I currently live aboard as an Ex Pat and own a property in the UK which I want to refinance to get a buy to let mortgage is this possible?
As an expatriate you will be aware that getting a mortgage on your property may not be a simple as before but nevertheless there are solutions available to you.
If you have notified the existing lender that you have left the country then this is a ‘tick in the box’ but I appreciate that this rarely happens even though you were obliged to do so. The same principle applies if you have been letting it. The good news is even if you failed on these basics I should still be able to assist in getting you an ex pat mortgage, it just makes matters more difficult.
Ex Pat lenders tend to concentrate their underwriting on affordability and its verification. If you work for a Multi-National Company this becomes easier than if you are for instance self employed. Lenders also tend to be lazy so if you can calculate the sums into Sterling (GBP) when presenting the application this goes a long way. When assessing the maximum borrowing the lender may make an allowance for exchange rate fluctuations. They may also base their calculation on the net salary credit displayed in your bank statement as to not over burden themselves with the country’s taxation policy in their underwriting process.
A UK bank account is a must (even if it has just been set up) as the lender will want to make sure that the account they are collecting from adheres to the same money laundering standards which they operate under.
Frequently Asked Questions (FAQs) About Ex Pat Mortgages
What is the maximum I can borrow as an ex pat on a property that is let in the UK?
The refinancing of a property in the UK, even though you are abroad, can still release as much as 75% of the open market value as capital, which is exactly the same as a UK buy to let for a someone residing in the UK so you are not disadvantaged in that respect.
I’m an Ex Pat and want to remortgage my UK property to buy another one can you help?
Yes, we can.
How do the Ex Pat mortgage interest rates compare?
When compared to standard buy to let products the ex pat products are very similar on price and fees.
I’m an Ex Pat and want to get a mortgage but I’m paid in a foreign currency can you help?
Lenders prefer you being paid in Euros or Sterling (GBP) but if you are paid in a different currency, such as dollars, this is not insurmountable.
I’m an Ex Pat and returning to the UK to live can you help me get a mortgage?
Yes, we can.
I have a small property in the UK, as an Ex Pat can I raise a mortgage?
Yes, we can.
I’m thinking of applying for an Ex Pat mortgage what documentation will I need?
In addition to the standard documents it is likely that you will need to supply the following to support an Ex Pat mortgage application:
- An Assets and Liabilities form detailing your world wealth.
- Contract of employment including any addendums if on secondment.
- Proof that you have a UK bank account.
- Existing assured shorthold tenancy agreement (AST) for the UK property if it is currently let.
How much will Ex Pat mortgage advice cost me?
Expert Ex Pat mortgage advice is likely to cost at least 0.5% of the loan size (and more likely 1%) as this is a specialist area. Reputable Mortgage Brokers, such as Niche Advice, will only charge once the mortgage has been successful.
For more information on Ex Pat Mortgages please contact us on T: 020 7993 2044 or alternatively complete the simple enquiry form on the top right hand side of this page.
Payam Azadi is a partner at Niche Advice Ltd who are Independent Financial and Mortgage Advisers in London.