Ask the Specialist

Capital Fortune are asked to help clients on a daily basis, whether it be with a new purchase, remortgage, buy to let or something more unusual. We typically help clients with non-standard, unusual or complex situations and have created this section to allow you to ask our team of specialists any question you may have. Feel free to browse the list of questions and responses. Please note we provide information only in response to the questions posed and not advice. If you do seek advice then feel free to speak to one of our Advisers by calling 0207 710 0400 or send us an enquiry online and one of our Advisers will call you back.

My daughter has moved into the area and her husband is working abroad for a UK company. What kind of mortgage could be offered to them?

on 29 March 2014.

My daughter has moved into the area and her husband is working abroad for a UK company.

She is at home with their young son who attends the local nursery, they are renting and paying council tax.

They wish to buy a house here in the UK with a joint mortgage. The price of the house is £140K.

What kind of mortgage could be offered to them? Lynne.

 


Ask the Specialist response:

Lynne, we call these types of mortgages "Expat Family Residence" or "Offshore Worker" mortgages. There are special offshore worker and expat mortgage schemes available for this particular situation.

Clients that we help with similar circumstances to your daughter generally have their family members living in the UK with a partner working overseas and possibly returning back to the UK every so often to see family etc.

It can cause a number of difficulties when trying to arrange this type of mortgage with lenders.

Firstly, most lenders would want your daughter's husband to be paying UK tax. If he is out the country for the requisite qualifying period and not required to pay UK tax then this may cause a problem for your daughter when they come to arrange a mortgage.

Secondly, most lenders will not consider income earned in a foreign currency. If your daugher's husband is paid in a currency other than Sterling, such as Dollars, Euro's, Dirhams etc. it could again be an issue. Your daughter will also need to be aware that some lenders will actually reduce the income they will consider for assessing how much to lend if earnings are in a foreign currency to cover fluctuations in exchange rates.

Finally, lenders will usually want mortgage applicants to have a UK address and to be resident in the UK.

Having said that, we do assist clients in this situation on a regular basis and we maybe able to assist your daughter and her husband obtain a mortgage for their new home.

To obtain an indication on mortgage rate you can either check a selection of our expat and offshore worker mortgages or, if you would like to discuss your individual circumstances with an Adviser, I'd recommend calling our City Office on 0207 710 0400. Alternatively, if you send us an enquiry online, one of our Advisers will call you back.

David Rostron MEng(Hons) CeMAP CeRER
Business Manager