British Mortgages for Expats in U.S.

If you’re trying to get a feel for where UK mortgage costs are right now, especially from the other side of the Atlantic, we’ve put together a clear and simple breakdown that cuts through the noise. It covers how rates are moving, what lenders are offering, and what all of this means for U.S. buyers looking at the UK property market. You can take a look at the full guide here:

Latest UK Mortgage Rates for U.S. Expats

Securing Mortgages for British Expats Living in US

Main Challenges Faced by UK Expats and citizens living in the US in securing a British mortgage:

• Limited UK Credit History: Most UK Mortgage lenders require a UK credit report, which many British expats residing in the US expats don’t have.
• Foreign Currency Income: Some lenders are hesitant to approve mortgages for applicants earning in US dollars.
• Tax Complications: UK Expats living in the US are subject to tax obligations in both the UK and the US, including FATCA, which complicates UK mortgage applications.
• Lender Restrictions: Many high-street banks either simply refuse mortgage applications from non-UK residents, or impose strict eligibility criteria making them unachievable.

How a Specialist UK Mortgage Broker Can Help

A UK based mortgage broker with expat expertise can: 

• Identify lenders that accept and welcome applications from US-based borrowers. 
• Help structure foreign income to meet lenders’ requirements. 
• Assist with legal and regulatory considerations. 
• Provide independent mortgage advice tailored to expat needs, ensuring access to the most suitable mortgage products. 

Tax Considerations of a British Mortgage When Living in the United States

If you’re a US citizen, foreign national, or British expat residing in the US with a mortgage on a rental property in the UK it is crucial to fully understand what the cross–border tax implications may be. It is possible that both the US and UK taxing authorities may tax the capital gains or income from your property. Having an effective plan to mitigate your risk of double taxation and being stuck with an unexpected tax bill is very important. You must also be aware of FATCA reporting obligations (see more details below), which affect many US-based expats holding UK financial accounts or property-related income.

In general terms, if you are a taxpayer in the US and live in the US but have rented out a property in the UK, you may expose yourself to UK tax, and report and pay UK income tax, using the UK Self Assessment tax return system. In determining your UK tax position you may be able to take deductions for certain types of expenses (e.g. mortgage interest, letting agent fees and general property maintenance) albeit not all expenses will be deductible to performance of the rental position.

As a US tax resident, your income will be taxed on a worldwide basis. Your UK rental income will need to be reported on your US tax return as well. The US – UK Tax Treaty exists to prevent double taxation, so in most cases, any income taxes you pay to the U.K. can be claimed as a foreign tax credit on your U.S. tax return to reduce your liability.

The IRS‘s treatment of UK mortgage interest depends on whether the property is a rental property or used personally. For rental properties, mortgage interest will generally be deductible as a business expense. If the property is for personal use (like a holiday home), whether it is deductible and how much will depend on US tax law as it is in effect at a particular time.

If you sell your UK property, and you make a profit, you could be subject to UK Capital Gains Tax (CGT). The US may tax the gain as well, but you may qualify for a foreign tax credit or exclusion, depending. Additionally, US citizens and residents are subject to the Net Investment Income Tax (NIIT) on certain types of passive income, including capital gains.

Due to the complexity of UK and US tax rules, especially regarding rental income, foreign tax credits and selling property, it‘s strongly recommended that you work with a tax advisor who specialises in US – UK cross-border tax.

FATCA – the Foreign Account Tax Compliance Act

FATCA is one of those US rules that quietly sits in the background until you become an expat… and then suddenly it’s everywhere. If you’re a US citizen, green-card holder, or simply a US tax resident living abroad, FATCA requires you to report your non-US financial assets each year. For anyone with a UK property, a UK bank account for receiving rent, or a UK mortgage, this law can quickly become part of your day-to-day financial life.

In practical terms, FATCA means two things. First, you must report certain foreign assets to the IRS, usually via Form 8938 as part of your tax return. Not everyone meets the reporting threshold, but many US-based expats with UK rental income or a British mortgage do.

Second, UK banks and lenders also have obligations. They’re required to identify US customers and share some account information with HMRC, who then pass it on to the IRS. That’s why many US expats find that UK lenders ask for extra paperwork – often a W-9 form or reassurance that you’re up to date with your US tax filings.

FATCA isn’t something to fear; it’s simply something to understand. Once you know what’s required, it becomes another routine part of managing your UK property from the US.

Access to Specialist Lenders

Many high-street banks reject US expats due to strict lending criteria. We work with all the specialist lenders who accommodate overseas applicants, ensuring you get the best possible mortgage solution for your exact needs.

Tailored Mortgage Advice

We provide personalised mortgage advice based on your property goals, income and investment strategy, ensuring the best mortgage options for your personal circumstances and requirements.

Dedicated Support Throughout the Process

All clients are assigned a dedicated Case Manager and Expat Mortgage Advisor to handle all documentation and lender requirements, ensuring a smooth and stress-free process. You are given direct access to our Advisor and Case Manager via both direct phone line and email – no voicemails and no call centres!

24/7 Real-Time Communication 

Our WiiN CRM system keeps you updated on your mortgage application progress in real time. You can track status updates, receive notifications and upload documents anytime, anywhere.

With expert guidance, access to specialist lenders, and dedicated support, Expat Mortgages UK makes applying for a UK mortgage as a US expat or Citizen simple and efficient.

Try our Expat Mortgage Calculator UK today to discover monthly mortgage costs and the deposit needed.

UK Expat Guide to Living in the USA: Best Cities, Regions & Property Hotspots

The United States of America is a great choice for UK expats for all sorts of reasons. There are 50 diverse states to choose from and something for everyone, whether you’re looking for a fast-paced way of life or something quieter.

Los Angeles

Los Angeles is a great fit for UK expats who want warm weather, creative energy, and a slightly more relaxed pace than New York – but still with plenty going on. It’s a huge city with lots of little “mini-cities” inside it, so you can choose whatever lifestyle feels right: beachy and laid-back in Santa Monica, buzzy and walkable in West Hollywood, artsy in Silver Lake, or family-friendly in Pasadena.

Work-wise, LA isn’t just about Hollywood – although that side of it is a big draw. There’s also a strong tech presence in areas like Playa Vista and Santa Monica (“Silicon Beach”), plus plenty of opportunities in design, marketing, wellness, and start-ups.

Most British expats say they love the sunshine, the food scene, the space, and the feeling that you can shape your lifestyle exactly how you want it. LA can feel spread out at first, but once you settle into the neighbourhood that fits you, it becomes a very easy place to live.

Austin, Texas

Austin has become one of the most talked-about places for British expats – and for good reason. It has that rare mix of friendliness, creativity and opportunity that instantly makes people feel at home. The city has a relaxed, slightly quirky personality, driven by its music scene, food culture and the “keep Austin weird” spirit that locals genuinely live by.

For expats, the appeal goes beyond lifestyle. Austin’s tech and start-up growth has created loads of job opportunities, but without the stressful pace or sky-high living costs you find on the coasts. Neighbourhoods like South Congress, East Austin, and Zilker give you very different vibes – from hip cafés and live music to leafy parks and peaceful residential streets. If you want more space and quieter living, areas like Round Rock, Cedar Park, and Dripping Springs offer that suburban ease while still keeping you close to the action.

What British expats love most is the balance: you get a lively social scene, warm weather (very warm in summer!), friendly people, and a cost of living that feels manageable compared to LA, NYC or Miami. Austin is a place where you can build a career, enjoy your downtime, and actually feel like you’re part of a community – not just another face in a big city.

Chicago

Chicago is the kind of city that quietly wins people over. It has all the things you’d expect from a major urban centre – great food, a strong job market, beautiful neighbourhoods – but without the hectic, edge-of-your-seat pace you get in places like New York. Many British expats love that Chicago feels big but grounded. You can build a career here, enjoy the lakefront, and still find communities that feel friendly and down-to-earth.

Popular areas like Lincoln Park, Wicker Park, Logan Square, Lakeview and the West Loop offer a mix of charm, culture and that classic Chicago warmth.

If you want city living with space to breathe, Chicago is a lovely, easy place to settle into.

Seattle

Seattle appeals to expats who want a blend of innovation and calm – a place where you can work hard in a fast-growing tech scene and still spend weekends hiking in the mountains or sitting by the water. The vibe is thoughtful, outdoorsy, and quietly ambitious. It’s ideal if you want career opportunities without the chaos of bigger coastal cities.

Neighbourhoods like Capitol Hill, Ballard, Queen Anne, Fremont and Green Lake each offer their own mix of community, coffee culture and easy access to nature.

If you’re looking for a soft landing in the US – somewhere friendly, scenic and career-friendly – Seattle ticks a lot of boxes.

Miami

Miami is all about sunshine, colour and an easygoing way of life. For many British expats, the climate alone is enough of a reason to move – but the city also has a relaxed optimism that’s hard to resist. Remote workers, creatives and young professionals love the balance of beach living, buzzing nightlife, and a growing international business scene.

Favourite hotspots include Brickell, Wynwood, Miami Beach, Coconut Grove and Coral Gables, each offering a slightly different flavour – from ultra-modern high-rises to artsy streets and leafy, quiet communities.

If you want warmth, energy and a sense of adventure woven into daily life, Miami delivers.

Boston

Boston is a brilliant choice for expats who want stability, culture and community in equal measure. It’s intellectual without being intimidating, historic without being old-fashioned, and family-friendly without feeling sleepy. Many Brits settle here because it feels familiar – a little like a blend of London, Oxford and Edinburgh all at once.

Neighbourhoods such as Back Bay, Cambridge, Brookline, Beacon Hill and Jamaica Plain each bring their own personality, whether you’re after leafy streets, top schools, cosy cafés or lively student energy.

If you value a thoughtful, welcoming city with substance and charm, Boston is an easy place to call home.

Get in touch for Specialist Expat Mortgage Advice 

If you’re a UK expat or foreign national living in the USA and looking to secure a UK mortgage, our expert mortgage advisers in the UK can help. We offer: 

• One-to-one consultations via video call or phone.
• Expert mortgage advice from a specialist expat advisor.
• Exclusive access to specialist expat mortgage lenders.

Contact Expat Mortgage Broker today to start your UK mortgage journey from the US with total confidence!