Your guide to securing a mortgage for a UK property purchase when living abroad

Purchasing a property in the UK while living abroad is a dream for many people. The UK real estate market is pretty lucrative and many people wish to invest in it. However, this process can be a little complicated for non-residents, especially when it comes to getting international mortgages in the UK.

In this guide, we will walk you through the steps and points of consideration for securing a UK property mortgage while living abroad.

Can non-residents get a mortgage for a UK property purchase?

The short answer to this question is, YES! You can get a mortgage from international banks or specialist lenders. The mortgage rates that you can secure will vary depending on your employment profile, country of residence and nationality. There are lenders who offer competitive rates to clients who are living and working in safe countries. Where clients are based in high risk countries, lending option are still available however because the risk profile is higher, it may result in a higher rate of interest payable on the mortgage. If you meet the following criteria the process of securing a mortgage from a wider pool of lenders becomes easier:

1. A UK national living abroad.
2. An EU Citizen.
3. A resident of the GCC countries.
4. Living and residing in Hong Kong, Singapore and China.
5. Joint Mortgage with a UK National.

If none of these criteria apply to your mortgage application, you may still be able to get a foreign mortgage in the UK. Speaking with a mortgage expert in international and expat mortgages will help you to identify the best options available.

Securing a mortgage

The first step here is to determine your eligibility. Lenders in the UK would want the following information from you:

Credit History

A good UK credit history is helpful but not essential for expat and international mortgages.

Income and Employment

Even if you are living abroad, you will need to show your employment status and ensure that you have a stable income source.

Next, you will need to determine the type of mortgage. You can either opt for a residential mortgage or a buy-to-let mortgage. If you or your family members are planning to live in the property, you can get a residential mortgage, which is easier to secure. If you are just looking for an investment, you will have to secure a BTL mortgage.

You will also need to gather all the required documentation. Lenders will want to verify various documents to assess your eligibility and financial situation. These documents usually include:

1. Proof of Identity.
2. Proof of Income.
3. Proof of Residency.
4. Credit Report.
5. Property Details.

You should also consider getting pre-approved for a mortgage before you start house hunting. In this process, a lender will review your financial information and provide you with conditional approval for a specific loan amount.

Get Assistance

Securing the right overseas mortgages in the UK can be a challenging task if you are living abroad. That is why, it is always advisable to work with a mortgage broker who specializes in working with non-residents, such as our mortgage experts at Visionary Finance. They can help you find a range of lenders and mortgage products after assessing your financial situation and requirements. When securing a mortgage as an expat or non-resident, it is essential to find lenders who are open to working with international buyers. This is where mortgage brokers can be helpful. They can recommend specialist lenders who would be willing to work with you. They can also assist with the application process, making it smoother and more efficient.

While all this may seem like a daunting task, with the right preparation and guidance, it is entirely possible. Remember to research, plan, and budget carefully so that your property buying experience can be profitable.