Why purchase in the UK?
The UK property market is one which is seen as a stable and long-term investment. It attracts buyers who have never set foot in the country, alongside those who have moved abroad.
Since the UK left the European Union there have been several changes in the financing options available to purchase property in the UK, while residing abroad. This coupled with the overseas surcharge has meant purchasing through a broker has never been more relevant.
A UK national is able to move abroad and freely access any number of specialist lenders. This means that they face less barriers to entry than someone with no residency rights in the UK.
Due to the CTA (Common Trade Agreement), Irish nationals benefit from permanent rights to reside in the UK, but they are not a UK national and therefore not an Expat. Due to the CTA, most Irish nationals would never go through the process to obtain a UK passport, however without one, they typically fall under foreign nationals for lenders.
How can Orton help?
We are able to arrange finance through select lenders who recognise the freedoms enjoyed by an Irish passport holder and are able to offer the same products as those available to a UK national. This means that there are more residential and Buy to Let options available than the traditional Foreign National lenders.
The main requirement is that the lender will typically look to see an active or historic UK credit footprint, which means the finance is limited to those who have previously resided in the UK or those who have the ability to build a credit footprint here. In order to have an active credit you would need to have an account which reports to the major credit rating agencies, linked to an address in the UK. This can be to the address of a friend or family.
If you have previously resided in the UK then your historic data is stored for at least 6 years, but often longer. This means knowing your prior UK address is essential to the process.
How do interest rates compare to foreign national lending?
| CTA product | Foreign National product |
| 2 year fixed rate – 5.89% | 2 year fixed rate – 6.69% |
| Lender fee – £998 | Lender fee – 1% of the loan + £299 |
| Valuation – Free up to £500,000 | Valuation – charged at cost |
Want to discuss your options?
We offer a no obligation free initial consultation. We would be happy to discuss your options and advise on the finance available