According to the most recent figures, more than 6 million foreign nationals live in the UK, including 3.7 million from the European Union.
Whatever the reason for arriving in the UK, it’s likely that you will want to buy a property here. Buying a home can offer more security for you and your family and may be a more cost-effective way of living in the UK.
However, one of the challenges you may face is that mortgage lenders have a myriad of different criteria when lending to foreign nationals. If you approach many high street banks and building societies directly, you’ll find that they have a range of rules for foreign nationals that can be difficult to navigate.
As experts in mortgages for foreign nationals, we can help you to get the finance you need to buy a property in the UK. To help you, we’ve produced a comprehensive guide to foreign national mortgages that you can download now. It will answer many of the questions you have and explains everything you need to know if you’re buying in the UK.
Here’s a summary of the key areas covered in the guide.
Your visa status and what it means for your mortgage
As a foreign national, your visa status is likely to play a major role in whether a lender will agree the mortgage you need.
You can expect a lender to ask questions such as:
- How long have you lived in the UK?
- How long do you plan to remain here?
- Do you have indefinite leave to remain in the UK?
- If you have a visa, how long is remaining on your visa to stay in the UK?
- What sort of visa is it (e.g. a spouse or student visa, a Tier 2 visa, etc.)?
- If you’re an EU national, do you have “settled” or “pre-settled” status?
We have strong working relationships with many of the UK’s leading lenders, so an early conversation with you about your residency status can often save a lot of time later.
Your UK credit score
Applying for credit is country specific. There’s no general credit score or credit rating that travels with you around the world, that lenders use wherever you happen to live.
Of course, one of the key considerations for any lender is: how have you managed your money in the past?
As a foreign national in the UK, it can be important for you to build up a credit record while you’re in the UK. Download our foreign nationals mortgage guide for tips on how to do this.
If a lender can easily find you when they undertake a credit check and can see that you have carefully and responsibly managed your UK accounts, it makes it more likely that they will lend to you.
How to prove your income
When applying for a mortgage on a property in the UK, a lender will want to see proof of your income. You’ll need to evidence what your earnings are, where they come from, and that you can afford the mortgage.
As a foreign national, there are several reasons this could be more complex. For example:
- Part of your income might be in a foreign currency
- You may receive a bonus paid in US dollars or euros
- You have a “split contract” that pays part of your income offshore.
While many UK lenders struggle to take overseas income into consideration, there are mainstream lenders out there that can consider your application – and we have the contacts and knowledge to find them.
Guiding you through the UK house buying process
Buying a property in the UK may be different to a transaction in another country. The process works differently to many other nations, and it’s easy to be confused by legal jargon, the valuation, and the UK’s property tax system.
As we have wide experience in assisting foreign nationals, we can guide you through the process and explain the various steps. Getting professional advice can help you to avoid costly mistakes.
We can help you to find a lender that will agree the mortgage you need at a competitive rate. We can also liaise with solicitors, conveyancers, surveyors, and the estate agent to make sure everything goes smoothly.
Get in touch
The international background and vast experience of our advisers and management team mean we have an unparalleled network of contacts. This means we can find a lender who is prepared to agree finance for a wide range of foreign national clients – often with mainstream lenders at highly competitive rates.
Regulated by the Financial Conduct Authority (FCA), our team have more than 40 years’ experience in banking and finance. We boast excellent links with a wide range of lenders, specialising in UK property finance for foreign nationals.
Don’t approach a lender with trepidation – speak to an expert instead.
Download the foreign nationals mortgage guide now, email [email protected] or call us on +44 (0) 20 3786 7270.
