The Client:
Our clients were both expats – husband and wife couple. The husband was the sole earner, and on a very good income. The difficulty arose with the currency he was paid in – as he was working for a Saudi company and therefore paid in Dirhams, even though he was a UK resident.
The Scenario:
The clients had saved a good deposit and had a very low credit card use, along with no bad credit or dependants. The main credit they had was a large car loan which had recently been arranged. The issue we were facing was that lenders who accept foreign income sometimes take a “currency haircut” (reduce affordability) to account for any potential future fluctuations in the currency exchange rate.
The Solution:
Being a whole-of-market and specialist Expat Mortgage Broker, we have the knowledge and experience to know that some lenders will accept foreign income for UK based residents to purchase a residential property in the UK. We approached these specialist expat morgtgae lenders to make sure we could cross reference the best deal with the lender that accepts the specific currency in question. They were happy with the case, and the affordability worked easily.
Summary:
It is possible to use sole income that is earned through a company outside of the UK, in a foreign currency.
Key things to consider for foreign income:
- Specialist expat mortgage lenders will accept foreign currency, it can vary lender to lender which currency they will accept.
- Some lenders will apply a “currency haircut” to the amount to account for future currency fluctuations.
- Some lenders will allow you to live in the UK, but work for a foreign company.
If you have any questions relating to a Expat Residential Mortgage, contact us today to speak directly with one of our CeMAP certified Mortgage Advisors.
Call us today on +44 1494 622 555. Alternatively, please complete this short online form and an Expat Mortgage Advisor will call you right back.