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If you find buying a property in the UK is tempting you, then do check out our mortgage guide for expats as well as non-residents.

Before looking at properties for sale in UK, check out our guide to make a calculation of how much you can realistically borrow from the bank and what property prices you can afford.

There are no restrictions on foreigners applying for a UK mortgage, but UK mortgage conditions can differ depending on whether you are a resident or non-resident in the UK.

London UK Property mortgage guide, Major London Banks for expats and non residents

Here are some points we would advise you to take into consideration when taking a mortgage:

  • We can arrange a discussion for you with one of our expert mortgage consultants. This will really help get your property search off to the best start. Even better you can go through a pre-application to get definite terms, this will help speed up the process after having found your dream property.
  • Arranging a mortgage through your own bank can often be a great idea as you are a known customer to them however it is advised to compare with different rates in the market to secure the best deal.
  • Interest Rates currently range around 1-3%. However, rates do vary on a case-to-case basis and depend on different lenders criteria as well as your circumstances and requirements.
  • The loan-to-value (LTV) ratio provided for international buyers can range between 65-75%.
  • Mortgages in the UK have two different options for payments. And purchasers can select between an Interest Only or Interest and Capital repayment option. Interest Only mortgage terms are between 5-15 years whilst interest and capital repayment mortgages are up to 25 years. Both, however, do depend upon the age of the borrower.
  • Interest rates can be arranged for a fixed-term of 2-10 years to give you peace of mind so that you can calculate your monthly payments and not need to re-mortgage for 5 years.
  • Some banks are more lenient than others when it comes to lending money. For example, there are some banks that will lend money up to the age of 80! This is great news for seniors.
  • Sometimes to avoid hefty stamp duty bills a guarantor may be used for a mortgage.
  • Lenders often look at rental income for investment properties as well as client’s income. It’s important to factor in different income sources when calculating what you can afford.


In the UK, there are many different terms and options available for mortgages. This can be confusing for borrowers, but luckily, we have the best mortgage professionals at hand that can help guide you through the process. With so many options available, it’s important to find the mortgage that best suits your needs.

One decision that buyers need to make when selecting their mortgage is whether they will be taking out an interest-only mortgage or a repayment mortgage.


If you are taking a repayment mortgage your monthly costs will be split into repayment of the debt and interest payments. In the initial years, the amount you spend on interest payments will be significantly more than paying off your debt. However, as you approach the end of your mortgage you will be paying the lion’s share of your debt and less interest.


Conversely, an interest-only mortgage provides significantly lower monthly costs, however, at the end of the term, you still owe the bank the same amount of money that you borrowed. The advantage of an interest-only mortgage is that whilst the property is rented out you will have some income that you can either save to pay off the property eventually or consider as your ROI. Once you sell the property and pay back the mortgage, you will have earned the income plus the capital gains of the property.

Typically, we find that end users prefer repayment mortgages for homes they wish to live in. Investors typically chose interest-only mortgages for their investment properties, so as to keep outgoings low and profits higher.


Fixed-rate mortgages are becoming more and more popular these days due to uncertainty in the economic climate. As the name suggests the interest rate will be fixed for a certain number of years, typically between 2-10 years. The benefit of a fixed-rate mortgage is you will know your outgoings exactly for a certain number of years, despite changes in the economy. Once the term is finished the rate will revert to the lender’s standard variable rate. You also have the option to apply for another fixed-rate term at this stage.

Of course, on the other hand should interest rates fall you will be tied into the fixed rate term for the number of years you initially elected for.


Variable rate mortgages follow the Bank of England’s base interest rate as well as the bank’s lending criteria.


A tracker mortgage like a variable rate mortgage will follow the Bank of England’s interest rates, however, this will be set a certain amount above the Bank of Englands rates. So, when the rates go up so will the mortgage payments and when the rates come down the mortgage payments will do too.


A capped rate mortgage follows the same concept as the tracker however it will have a set cap which it will not increase above, this provides a certain amount of certainty for the client.

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