Buy to Let Mortgages for Foreign Nationals
Buy to Let Mortgages for Foreign Nationals
If you are a foreign national, you may or may not know that obtaining a buy to let mortgage can often be a difficult and time consuming process. When looking for a buy to let mortgage in the UK, there are a number of changes that you should consider.
From 2017, lenders will require applicants to have a rental coverage ratio of at least 145% for normal buy to lets and 175% for houses in multiple occupation buy to lets. The additional 45%-75% rental coverage ratio is aimed to provide a ‘safety net’ to cover any period of time where the property is without tenants. This may be an issue for applicants, as lenders require a professional surveyor to provide the estimate and simply raising the rent will not suffice.
Also, it should be noted that due to the changes in how the buy to let market is regulated, lenders will apply a stricter income stress test. This is to ensure that the applicants can afford mortgage payments even in the event that interest rates increase to 5.5%. This could make it harder for applicants to secure a buy to let mortgage and may result in fewer applications being successful.
Whilst obtaining a buy to let loan for your property becomes more difficult if you are a foreign national, a good number of lenders still do not see this as a barrier towards gaining finance. There are still a number of opportunities available for foreign nationals who are looking to get a good deal on their buy to let mortgage.
How do I find the best buy to let mortgage deal for me?
Conducting a considerable amount of research and shopping around is vital when it comes to finding the best deal available to you as a foreign national. Although we also advise contacting a mortgage broker or specialist financial adviser to assist you, this is where we can help.
We have an expert buy to let mortgage advisory team who are experienced in helping foreign nationals achieve their mortgage goals and helping them to make the best decisions for their future. We provide a whole of market service, which means we work with most UK lenders and have access to leading foreign national mortgage rates that you won’t find elsewhere on the high street.
As the process of purchasing a buy to let mortgage as a foreign national can be difficult and hard to get your head around. We provide you with guidance and unbiased advice all the way through the application process and beyond this, to help you find the buy to let mortgage deal that is most suitable for your own personal circumstances.
So if you would like any assistance or advice on purchasing a buy to let mortgage as a foreign national, don’t hesitate to call us today on +44 117 403 4474 or request a call back by filling in our call back form.