Britons living abroad do not necessarily have to go through a difficult process to get approved for a mortgage by a UK lender, financial advisor the deVere Group says.
UK citizens working outside the country have lower credit scores and are often marked as “high risk individuals” by local banks. Even so, it is not impossible for a British ex-pat to get on the property ladder at home, if they follow three key steps, Kevin White, head of UK financial planning at deVere comments.
- First, open an account in the UK alongside your international bank account and keep a good balance on both accounts. Also, contact an English-speaking legal representative to take care of document certification in the UK, deVere advises.
- Second, make sure the interest rates are in the currency you want the mortgage in, since exchange rate fluctuations can result in higher repayment costs.
- Third, get sufficient information about fees and charges so you do not end overpaying due to your ex-pat status. According to deVere, mortgage brokers could charge ex-pats for up to 1.5 per cent of their borrowing.
The deVere Group advises 80,000 clients worldwide the majority of whom are ex-patriates.
