Mortgages for Foreigners in the UK

Mortgages for Foreigners in the UK

A mortgage for foreigners in the UK offers a strategic means for non-UK citizens to access the UK property market. It can be a viable option for foreigners to buy a property in the UK for either investment or personal use, presenting an opportunity to invest in a thriving real estate landscape or create a permanent home. The rationale behind pursuing such a mortgage is grounded in practicality and financial foresight.

Can you get a Mortgage as a foreigner in the UK?

Mortgages depend on a number of eligibility and affordability criteria which are assessed by lenders. If you pass these checks and can prove that you can afford your mortgage repayments, you may be able to secure a mortgage as a foreigner in the UK.  

Whether you’re an EU citizen or from a non-EU country, GPS Financial streamlines the process to ease accessibility for non-UK citizens who are looking to invest or live in the UK.

Mortgage requirements for foreign nationals in the UK

For EU Citizens

EU citizens have higher chances of securing a mortgage in the UK because they are often treated the same as UK citizens by most lenders, but eligibility criteria still apply.

Typically, this may include having a UK bank account, a permanent job within the UK, a minimum residency period of three years, and the financial capacity to provide a deposit—where the size may vary, but some lenders may anticipate a deposit of 20% or more.

Individuals working in the UK or married to UK citizens holding corresponding visas may also benefit from a smoother application process. The eligibility of a mortgage for foreigners in the UK is often determined by the individual’s home country’s acceptance on the lender’s list.

For Non-EU Citizens

Non-EU citizens may be able to get a mortgage in the UK if they have a valid visa that allows them to work or study in the UK, or if they have a family connection to a UK citizen. However, the visa type may not be the only factor that determines their eligibility, as lenders may also look at other aspects, such as income, credit history, property value, and deposit size. The duration of the visa may also affect the mortgage terms and interest rates.

With Indefinite Leave to Remain: 

Non-EU citizens holding indefinite leave to remain benefit from a comparable set of criteria, mirroring the conditions for EU citizens. Requirements include a UK bank account, permanent employment in the UK, a three-year minimum residency, and the ability to fund a deposit, which may be expected to be 20% or more by certain lenders.

Without Indefinite Leave to Remain: 

Non-EU citizens without indefinite leave to remain can still access a mortgage in the UK, provided they hold specific visas. Options include the Tier 2 work visa, Tier 5 work visa, student visa, UK Ancestry visa, residence card, or a family visa. Speak to GPS Financial to discuss your eligibility for a mortgage as a foreigner in the UK.