Expat Mortgages
UK mortgages for British citizens living and working abroad
Content reviewed: 13 January 2026
Can UK expats get a mortgage for UK property?
Yes, UK citizens living abroad can get mortgages for UK property through specialist expat lenders. You'll typically need a 20-30% deposit, and lenders accept foreign income with a 15-25% currency risk adjustment. Rates are 0.3-1.5% higher than UK resident mortgages. You'll need a UK bank account for payments.
Specialist mortgage advice for British expats worldwide.
Can UK expats get a mortgage for UK property?
Yes, UK citizens living abroad can get mortgages for UK property through specialist expat lenders. You'll typically need a 20-30% deposit (better than the 35-40% required for non-UK citizens), and lenders will accept foreign income with a 15-25% 'haircut' to account for currency risk. Rates are 0.3-1.5% higher than UK resident mortgages, but significantly better than overseas buyer rates. You'll need a UK bank account for payments and documentation proving your UK citizenship and overseas employment.
What are Expat Mortgages?
Expat mortgages are UK mortgages specifically designed for British citizens and former UK residents who now live and work abroad. They allow you to purchase or remortgage UK property while earning foreign income, maintaining your connection to the UK property market even while overseas. Expat mortgages offer significantly better terms than general 'overseas buyer' mortgages because of your UK citizenship, previous UK address history, and stronger ties to the UK. Specialist expat lenders understand the unique circumstances of British expats and assess overseas income appropriately.
Typical requirements include a 20-30% deposit (compared to 5-10% for UK residents, but better than the 30-40% for foreign nationals), proof of overseas income with lenders applying 15-25% 'haircuts' to account for currency fluctuation risk, a UK bank account for mortgage payments, and documentation proving your UK connection and overseas employment. You can typically borrow 4-4.5 times your adjusted foreign income. Interest rates are 0.3-1.5% higher than UK resident mortgages but substantially better than rates available to non-UK citizens buying UK property.
Most expat mortgages are buy-to-let products since you won't be living in the UK property, though 'temporary expats' planning to return within 2-5 years may access residential mortgages with better rates. Common reasons for expat mortgages include: maintaining a UK property foothold while abroad, generating rental income, preparing for eventual UK return, providing accommodation for family members, or building a UK investment portfolio. Tax considerations are important—you'll pay UK income tax on rental profits and potentially tax in your country of residence, making specialist cross-border tax advice valuable. When you eventually return to the UK, you'll qualify for standard UK resident mortgage rates which are significantly more competitive.
Key Benefits of Expat Mortgages
Keep a foothold on the UK property ladder while working or living abroad
Generate rental income from UK property or prepare for eventual UK return
More lender choice and better rates than foreign nationals due to UK citizenship
Specialist expat lenders assess overseas earnings with currency adjustments
Expert Tips & Insights
Expat mortgages are for UK citizens or former UK residents working abroad temporarily or permanently. You have advantages over complete foreign nationals: more lenders available, better rates (typically 0.3-1% lower), lower deposit requirements (20-30% vs 30-40%), and faster applications. Key is proving UK ties: citizenship/passport, previous UK addresses, UK bank account, National Insurance number. The longer you've been away and weaker your UK ties, the more you're treated like an overseas buyer.
Typical expat deposit requirements: 20-25% for UK citizens with strong UK ties (previous addresses, returning within 5 years), 25-30% for expats abroad medium-term (5-10 years away), 30-35% for long-term expats (10+ years) or weak UK connections. Compare to 5-10% deposits available to UK residents. Better rates at 75% LTV (25% deposit) and 70% LTV (30% deposit). Some high-street banks offer expat mortgages at 75-80% LTV for excellent profiles. Former UK homeowners get better treatment than first-time expat buyers.
You'll need: UK passport, proof of overseas address (utility bills, tenancy agreement), employment contract/letter from overseas employer, 3-6 months overseas payslips and bank statements (translated if not in English), proof of UK address history, UK bank account details, proof of deposit source. Self-employed expats need 2-3 years accounts/tax returns from their working country. Lenders apply 'haircuts' (15-25% reductions) to foreign income for currency risk. GBP/USD/EUR/AUD income faces lower haircuts than emerging market currencies.
Lenders assess foreign income but adjust for currency fluctuation—reducing it by 15-25%. Example: £80,000 US salary might be assessed as £45,000-48,000 equivalent (after exchange rate and haircut). High-street banks often apply larger haircuts (20-25%) than specialist expat lenders (15-20%). Borrowing is typically 4-4.5x adjusted income. If you have any UK income (rental, pension, savings interest), this strengthens applications significantly. Some lenders only accept income from specific 'approved' countries.
If you plan to return to the UK within 2-5 years, this improves lending terms—some lenders offer better rates for 'temporary expats.' Provide evidence: job offer in UK, fixed-term overseas contract ending date, or family ties requiring UK return. Returning expats should consider: purchasing property in area you'll live (avoid selling/rebuying costs), renting out initially then moving in later, or buying family home immediately and commuting from abroad temporarily. Returning within 3 years often allows residential mortgages vs buy-to-let requirements.
UK expats with UK rental property pay UK income tax on rental profits (20-45%) minus allowable expenses. You may also owe tax in your country of residence—check double taxation treaties. Register with HMRC's Non-Resident Landlord Scheme to receive rent gross (not taxed at source). Capital gains tax (18-28%) applies when selling unless it's your main residence (difficult to claim if you've never lived there). UK property forms part of your estate for inheritance tax (40% over £325k). Seek specialist expat tax advice—costs £500-1,000, saves thousands.
Frequently Asked Questions
Living Abroad? Buy UK Property
Our expat mortgage specialists understand the unique needs of British citizens abroad. We'll help you navigate foreign income assessment, documentation requirements, and find competitive rates.