Buying a home is a top priority for most people whether they are citizens or expats. Unfortunately, most lenders do not approve loans for expats. The good news is that more and more lenders are nowadays offering UK mortgages for expats. If you are a foreigner who lives and works in the UK, you can be assured of getting an affordable mortgage. All you have to do is shop around for the best mortgage products on the market.
Most lenders normally have strict requirements when approving loans for expats. The first is the nature of the property, which must be marketable. Some lenders only approve loans for rental property while others would want to check the legal status of the borrower as well as the validity period of their visa. Whatever the case, you need to do your research to identify the best mortgage for your needs.
Are you looking to buy your first home, refinance an already existing mortgage or invest in the property market? Fortunately for you this is the right place to be perusing as there are several options to suit various needs and situations. Expat Mortgage Lenders UK facilitators are there to make life easier.
Buy To Let
I remember how, at some point during my days as a bachelor, i realised that i may have been helping my landlord to acquire the property with my monthly rentals. So as the reality kicked, i began to look into getting a mortgage of my own, and today, i own a home. A buy to let mortgage allows a property investor to buy a property using monthly rentals from tenants, and it actually works. For the most part it is less stressful than a standard morgtgage as you don’t have to foot the bill yourself.
Fixed Rate Mortgage
This is basically a mortgage loan that is repaid at a fixed rate for a predetermined period of time. The glory of this is that it allows you to budget in advance and it definitely isn’t full of the kind of surprises that can put a dent in your credit rating.
If you are an expat working and living in the UK, you may decide that owning property is a good choice for you. However, there may be some challenges in obtaining UK mortgages for expats due to the fact that expats are not considered UK residents and may not have a UK credit history.
To purchase property as an expat, you should first look at ways to build a UK credit history. This may include obtaining a credit card from a UK bank and making timely monthly payments.
You will also need to be prepared to make a down payment on the property. It is a good idea to seek out an experienced lender who is familiar with arranging mortgages for expats. They will be able to advise you on the necessary requirements for obtaining a mortgage and other relevant information, such as interest rates and amortization periods.
One of the main goals of refinancing a home loan is to reduce the interest rate on the mortgage. Whether you’re refinancing to get back your equity, lower your monthly installment or get a fixed rate mortgage, getting a lower mortgage rate is important. The following are some things you can do to get the lowest mortgage refinance rates in town.
1. Build Your Credit
A high credit score can entitle you to a lower rate of interest. Ideally, you should take time to think about your decision to refinance as you build your credit. This can be as simple are paying your credit card debt on time, paying your bills and servicing all loans without defaulting. In addition to that, you should also check your credit report for errors and get in touch with the credit reporting bureau to have them rectified.
2. Wait for the Right Time
The best time to refinance a home loan is when interest rates are lowest. Therefore, you should watch the market to see how interest rates are moving. When they are several points lower than the rate you’re currently paying, you can apply for mortgage refinancing.
Choosing a home in the Bay Area can be a daunting experience for all home-buyers, even those with previous home-ownership. Many prospective buyers will find that expensive homes are hard to finance without large down payments and unfavorable loan rates. Many times these problems can be overcome by simple preparations and working with the right mortgage counselor. Here are some tips to help your Bay Area mortgage go smoothly.
Secure your Down Payment
Bay Area homes are far more expensive than other areas, therefore you’ll need a much higher down payment. A good rule of thumb is 20%, however, prospective applicants with higher payments can secure lower rates.
Check your Credit
Fixing up minor issues in your credit report before you apply for a loan will percent small errors from costing you several thousand dollars. Make sure to ask for a copy of your yearly credit report several months before applying for a mortgage.
Work with a trust Mortgage counselor.
No one knows the Bay Area better than those who live and do business in the Bay Area. Make sure you always work with a trusted loan counselor to get the best rate and deal on your mortgage.