UK Mortgage on EU property

MaterialGirl*

I’m thinking about buying a house in an EU country I’m a citizen of.  I’m wondering if there’s any chance at all to finance this with a UK mortgage?

For context I already have a UK mortgage with quite a bit of equity equity in it. I live in this property and my mortgage runs for another 20 years.

The house I want to buy is for me to use as a holiday home for now and eventually live in it once I’m retired. 

I have a good deposit and can afford the repayments.

The problem I have is that I’ve been living in the UK for so long that I have no credit history in my country so I’m unlikely to get a mortgage without a credit history there although I will still look into that  option.

I’m  just wondering if anyone here has any experience with buying a second home abroad or how to find a broker or bank that would lend on a foreign property?

Thrugelmir

UK lenders will not provide mortgages on overseas properties..Remortgage your UK property and release the equity. Then purchase in cash. 

MaterialGirl*

Thank you. Would I not have to declare that I’m using the remortgage amount for a house in the EU or will they not care? 

Thrugelmir

MaterialGirl* said:

Thank you. Would I not have to declare that I’m using the remortgage amount for a house in the EU or will they not care? 

Your UK property provides the security for the debt. 

MaterialGirl*

Many thanks again. That’s really helpful as I hadn’t even thought of that option.

[Deleted User]

Not all lenders will allow purchase of foreign property with remo funds.  If they do allow it they will ask very little questions and just give you the money in the bank 

ACG

As JMA says. 

Your current lender may or may not be ok with the reason for the additional borrowing. You will need to check with them. 
But there are lenders who would be ok with it, so you may get lucky. Obviously that is subject to it passing affordability and there being enough equity in your current home etc. 

Also some lenders will want to know the expected sort of bills/council tax on the new property as it may need to go down as a commitment.