolio landlord we are well versed with your situation.
PROCESS BREAKDOWN
1
Information gathering and advice
The first process in your foreign national mortgage application will be gathering or updating information in relation to the property, tenants, or yourself. Once this has been established your expert expat mortgage broker will make a product recommendation.
2
Credit approval
Once you are satisfied with the product recommended and have confirmed to proceed, this will usually be submitted the same day to give you a decision, until this point there is still nothing to pay! As long as the Agreement in Principle (AIP) was approved, we can move to application stage where fees become payable.
3
Application, valuation & underwrite
Once the application is submitted, your valuation will be booked in and most of the time (depending on the lender). This will usually completed once your initial underwriting has been completed. Once the valuation is returned, if acceptable, the lender would then look to make a formal offer. You can then move to legal stage.
4
Offer and completion
Once you have had your Foreign national mortgage offer, you will require adequate legal advice and then once you’re happy, your solicitor can draw this down once the legal requirements are satisfied. Your broker at Mortgage Lane will always be checking in on the application post offer, so we are chasing for you too!
With or without a UK Footprint
For foreign nationals this is the most common hurdle is having a UK footprint, however we do work with lenders that are happy without a UK footprint, they will require you to have a UK bank account. For more information on the breakdown of a UK footprint and what that requires, please see our thread from our FAQ
Letting Types of Foreign National Mortgages
Foreign nationals usually face extra criteria requirements to obtain eligibility for some of the most competitive mortgage products in the UK. At Mortgage Lane, we are experienced to place you with the most suitable cost effective lender. Foreign national mortgage lenders can either be relaxed or more cautious when lending to applicants in relation to minimum income, loan size and experience. Below we will explain all of the letting type variations that we see, as well as information on different ownership types and how this can impact your mortgage options.
Single let mortgages for foreign nationals
A single let is a property rented to one household, or one family. Mortgage lenders do not usually require any experience for this letting type, so it can be suitable for first time investors or landlords looking to expand their portfolio.
Applicants with experience and a footprint in the UK will have access to tier 1 mortgage products that come at a reduced cost of borrowing, with single lets being low risk this can often be the lowest cost mortage products available to an overseas investor.
Lenders will access these properties against the valuers estimation of what the Assured Shorthold Tenancy (AST) will produce in rental income and not what you’re achieving. Please see more information on stress testing in our FAQ.
Specialist build types
At Mortgage Lane we are used to complex cases where the property might be non standard construction. We have successfully obtained foreign national mortgages on the following residential buy to let property types:
- Cornish construction
- BISF Steel construction
- Precast reinforced concrete (PRC) construction
- Timber builds
- Timber frame
- Flat roof
- Deck access
- Single skin build
- Woolaway bungalows
- Colt bungalows
HMO
For Foreign nationals it is key to have some form of property experience before seeking a mortgage for a HMO property, otherwise rates may be less competitive.
Clients looking for mortgages on large HMO properties usually will require a lender using a local commercial valuer to commission an investment valuation report. This will provide the most accurate and appropriate valuation for this asset type. For experienced applicants there are many options for lending on these property types for a range of loan to values between 60-80%.
Any HMO with 7 or more rooms will require planning or a certificate of lawful use in order to be a compliant dwelling. Lenders will want to see this, so for purchases it is best to get this in advance. As well as planning you will require HMO licensing requirement. This licence is essential when securing a mortgage for an HMO property.
Contact us here to find out more about HMO mortgages for Foreign nationals!
Social housing mortgages for foreign nationals
For foreign nationals looking to rent their investment property to a housing association or a charity on a long term lease will require specialist mortgage options.
Given that the letting type is specialist, the most competitive lenders often require some experience. This tends to be for 1-2 years in managing a UK buy to let, some lender will also take experience from overseas properties, but this is not widespread across all lending.
Our expertise encompasses properties leased to a broad spectrum of social housing providers, many of whom handle complex care arrangements. We are adept at assisting clients in obtaining mortgages for properties that serve a vital role in both short-term and long-term social housing.
The varied landscape of social housing requires detailed knowledge of each property’s lease agreement. It is essential for clients to provide Mortgage Lane with comprehensive lease details for the property they are looking to purchase or remortgage. This enables us to accurately match you with a lender that is open to the lease’s specific conditions, including the social housing provider, lease duration, and tenant demographics.
In the realm of Social Housing Residential Buy to Let, we often encounter tenant types such as:
- Care leavers
- Individuals in need of assisted care
- Ex-offenders
By understanding the diverse needs of these tenant groups, we can ensure that the mortgage products we recommend are perfectly suited to the unique challenges and requirements of your Social Housing Residential Buy to Let property, guaranteeing a customised and efficient mortgage solution.
Heritage properties
Grade 1 and Grade 2 listed buildings are not always approved by foreign national mortgage lenders, however the advisors at Mortgage Lane are connected with lenders that have products designed to lend against these asset types. These properties tend to be large in value and size, therefore we often see them designed as flats or Multi Unit Freehold Blocks (MUFB).
Foreign Nationals we can help
Being a foreign national, you will not always qualify for standard mortgage products, having a mortgage broker will help direct you to the cheapest lenders available to you. Not all of these lenders are easy to reach, some do not deal with consumers directly. At Mortgage Lane we are used to complicated scenarios with expat lending, so if you have even more added complications to your case, try out one of our expert mortgage brokers.Locations of our overseas clients:
- Australia
- Dubai
- Hong Kong
- Singapore
- China
- Europe
TRY OUR FOREIGN NATIONALS MORTGAGE CALCULATOR
ANSWERS TO COMMON QUESTIONS AND QUERIES ABOUT FOREIGN NATIONAL MORTGAGES
How is affordability calculated on mortgages for Foreign nationals?
Foreign national mortgage lenders on buy to let property will use the rental income of the security property, which is the property you are buying or remortgaging.
If you are buying in your own name, you may be stressed harsher than an applicant with a basic rate tax bracket. As an example a basic rate tax payer might be stressed at 125% and a higher rate tax payer at 145%. For a 5 year fixed, the lender may stress against the payrate of that product, such as 5.89% for example. In this case the calculation would go as follows for a basic rate tax payer, receiving rent of £600pcm from the property. 600 * 12 / 1.25 / 0.0589 = £97,792 (maximum loan)
It is interesting to know that Limited companies are stressed with a rental coverage of 125% mostly, unless it is a HMO. This means that if you are a higher rate tax payer, struggling with stress testing and achieving hoped loan sizes, you may be able to borrow more on a limited company mortgage.
UK mortgages for residents and nationals of Singapore?
Yes, as a resident and national of Singapore, you can obtain a buy-to-let mortgage in the UK. Here’s an overview of how this works and how Mortgage Lane can assist you in the process:
Loan to Value (LTV) Ratios:
For buy-to-let mortgages in the UK, foreign nationals, including those from Singapore, can typically expect Loan to Value (LTV) ratios between 65% and 80%. This means you would need to provide a deposit of about 20% to 35% of the property’s value.
Mortgage Lane’s Access to Lenders:
At Mortgage Lane, we have access to a range of lenders who are willing to offer mortgages to applicants from Singapore. We understand the unique needs and challenges faced by international investors and can help navigate the UK’s mortgage landscape effectively.
Credit File Review:
UK lenders will review the credit history of the applicant. For Singaporean residents, this process might involve considering any existing credit history in Singapore. If you have a strong credit history in Singapore, this can be a significant advantage in your application.
Mortgage Lane specialises in presenting your financial background in a manner that is favourable to UK lenders. We know how to highlight the strengths of your application, such as your credit history, income stability, and other financial assets.
Positive Aspects of Working with Mortgage Lane:
Expertise in International Applications: We are experienced in handling mortgage applications for foreign nationals, including those from Singapore, and understand the intricacies involved in these applications.
Personalised Lender Matching: We match our clients with lenders who best suit their specific financial situations, thereby enhancing the likelihood of obtaining a mortgage.
Assistance with Documentation: We guide you through the process of gathering and preparing the necessary documentation for your mortgage application.
Navigating Legal and Financial Requirements: We provide guidance on the legal and financial requirements for obtaining a mortgage in the UK, although we also recommend seeking specialised legal and tax advice.
Solution-Oriented Approach: Our goal is to find feasible mortgage options for our clients, regardless of their nationality or residency. We maintain a positive and proactive approach, aiming to overcome any potential challenges in the mortgage application process.
In summary, Singaporean residents and nationals can access buy-to-let mortgages in the UK. At Mortgage Lane, we are committed to assisting clients from various backgrounds, including Singapore, in securing mortgages for UK properties. Our expertise, wide-ranging lender network, and commitment to our clients’ success make us well-equipped to navigate the complexities of obtaining a mortgage for our clients.
Do foreign national lenders have a minimum loan size?
Yes, lenders who provide mortgages to foreign nationals typically have a minimum loan size. For many foreign national lenders, the common minimum loan size is usually around £100,000. However, at Mortgage Lane, we have relationships with a diverse range of lenders, and some are willing to accommodate smaller loan amounts. Specifically, we have access to lenders who can offer mortgages to foreign nationals with a minimum loan size as low as £50,000.
This can be a significant advantage for foreign nationals who might be interested in investing in lower-priced properties or who may not need a large mortgage. Our expertise and connections in the industry allow us to help our clients find suitable lenders for their unique financial requirements, even when those involve more modest loan sizes.
UK buy to let mortgages for residents and nationals of Hong Kong?
Yes, as a resident and national of America, you can obtain a buy-to-let mortgage in the UK. Let’s explore this further, including the loan-to-value ratios, global money laundering risk ratings (specifically referencing Hong Kong as an example), and how Mortgage Lane can assist:
Loan to Value (LTV) Ratios:
For buy-to-let mortgages in the UK, foreign nationals, including those from America, can typically expect Loan to Value (LTV) ratios between 65% and 80%. This means you would need to provide a deposit ranging from 20% to 35% of the property’s value.
Mortgage Lane’s Assistance:
At Mortgage Lane, we have access to lenders who are willing to provide mortgages to applicants from various countries, including Hong Kong and America. We understand the lending landscape and can find lenders who are comfortable with international applicants.
Credit File Review:
When applying for a mortgage in the UK, lenders will review your credit history. For American applicants, this involves considering your credit history in the United States. A strong credit history in your home country can positively influence your application by demonstrating financial responsibility and creditworthiness.
We at Mortgage Lane are adept at presenting your financial background to lenders in a favourable light. We understand how to highlight the strengths of your application, including your credit history, income stability, and financial assets.
Positive Aspects of Working with Mortgage Lane:
Expertise in International Applications: We have significant experience with mortgage applications for foreign nationals, including those from America and Hong Kong, and are familiar with the challenges and requirements involved.
Personalised Lender Matching: We match our clients with lenders who best fit their specific financial profiles, increasing the chances of mortgage approval.
Documentary Assistance: We guide you through the entire process, helping with the collection and submission of necessary documentation.
Legal and Financial Guidance: We provide guidance on the legal and financial requirements for obtaining a mortgage in the UK, although we also recommend seeking specialized legal and tax advice.
Solution-Oriented Approach: Our goal is to find viable mortgage options for our clients. We maintain an optimistic and proactive approach, dedicated to overcoming hurdles in complex mortgage situations.
In summary, American residents and nationals can access buy-to-let mortgages in the UK. Mortgage Lane is committed to assisting clients from various backgrounds, including those from countries with lower money laundering risk ratings like Hong Kong, in securing mortgages for UK properties. Our expertise, extensive lender network, and client-focused approach enable us to navigate the complexities of the mortgage process effectively for our clients.
In December 2023, Hong Kong was graded 4.93/10 for global money laundering risk. The Basel AML Index, which assesses this risk, is a comprehensive ranking that measures the risk of money laundering and terrorist financing in countries around the world. It takes into account factors such as financial regulation, transparency, corruption levels, and legal standards.
A score of 4.93/10 places Hong Kong in the ‘green’ category, indicating a lower risk. Consequently, countries in the green category often have more mortgage options available to their residents and nationals because of the lower perceived risk.
Can I get a mortgage without a UK footprint?
reduced options. A financial footprint typically refers to a record of financial activity and credit history within the UK.
There are indeed lenders in the UK that may offer mortgages to overseas buyers without a UK footprint, although the options are relatively limited compared to what’s available to residents and overseas buyers with an established UK credit history. Here are some key points about such lenders:
Specialist Lenders: These are typically smaller banks or financial institutions that specialise in lending to foreign nationals or expats. They may have more flexible criteria than high street banks.
Higher Interest Rates and Deposits: Due to the perceived higher risk associated with lending to someone without a UK financial history, these mortgages often come with higher interest rates and require a larger deposit, sometimes up to 20-40%.
Due Diligence and KYC (Know Your Customer) Procedures: These lenders will have rigorous due diligence processes. They will need to verify the identity of the borrower, their creditworthiness, and the legitimacy of their income sources, which can sometimes be challenging with overseas income and translations.
Use of International Credit Reports: Some lenders may accept international credit reports or work with credit agencies that can provide a global credit check.
Requirement of a UK Bank Account: While a full UK footprint might not be necessary, some lenders may require the borrower to open a UK bank account for managing mortgage payments.
Brokerage Services: As a mortgage broker, Mortgage Lane can provide invaluable service by navigating these complexities and finding the right lender for your client’s specific situation
Legal and Tax Advice: It’s also important for overseas investors to seek legal and tax advice regarding their investment, as there are specific legal implications and tax considerations for non-residents owning property in the UK.
The reason lenders require a UK footprint or are cautious with borrowers without one is mainly due to the risk assessment. Without a UK financial history, it’s harder for lenders to assess the creditworthiness and reliability of the borrower. This uncertainty is often mitigated by higher interest rates and larger deposits.
As a broker, it’s important to advise our clients about these aspects and help them understand the additional costs and requirements they might face when seeking a mortgage in the UK without a local financial history.
As a mortgage broker in the UK, we encounter clients from overseas who wish to invest in the UK property market, particularly for buy-to-let or commercial purposes. Finding a mortgage for such clients can be challenging, especially if they do not have a financial footprint in the UK. A financial footprint typically refers to a record of financial activity and credit history within the country.
There are indeed lenders in the UK that may offer mortgages to overseas buyers without a UK footprint, although the options are relatively limited compared to what’s available to residents with an established UK credit history. Here are some key points about such lenders:
Specialist Lenders: These are typically smaller banks or financial institutions that specialize in lending to foreign nationals or expats. They may have more flexible criteria than high street banks.
Higher Interest Rates and Deposits: Due to the perceived higher risk associated with lending to someone without a UK financial history, these mortgages often come with higher interest rates and require a larger deposit, sometimes up to 35-40%.
Due Diligence and KYC (Know Your Customer) Procedures: These lenders will have rigorous due diligence processes. They will need to verify the identity of the borrower, their creditworthiness, and the legitimacy of their income sources, which can sometimes be challenging with overseas income.
Use of International Credit Reports: Some lenders may accept international credit reports or work with credit agencies that can provide a global credit check.
Requirement of a UK Bank Account: While a full UK footprint might not be necessary, some lenders may require the borrower to open a UK bank account for managing mortgage payments.
Brokerage Services: As a mortgage broker, you can provide invaluable service by navigating these complexities and finding the right lender for your client’s specific situation.
Legal and Tax Advice: It’s also important for overseas investors to seek legal and tax advice regarding their investment, as there are specific legal implications and tax considerations for non-residents owning property in the UK.
The reason lenders require a UK footprint or are cautious with borrowers without one is mainly due to the risk assessment. Without a UK financial history, it’s harder for lenders to assess the creditworthiness and reliability of the borrower. This uncertainty is often mitigated by higher interest rates and larger deposits.
As a broker, it’s important to advise your clients about these aspects and help them understand the additional costs and requirements they might face when seeking a mortgage in the UK without a local financial history.
What is a day one foreign national mortgage?
A “day one mortgage” allows you to remortgage your property without the traditional waiting period. Historically, many buy-to-let lenders adhered to a “six month rule”, which posed challenges, particularly for investors employing the Buy, Refurb, and Refinance (BRR) strategy. If you’re an investor looking to capitalise on this approach, the good news is you no longer have to wait 6 months to remortgage the property based on its updated post-refurbishment valuation!
Can I overpay on my interest only mortgage?
Yes, some lenders offer a 10% overpayment facility, per annum.
This means that if your principal loan was £125,000 then you could repay £12,500 per annum as an overpayment without incurring a penalty within your fixed term.
However, it is important to note that many lenders are stripping this from their product ranges, so it is always worth checking to avoid paying exit fees on amounts repaid.
Can I use a buy to let mortgage if I am buying at auction?
Yes. However, it is not advised, especially if you are buying in a traditional auction with just 28 days to complete. Traditional auctions are more generous on time, but if you are buying via the traditional auction route then it is unlikely you will get a mortgage offer and subsequently, legal searches of which some councils are taking over 6 weeks to return.
Where do you broker Buy to Let mortgages in the UK?
We assist our clients with buy to let mortgages in England, Wales, Scotland and Northen Ireland.
Can I get a UK mortgage for a Buy to Let if I am Australian?
Yes, as an Australian, you can obtain a mortgage in the UK for a buy-to-let property. Mortgage Lane, as a broker, can play a vital role in facilitating this process for you. Here’s how we can assist and what you should know about the credit check process by UK lenders:
How Mortgage Lane Can Help:
Access to Suitable Lenders: We have established relationships with various lenders who are comfortable providing mortgages to foreign nationals, including Australians. We can identify those most likely to approve your application based on your specific circumstances.
Understanding Lender Requirements: We can guide you through the specific requirements and criteria set by these lenders, which may differ from those for UK residents.
Assistance with Documentation: Organizing the necessary paperwork can be challenging, especially when it involves foreign income and credit history. We can help you compile and present your financial information in a way that UK lenders will accept and understand.
Navigating foreign income: We can assist in presenting your income evidence, whether it’s from employment or other sources, in a manner that aligns with UK lenders’ requirements.
Exchange Rate and Rental Income Assessment: We’ll help you understand how exchange rate fluctuations can impact your mortgage and rental income, and ensure that the potential rental income meets the lender’s criteria.
Guidance on Legal and Tax Implications: While we are not legal or tax experts, we can direct you to the appropriate professionals and ensure you’re aware of the legal and tax obligations of owning a buy-to-let property in the UK.
Credit Check Process for Australian Applicants:
UK Credit History: If you have a UK credit history, lenders will review it as part of the application process. However, as an Australian, it’s likely you may not have this.
International Credit Reports: Some UK lenders may consider international credit reports. We can help identify lenders who accept these reports and assist in obtaining one from Australia.
Alternative Credit Verification: In the absence of a UK credit history, lenders might look for alternative ways to assess your creditworthiness. This could include reviewing your banking history, asset ownership, or credit status in Australia.
Proof of Financial Stability: Lenders will want evidence of your financial stability. This includes bank statements, proof of income, and possibly references from your bank or financial institution in Australia.
Enhanced Due Diligence: Expect thorough due diligence by the lender, as they will be keen to understand your financial background and the risk involved.
Impact of Exchange Rates: Lenders might also consider how exchange rate fluctuations could affect your ability to make mortgage payments, as your income and liabilities may be in Australian Dollars.
Conclusion:
Obtaining a buy-to-let mortgage in the UK as an Australian is certainly feasible, but it requires careful navigation of the application process and understanding of both UK and Australian financial contexts. At Mortgage Lane, we specialise in helping international clients like yourself secure mortgages in the UK, offering guidance and expertise every step of the way. Our goal is to streamline the process, ensuring you meet all requirements and increase your chances of a successful application.
UK mortgages for a Chinese national residing in China?
How Mortgage Lane Can Help:
Identifying Suitable Lenders: We can help identify lenders who are comfortable offering mortgages to international clients, including Chinese nationals. Not all lenders may have the facilities to handle international applications, so our expertise can save you significant time and effort.
Guidance on Lender Requirements: Different lenders have different criteria for foreign nationals. We can guide you through these requirements, ensuring that you meet them effectively.
Assistance with Documentation: We can help you gather and present the necessary financial documentation in a manner that is acceptable to UK lenders, including converting documents into English where necessary.
Understanding of Exchange Rate Impact: We will assist you in understanding how exchange rate fluctuations between the Pound Sterling and the Chinese Yuan might affect your mortgage payments.
Support in Building a UK Credit Profile: If you don’t have a UK credit history, we can advise on steps to start building one, if applicable, or find alternative solutions.
Navigating Legal and Tax Implications: We can point you towards legal and tax advice specific to your situation as an international investor in the UK property market.
Credit Check Process for Chinese Applicants:
UK Credit History: If you have an existing credit history in the UK, lenders will review it as part of the application process. However, most Chinese nationals may not have this.
International Credit Reports: Some UK lenders may accept or request an international credit report from China. This provides a history of credit use and repayments, though not all UK lenders are equipped to interpret these reports.
Bank Statements and Financial History: In the absence of a UK credit history, lenders will likely scrutinise bank statements and financial records to assess your financial stability and ability to repay the mortgage.
Income Verification: Proof of income is crucial. This might include salary slips, tax returns, or other documentation that proves your income in China.
Asset Assessment: Lenders may evaluate your assets, including those in China, to determine your financial stability.
Existing Liabilities: Any existing debts or liabilities in China will be taken into account to understand your overall financial commitments.
Specialist Underwriting Processes: Applications from foreign nationals are often subject to more manual underwriting processes, which can take longer and require more detailed financial analysis.
Exchange Rate Considerations: The lender will consider the impact of exchange rate fluctuations on your income, especially if it is in Yuan, and your ability to meet mortgage payments in Pounds.
Proof of Identity and Residency: As part of anti-money laundering checks, you will need to provide identification and proof of residency.
Conclusion:
Obtaining a buy-to-let mortgage in the UK as a Chinese national involves navigating a complex set of requirements and checks. Mortgage Lane can facilitate this process by providing expert guidance, identifying appropriate lenders, and assisting with the application process. Our goal is to make your investment in the UK property market as smooth and successful as possible.
UK buy to let mortgages for Americans living in the US?
Yes, as a resident and national of America, you can obtain a buy-to-let mortgage in the UK. Here’s an overview of the process and how Mortgage Lane can assist you:
Loan to Value (LTV) Ratios:
In the UK, buy-to-let mortgages for foreign nationals, including Americans, typically have Loan to Value (LTV) ratios ranging between 65% and 80%. This means that you would be expected to provide a deposit of about 20% to 35% of the property’s value.
Mortgage Lane’s Role:
At Mortgage Lane, we have a network of lenders who are inclined to provide mortgages to applicants from America. Our familiarity with these lenders’ criteria and requirements makes us well-positioned to facilitate your mortgage application process.
Credit File Review:
When applying for a mortgage, UK lenders will review your credit history. For American applicants, this includes considering your credit history in the United States. A strong US credit history can be a significant advantage in your application, demonstrating financial responsibility and creditworthiness.
At Mortgage Lane, we specialise in showcasing the strengths of your financial profile to potential lenders. This involves strategically presenting your credit history, income stability, and other financial credentials.
Positive Aspects of Working with Mortgage Lane:
Expertise in International Mortgage Applications: We have extensive experience handling mortgage applications for foreign nationals, including Americans, and understand the nuances and challenges involved.
Tailored Lender Matching: We tailor our lender recommendations to suit your specific financial situation, thereby enhancing the likelihood of securing a mortgage.
Assistance with Documentation: We guide you through the process of gathering and preparing the necessary documentation for your mortgage application.
Navigating Legal and Financial Requirements: We can provide guidance on the legal and financial aspects of obtaining a mortgage in the UK, though we always recommend also seeking specialised legal and tax advice.
Focus on Solutions: Our approach is centred on finding viable mortgage options for our clients, regardless of their nationality or residence. We maintain a positive and proactive attitude, aiming to overcome any potential challenges in the mortgage application process.
In summary, American residents and nationals have a good chance of securing a buy-to-let mortgage in the UK, especially with the assistance of a knowledgeable broker like Mortgage Lane. Our expertise, wide range of lender contacts, and commitment to our clients’ success make us well-equipped to navigate the intricacies of obtaining a mortgage for UK properties for clients from the United States.
Can I get UK mortgage if I do not have any experience?
Mortgage Lane specialise in assisting overseas clients who are interested in buying property in the UK for buy-to-let or commercial purposes. A common question we encounter is whether there are lenders who provide mortgages to individuals without prior property management or investment experience.
Lenders Without Experience Requirement: Yes, there are lenders who do not require previous property management or investment experience. At Mortgage Lane, we work with a variety of lenders, some of whom are flexible regarding the experience level of the borrower. This is particularly beneficial for first-time investors or those new to the UK property market.
Other Lenders’ Requirements: It’s important to note, however, that while some lenders we work with do not require experience, others might. These lenders often assess the risk based on the borrower’s experience in managing property, especially for buy-to-let or commercial investments.
UK Footprint Requirement: Most lenders, including those willing to work with inexperienced investors, will require a UK bank account but there are lenders that exist that do not require a total footprint with credit history. See more information on mortgage requirements for UK credit footprints here.
Our Role at Mortgage Lane: As your broker, our role at Mortgage Lane is to guide you through these requirements. We help you understand the lender’s criteria, assist in building a UK financial presence if necessary, and match you with the right lender based on your unique circumstances.
Tailored Services for Overseas Buyers: We understand that buying property in the UK as an overseas investor comes with its unique set of challenges. Our expertise lies in providing tailored services that cater to your specific needs, whether you’re an experienced investor or venturing into the UK property market for the first time.
What is an interest only foreign national mortgage?
An interest only expat mortgage is a mortgage, where you will only repay the interest on the principle amount borrowed. This can be useful for investors on buy to let mortgages, whereby they build this into their cashflow. However, for residential mortgages it requires more planning as “sale of security” isn’t so much of a widely accepted exit strategy for mortgages on primary residence.
What is a buy to let foreign national mortgage?
A buy to let mortgage is used to purchase a property that you intend to rent out to a residential tenant on one tenancy agreement. Usually people take Interest only but capital repayment buy to let mortgages are also available for foreign nationals.
Minimum income for foreign national mortgages?
No
Some may have a minimum income of £35,000
Historically more lenders did have a minimum incomes for Buy to Let mortgages, however, more do not. There are still a few that require a minimum income, but rest assured that if you are earning below £35,000 there are plenty of buy to let mortgage options out there for you.
What entities can take a buy to let mortgage?
We arrange cost-effective BTL mortgages for:
- Individuals
- Special Purchase Vehicles/Limited Companies
- Limited Liability Partnerships (LLP)
- Trading companies
- Charities
- On/Offshore Trusts
Are buy to let mortgages regulated?
It is important to note that Buy to let mortgages are not covered by the Financial Services Compensation Scheme, so borrowers should ensure they are dealing with a reputable lender.
TITLE RELATED TO BLOGS ON MORTGAGES
At Mortgage Lane, we see the most complex of foreign national mortgage applications, some of which make a good read for investors looking to learn from other applicants challenges, or for those effected by the topics! See more buy to let mortgage topics covered in our blog here.
BEGIN YOUR FOREGIN NATIONAL MORTGAGE JOURNEY WITH US TODAY
Let us know about your enquiry and one of the team at Mortgage Lane will be in contact to assist!