mortgages for non uk resident

JIreland

Hi all,
I no longer live in the UK, but I still own property there (thankfully, mortgage-free). I'd like to raise capital from that property to fund the purchase a property in France, where I now live, and then rent it out to repay the mortgage. it's a highly sought after area and easily rented. plus i already have a wonderful couple who want to rent it who want it long term (they taked about 18 years!) I have no UK income.
Can anyone recommend a mortgage broker who would be able to arrange this please?
Selling the UK property isn't an option.

Many thanks

MyRealNameToo

JIreland said:

Hi all,
I no longer live in the UK, but I still own property there (thankfully, mortgage-free). I'd like to raise capital from that property to fund the purchase a property in France, where I now live, and then rent it out to repay the mortgage. it's a highly sought after area and easily rented. plus i already have a wonderful couple who want to rent it who want it long term (they taked about 18 years!) I have no UK income.
Can anyone recommend a mortgage broker who would be able to arrange this please?
Selling the UK property isn't an option.

Many thanks

If you are resident in France you won't be able to get a mortgage with a UK lender unless they have a licence to operate in France, which most dont. Welcome to the many benefits of Brexit. 

You could use an offshore bank based in the Channel Isles or such but would be surprised if their rates are competitive as they tend to more aim at the jet set crowd who arent so bothered about costs.

Why not just get a local mortgage in France? Given they are a fixed interest rate for the whole duration and only a slight penalty for early redemption I dont know why you'd want to be exposed to the variable interest rates of the UK market when you can fix indefinitely without paying a premium there. 

JIreland

unfortunately in order to get a french mortgage, they dont take into account uk income (OH's wages, OH's rent from his property and my potential rent from my property) BUT they DO count OH's mortgage, add it to the cost of us renting, and that total can be no more than 30% of our french take home pay, which is utterly ridiculous and would mean I would have to be on something huge like 15000 a month!

I hadnt thought about channel islands. thank you