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Job offer overseas.....mortgage options

edited 30 November -1 at 1:00AM in Mortgages & Endowments
7 replies 1.8K views
E-HudE-Hud Forumite
6 Posts
edited 30 November -1 at 1:00AM in Mortgages & Endowments
Hello,

This is my first time posting, so please be gentle!!

I have been offered a job in Australia for 3 years starting in October this year, I need to give a response to my work by the end of this week.

I approched my mortgage lenders today (First Direct) asking about renting our property out for the duration of my tour, expecting to be informed of a rate hike or a admin fee, but they have flatly declined my request and now I need to look elsewhere for a mortgage......more stress!!

Does anyone know of any lenders that will allow me to rent my property on the same terms as the initial deal? Of course I will outline my situation at the start of the process. I have heard rumours that Nationwide & HSBC do this, is this correct?.......Does the mortgage now have to be a buy-to-let? I would say I am pretty clued up when it comes to mortgages but I never really envisaged this situation occurring! So my knowledge around this situation is not great!!

Our current status:

My salary would be around £56K a year and we would be living rent free, bill free in Oz (my work would cover this). My partner would not work out in Oz, she would probably study. We have one dependant of 3 years of age.

Our mortgage details: Our house is currently valued £164,000 and by the time of our departure we will owe sub £100,000 at a guess £99,000 so about a 60% LTV.

If anyone has been through this situation or can advise the best banks/building societys to approach I would be extremely grateful.

Many thanks for you time and I look forward to your responses.

Replies

  • E-HudE-Hud Forumite
    6 Posts
    Anyone.......?
  • Dave_HamDave_Ham Forumite
    6K Posts
    Tenth Anniversary Combo Breaker
    ✭✭✭✭
    Sorry did not respond first time, as potentially could not add enough value.

    I think it will be incredibly difficult to do this on full declaration that you are moving into the property on a residential basis and then near enough immediately wanting consent to let.

    Is 3 years fixed overseas the absolute maximum and are you to be working for a UK or Aus company?

    Cannot see past remortgage to a buy to let which is easy enough, although obviously a bit dearer than the ressie deals..

    Good luck
    I am a Mortgage Broker
    You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it.
    This signature is here as I follow MSE's Mortgage Adviser code of conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • The_JThe_J Forumite
    1.3K Posts
    First Direct are terrible for consent to let, all other lenders would have been fine with this.

    You will need to remortgage to a BTL, many BTL providers will not be happy with you going abroad. Remortgaging in Australia is hard because only certain lenders have licenses to do this for Aus residents.
    The J is a Financial Advisor-This site doesn't check anyone's status and as such any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Always seek professional advice.
  • E-HudE-Hud Forumite
    6 Posts
    Thank you for your responses so far.

    In answer to your questions, I will be working for a UK company in Oz......my employer has written to First Direct today to plead my case, due to the nature of work I will be carring out there is a possibility that this could be agreed...I am not holding my breath though!

    The frustrating thing on my part is that I applied for the job back in November 2011 and was not successful, so I re-mortgaged in March 2012 to First Direct only to be told 6 days ago that they now want me in post!! Obviously if it was known prior to the re-mortgage I would have reviewed my options fully - I just never expected this to come around.....

    I have spoken to Natwest today and it appears they would be willing to give us a residential mortgage, and, providing we meet their 'Expat criteria', which we do, they will allow this to go through.....fingers crossed.

    If not it will have to be a BTL mortgage, which isn't the end of the world but it will be more costly, both in fees and the interest rate. Annoying as I don't really see our situation as your standard BTL position, it is not as if that was our desire for our home, guess that it just the way it has to be!!

    Would arranging an appointment with a Broker be a good way to go? This is quite an unusual situation.........thanks again for your time.
  • Dave_HamDave_Ham Forumite
    6K Posts
    Tenth Anniversary Combo Breaker
    ✭✭✭✭
    I am not fully trusting of Natwest at the moment, they are making some strange decisions..

    If you are a core bank account holder with them; you may have a slim chance..

    Aside from that, to stay above board will need to get a buy to let I think...

    Good luck down under...
    I am a Mortgage Broker
    You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it.
    This signature is here as I follow MSE's Mortgage Adviser code of conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • E-HudE-Hud Forumite
    6 Posts
    Just to close this off, the letter from my employer did the trick.......First Direct have agreed to a consent to let on our property.........we now don't have the additional stress and outlay on a re-mortgage!! First Direct have been absolutely brilliant since I switched my mortgage and banking to them.....can't speak highly enough of them! First Direct = First Class!
  • Dave_HamDave_Ham Forumite
    6K Posts
    Tenth Anniversary Combo Breaker
    ✭✭✭✭
    E-Hud wrote: »
    Just to close this off, the letter from my employer did the trick.......First Direct have agreed to a consent to let on our property.........we now don't have the additional stress and outlay on a re-mortgage!! First Direct have been absolutely brilliant since I switched my mortgage and banking to them.....can't speak highly enough of them! First Direct = First Class!

    Surprised is an understatement - fair play to your employer and well done...!!
    I am a Mortgage Broker
    You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it.
    This signature is here as I follow MSE's Mortgage Adviser code of conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
This discussion has been closed.
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