yacht crew expat mortgages

Expat Mortgage Rates Return to Normal


The UK buy-to-let market “may have turned an important corner” with major lenders launching lower rates for expat mortgages at less than 1% over the Bank of England base rate.

This coincides with property portals, Zoopla and Rightmove, saying that the supply of houses put on the market rose by 5.9% in January with asking prices lifting by 0.9% in the same period.

The bank base rate is currently 3.5% after a series of rises last year as the central bank bids to combat inflation at 10.5%. The Bank’s interest rate was 0.1% in November 2021.

Previously, Rightmove had noted UK house prices had fallen over the latter part of last year, following former Chancellor Kwasi Kwarteng’s tax-cutting September minibudget, which accelerated already rising mortgage rates. Action taken by current Chancellor Jeremy Hunt in October and in the November Autumn Statement calmed markets, although home loans remain elevated.

We are now seeing at least one lender offering UK mortgages for expats at a margin of less than 1% over the UK base rate. It is another signal that markets are returning to a new normal, with the UK base rate now expected to remain at a much higher level than was the case since the financial crash of 2008/2009.

The inevitable result of higher UK base rates is that lenders are having to trim margins to remain competitive.

House prices have remained solid in many parts of the UK, despite steeply rising mortgage rates, as the supply of homes for sale has been outstripped by demand for property.

If you need expat mortgage advice, please do make contact and one of our independent advisers will be happy to help.





yacht crew expat mortgages

Upturn in UK Property Values


There was a 0.9% rise in house prices on a monthly basis in January.

This comes off the back of two monthly price drops in a row and gives an annual rise of 6.3%, leaving the average property asking price at the start of 2023 at £362,438.

Additionally, the number of would-be buyers contacting agents being up 4% on January 2019, while the number of people looking to buy contacting estate agents was 55% higher than the two weeks before Christmas 2022, making for the biggest ‘New Year bounce’ for this metric since 2016.

The numbers certainly suggest that activity has bounced back after Christmas and agents will now be busy trying to match the likely revised expectations of buyers and sellers as we move towards the important spring season.

It is expected that the full effect of affordability constraints and last year’s mortgage rate rises will hold back some segments of the market in the first half of the year, but the outlook is positive.

After two months of falling asking prices, it’s tempting to see this as a change of market dynamics, but that’s likely to be unrealistically optimistic. January always tends to see a bounce in the market, as people decide to make change in the new year, so this may just be a blip.

The return of more buyers is worth keeping an eye on. It may be that some of those who fled the market when mortgage rates went through the roof have been persuaded to come back as those rates have come down from the peak.

The return of buyers could mean house price falls aren’t quite as bad as had been predicted.

If you are in need of expat mortgage advice, please do make contact and one of our independent advisers will be happy to help.


yacht crew expat mortgages

Expat Landlords


Recent figures show that an estimated 220,000 expats own property in the UK and the vast majority let their properties out to achieve extra income.

Expat landlords could be looking at reduced profitability on two fronts, firstly taxation and secondly an interest rate rise which looks likely.

One client of ours we recently spoke to said “as an expat with 3 rental properties I am returning to the UK for a meeting with my accountant to review the new tax laws on buy-to-lets”. “I am also currently reviewing my mortgages with a view to fixing a rate for as long as possible”.

Looking at the immediate future it would seem to be very good advice if you are an expat landlord to review all aspects of your UK property.

In the last 3 weeks we have seen a big increase of enquiries into buy-to-let fixed rate deals. Good news is there are still some very good deals to be had which could assist you protecting your profitability.

Way forward as an Expat Landlord

Firstly, get in touch with an accountant and see what can be done to reduce the effect of the new tax laws coming into force since Brexit. Secondly completely review your current mortgage deal to make absolutely sure the deal you have meets your needs now and the longer term. It may very well be you currently have the correct mortgage, but it won’t do any harm to check it out.

By just completing these two simple tasks you could very well save yourself thousands of pounds over the next few years.

Need some mortgage advice?

If you wish to review your current mortgage please do contact one of our qualitied independent advisers and we will be pleased to help.

yacht crew expat mortgages

Expat Re-Mortgages

Expats are releasing equity

Expat mortgage business is very buoyant currently and in particular the re-mortgage area as expats look to released locked capital within their UK properties.

A recent report shows the average amount released currently stands at 46,000 per case as of December last year and the number of re-mortgages rose by 21.3% year to date.

The report shows December 2022 witnessed a very strong month for mortgage lending within the expat community as house buyers rushed through purchases. This high activity is attributed to the weaker pound and expats seeking new investment opportunities.

Our director of operations commented “It would seem expats have re-mortgaged their current UK property to raise funding for further purchases within the buy-to-let market”. “The surprising thing is re-mortgage business has remained very strong at the start of 2023 as well”.

Over the coming week’s speculation about the possibility of rate rises will continue to dominate the news and have an unsettling effect on the markets. However, this should not dissuade people from re-mortgaging if there is a financial benefit to the borrower.

There are many very good re-mortgage deals on offer currently with extremely good interest rates being available. If you are considering a re-mortgage, it may well be prudent to explore what fixed deals are on offer as at some stage interest rates are likely to rise.

Can we help?

 If you are contemplating a new or re-mortgage, please do make contact with one of our fully qualified independent advisers who will be happy to assist.