Thanks to weaker Pound, British expats rush into domestic property
There is 80% increase in the number of buy-to-let mortgage applications from British expats looking to benefit using a weaker pound, reports Skipton International reports.
British expats see opportunity in falling Pound
The Pound has fallen against a host of currencies since the Brexit vote with the trade-weighted Pound near ten-year lows. This has emerged as an investment opportunity for UK citizens living abroad.
Skipton International launched buy-to-let mortgages for expats in 2014 as a response to the difficulties faced by British expats in obtaining a mortgage on UK investment properties. Till now, Skipton has lent over £100m to British expats around the world and completed over 500 mortgages.
Director of Lending, Skipton International, Nigel Pascoe said: “We have seen a massive increase in enquiries from British expats in the months after Brexit, which accelerated notably since the value of the pound dropped substantially. On some days we have seen up to four times the number of queries we were seeing before Brexit”.
“Many British expats are viewing the devaluation of Sterling as a good opportunity to buy properties in the UK, bringing back foreign currency savings. UK property is typically a long term investment for British expats; they can service the mortgage through the rental payments, while enjoying capital growth on a property.”
Earlier this year, Skipton widened the eligible country list and opened up mortgages to self-employed applicants which enabled more British expats to access the mortgages