UK Mortgage Brokers of Foreign Mortgages

Graeme7777

Hi,

Does a broker in the UK selling mortgages from UK banks to enable UK residents to buy properties abroad need to be authorised by the FSA in the same way that the brokers advising on mortgages over UK properties do?

minimike2

I dont do overseas stuff, I just refer it to someone else, so im not 100%, but I would imgaine so if they are arranging it yes. I might be wrong tho.

Conrad

No they do not. A regulated mortgage contract applies to UK main residence mortgages only.

I have been involved in some overseas mortgages, and my other hat is as an overseas property investment adviser, but please please do masses of research and think of everything before you buy.

Some pointers:

How EXACTLY will your next of kin / children extract the money if you die and who EXACTLY do they call to arrange everything

Many properties do not rent well and some plenty end up costing more than they rent for. Forget all hype and really find out exactly what will drive rentals

If its a hotel room, condiminium or leaseback remember the rent may be fixed so when you come to sell the next buyer gets a lower rent yield so making a sale harder to achieve

Tax and repatriation of funds is a main stumbling block. All I can say is find the biggest best law firm you can to arrange everything properly on the way IN, for example proper partner documentation if you buy with a partner, in case they die and you then find you cant get thier share back! It happens even in Spain.

Graeme7777

Thank you very much