Expat Mortgage Brokers for UK Property
#1
Forum Regular
Thread Starter
Joined: Feb 2009
Location: From Capital of Culture '08 to Capital of WA '12
Posts: 76
Expat Mortgage Brokers for UK Property
Hi,
does anyone have any experience of arranging a mortgage for a UK property (more than likely a buy-to-let and possibly also a re-mortgage of another) whilst in Aus?
There seems to be a limited number of lenders for expat mortgages, especially for buy-to-let, but am now wondering if it might be better to try and find a specialist broker who may have access to more.
Cheers
does anyone have any experience of arranging a mortgage for a UK property (more than likely a buy-to-let and possibly also a re-mortgage of another) whilst in Aus?
There seems to be a limited number of lenders for expat mortgages, especially for buy-to-let, but am now wondering if it might be better to try and find a specialist broker who may have access to more.
Cheers
#2
Re: Expat Mortgage Brokers for UK Property
Hi,
does anyone have any experience of arranging a mortgage for a UK property (more than likely a buy-to-let and possibly also a re-mortgage of another) whilst in Aus?
There seems to be a limited number of lenders for expat mortgages, especially for buy-to-let, but am now wondering if it might be better to try and find a specialist broker who may have access to more.
Cheers
does anyone have any experience of arranging a mortgage for a UK property (more than likely a buy-to-let and possibly also a re-mortgage of another) whilst in Aus?
There seems to be a limited number of lenders for expat mortgages, especially for buy-to-let, but am now wondering if it might be better to try and find a specialist broker who may have access to more.
Cheers
#3
Lost in BE Cyberspace
Joined: Dec 2010
Posts: 14,040
Re: Expat Mortgage Brokers for UK Property
Yep. There are some tax changes coming to the UK for buy to let.
In my efforts for this, its proved near impossible. The brokers can only find loans with massive interest rates, that require massive deposits. But the real killer is your income. They want you to be earning the value of the property in a single year. And when all that is said and done, and if they are the rules and you can meet them, then you wouldn't need a mortgage in the first place.
In my efforts for this, its proved near impossible. The brokers can only find loans with massive interest rates, that require massive deposits. But the real killer is your income. They want you to be earning the value of the property in a single year. And when all that is said and done, and if they are the rules and you can meet them, then you wouldn't need a mortgage in the first place.
#4
Re: Expat Mortgage Brokers for UK Property
Not too sure about brokers, but you do realise that the laws on buy-to-let have changed very recently or are about o, and also the rules on taxation of them, so it might be a good idea, if you haven't already done so, to familiarise yourself with them. A number of UK owners of rental properties have already said that with the new regulations they are going to have to sell up.
#5
Re: Expat Mortgage Brokers for UK Property
Yep. There are some tax changes coming to the UK for buy to let.
In my efforts for this, its proved near impossible. The brokers can only find loans with massive interest rates, that require massive deposits. But the real killer is your income. They want you to be earning the value of the property in a single year. And when all that is said and done, and if they are the rules and you can meet them, then you wouldn't need a mortgage in the first place.
In my efforts for this, its proved near impossible. The brokers can only find loans with massive interest rates, that require massive deposits. But the real killer is your income. They want you to be earning the value of the property in a single year. And when all that is said and done, and if they are the rules and you can meet them, then you wouldn't need a mortgage in the first place.
This has been my experience as well. Euro mortgages are much easier to arrange however. Maybe buy to let in Paris instead?
S
#6
Lost in BE Cyberspace
Joined: Dec 2010
Posts: 14,040
Re: Expat Mortgage Brokers for UK Property
Really? The main change to taxation is new stamp duty regulations, which would not effect existing landlords. The other change is that mortgage interest will only be allowable at the basic rate. An unprecedented step in accounting and taxation, but I am still not sure it would lead to landlords selling up in droves. But yes certainly, this government has it in for the private landlord and who knows what will come next.
In addition, if the OP is an expat, and earns their income abroad then the tax changes on interest will have no effect.
I'm no accountant, correct me if I'm wrong.
#7
Lost in BE Cyberspace
Joined: Dec 2010
Posts: 14,040
Re: Expat Mortgage Brokers for UK Property
1 bedroom flat for sale in Liddle Road, Fenham,, NE4
#8
Re: Expat Mortgage Brokers for UK Property
Take the mortgage out of the equation. 10% yield right there.
1 bedroom flat for sale in Liddle Road, Fenham,, NE4
1 bedroom flat for sale in Liddle Road, Fenham,, NE4
That's a lot better than my worthless Super - and I think I could probably scrape the cash together for that as well...
Leasehold I assume?
S
#10
Re: Expat Mortgage Brokers for UK Property
I've been looking at this as well. I like the fact that Negative Gearing is available on overseas investment properties, despite the fact that it makes absolutely no sense whatsoever.
A second property would be a good investment I think - just not in Australia.
I did some research into Euro Mortgages back along when I was looking at French properties. I've put this on hold now, until after the referendum has finished - I really don't want to end up with a house I'm not allowed to live in!
France Home Finance
It was a lot better for expats looking to obtain a mortgage, though the minimum mortgage amount was €100,000.
S
#11
Lost in BE Cyberspace
Joined: Dec 2010
Posts: 14,040
Re: Expat Mortgage Brokers for UK Property
I've been looking at this as well. I like the fact that Negative Gearing is available on overseas investment properties, despite the fact that it makes absolutely no sense whatsoever.
A second property would be a good investment I think - just not in Australia.
I did some research into Euro Mortgages back along when I was looking at French properties. I've put this on hold now, until after the referendum has finished - I really don't want to end up with a house I'm not allowed to live in!
France Home Finance
It was a lot better for expats looking to obtain a mortgage, though the minimum mortgage amount was €100,000.
S
A second property would be a good investment I think - just not in Australia.
I did some research into Euro Mortgages back along when I was looking at French properties. I've put this on hold now, until after the referendum has finished - I really don't want to end up with a house I'm not allowed to live in!
France Home Finance
It was a lot better for expats looking to obtain a mortgage, though the minimum mortgage amount was €100,000.
S
#12
Re: Expat Mortgage Brokers for UK Property
From what I can see, and I could be wrong, the stamp duty increases would only affect those buying a second property. So if the OP has never bought a property before this may not affect them.
In addition, if the OP is an expat, and earns their income abroad then the tax changes on interest will have no effect.
I'm no accountant, correct me if I'm wrong.
In addition, if the OP is an expat, and earns their income abroad then the tax changes on interest will have no effect.
I'm no accountant, correct me if I'm wrong.
#13
Re: Expat Mortgage Brokers for UK Property
What are the new rules BS? In a nutshell for laypeople...
S
#14
Re: Expat Mortgage Brokers for UK Property
In a nutshell it is that mortgage interest relief can only be obtained at the basic rate of interest. So a higher rate tax payer is paying tax on revenue at the higher rate but can only offset this expense at basic rate.
So only effects higher rate tax payers and only to the tune of mortgage interest, hence I questioned earlier on the thread whether landlords really would be selling up left right and centre. Having said that it is extraordinary to have income and expenses of the same business taxed differently, normally tax is paid on profit.
So only effects higher rate tax payers and only to the tune of mortgage interest, hence I questioned earlier on the thread whether landlords really would be selling up left right and centre. Having said that it is extraordinary to have income and expenses of the same business taxed differently, normally tax is paid on profit.
#15
Lost in BE Cyberspace
Joined: Dec 2010
Posts: 14,040
Re: Expat Mortgage Brokers for UK Property
In a nutshell it is that mortgage interest relief can only be obtained at the basic rate of interest. So a higher rate tax payer is paying tax on revenue at the higher rate but can only offset this expense at basic rate.
So only effects higher rate tax payers and only to the tune of mortgage interest, hence I questioned earlier on the thread whether landlords really would be selling up left right and centre. Having said that it is extraordinary to have income and expenses of the same business taxed differently, normally tax is paid on profit.
So only effects higher rate tax payers and only to the tune of mortgage interest, hence I questioned earlier on the thread whether landlords really would be selling up left right and centre. Having said that it is extraordinary to have income and expenses of the same business taxed differently, normally tax is paid on profit.