A group of overseas investors who have an understanding of the property in the UK are the expat community . Many are looking at buy to let as a way of keeping a foothold in UK property market. The motivation for doing this varies, some are looking to buy to keep a home so that in the future they can return to often taking advantage of the buoyant rental market to receive an income whilst overseas. For some it is not a home that they will return to, but a property so that the UK market is accessible when they return. Others however are merely buying an investment property in a country where they feel familiar and comfortable with.
When reviewing the banks websites, despite some products been withdrawn a while ago, there appears to be a number of ex pat buy to let mortgages available. The loan to value offered can be up to 75%, comments from the websites indicate applications are seen more favourably if the expat is employed by a multinational and owns their own home . So who will provide these specialist buy to let mortgages? There are a number of niche lending institutions but also the websites of some high street lenders are also indicating that they offer this lending facility and as recently as June Kent Reliance launched a new product.
Expats like any other buy to let investor however before purchasing a buy to let property should carry out research. The area that they are considering for instance could have changed in the time they have been away from the UK and it is important to look at developments in the area. For those not looking to return to live in the property, and therefore buying a property as an investment, then they key factor in selecting a property in the UK should be yields and return on investment. For those considering one of the expat mortgages then investors it is important investors recognise that interest rates are at an all time low and could increase over the term of their investment. Any overseas investor should also pay particular attention to the management of the property as theoretically they are not close by to monitor and resolve any issues that may arise with the property . Many overseas owners look at a full management service and this is higher cost than a basic tenant find service and so this as well as all the other costs should also be factored into any buy to let calculations
Investment Property Consults have considerable experience in assisting overseas buy to let investors and can assist clients in maximising income from existing properties or finding the right property for a UK property portfolio