Equity Release on UK Property in Surrey to Fund Home Purchase in Spain

Equity Release on UK Property in Surrey to Fund Home Purchase in Spain

Area
Surrey
Capital Raised
£350k

If you’re remortgaging your current UK property to buy a home abroad, acting fast before you’ve relocated could secure you a better deal on your mortgage – if you do it right.

By using the right lender, we managed to secure our clients a high-street buy to let UK mortgage on their home, even though they were using the equity released to purchase a property in Spain.

The Scenario

Our clients were UK residents looking to relocate to Spain in the next 3 to 4 months:

  • They wanted to retain their UK property but remortgage it as a buy to let and free up some capital.
  • They wanted to use the money raised with their mortgage to purchase a residence in Spain.

They had already spoken to a mortgage broker, but they’d rejected their case at face value.

This is because most lenders won’t allow you to use a UK mortgage to buy property overseas – so in some ways, they were correct to say that their case wasn’t feasible.

And an expat lender would need you to be based abroad before you can refinance onto an expat buy to let – plus, you’d be paying higher mortgage rates this way.

But, the clients were right to come to us for a second opinion.

The Solution

One of our mortgage brokers took on the case and immediately had a potential solution.

We spoke to a specific high street mortgage lender that we knew could raise capital on an existing property without asking questions about the use of funds, as long as it was classified as an ‘anonymous purchase’.

Because the lender didn’t ask questions about the use of funds, they didn’t need to know about the overseas property purchase.

And they didn’t even require our clients’ residential address that they’d be living in throughout the term of the mortgage (which would be in Spain once they’d completed their purchase and relocation).

The clients’ overseas address would be an issue for most lenders, as high street lenders don’t typically lend to expats - but we knew this specific lender wouldn't ask the question.

It's a mortgage loophole that secured our clients the property they needed at high-street rates and saved them from having to pay through the nose for expat finance once they’d already relocated.

And if they hadn’t used a mortgage broker (Clifton Private Finance specifically) they simply wouldn’t have known the right lender to use and the right information to provide to secure their finance.

The lesson learned?

If you’re moving abroad and remortgaging to fund an overseas property purchase, take action now.

It could be significantly cheaper to buy with equity released from mortgage your UK property if you’re still a UK resident.

Speak to us today to see how we can help your situation.

Sam Baker

Finance Broker

Cardiff

0117 959 5094

Are you looking for a similar type of property finance?

As a specialist bridging adviser at Clifton Private Finance, I can take a holistic view of your situation and find the right finance solution for you.

 

Book Consultation

Fergus Allen

Finance Broker

Cardiff

0117 959 5094

Are you in a similar situation? I specialise in bridging finance at Clifton Private Finance - I will find you the best funding solution for your property transaction.

Book Consultation

Jacob Phipps

Finance Broker

Bristol

(+44) 0117 959 5094

Are you looking for a similar type of property finance? I specialize in helping international clients source residential and investment property finance for UK property. Please get in touch and we can arrange a time that's convenient for you to discuss your situation.

Book Consultation

Jack Spillane

Finance Broker

Bristol

0117 959 5094

Is your situation similar to this? I specialise in helping clients who need creative development finance solutions, and second-charge mortgages. Give me a call any time and we can set up a detailed discussion of the finance you need. customDatabaseField-8455

Mathew Phillips

Senior Finance Broker

Bristol

0117 959 5094

Are you in a similar situation? I specialise in bridging finance at Clifton Private Finance - I will find you the best funding solution for your property transaction.

Book Consultation

Alex Chambers

Senior Finance Broker

Bristol

0117 403 4324

Are you in a similar situation? I am a specialist in residential and investment property finance for UK and international clients at Clifton Private Finance. Please don't hesitate to get in touch for a no-cost discussion of the finance you need. customDatabaseField-8455

Luther Yeates

Senior Finance Broker

Bristol

0117 244 5561

Are you looking for a similar type of property finance? I have extensive experience finding residential and investment property finance for UK and international clients. Please get in touch and we can arrange a time that's convenient for you to discuss your situation.

Book Consultation

Sam ONeill

Senior Finance Broker

Bristol

0117 959 5094

Is your situation similar? I am a bridging finance specialist at Clifton. I can find a quick, cost-effective solution for the funding you're looking for.

Book Consultation

Robert Gibb

Senior Finance Broker

Bristol

0117 959 5094

Are you looking for mortgage or short-term finance for residential or buy-to-let property (including HMOs)? I have extensive experience in finding property finance solutions for UK and international clients, both as individuals and limited companies. Please give me a call and let me see what I can do for you.

Book Consultation

Adam Arnott

Associate Director

Bristol

0117 205 0214

Is your situation similar to this? I have extensive experience of advising clients who need creative property finance solutions. Please get in touch and we can arrange a time that suits you for a detailed discussion of your requirements. customDatabaseField-8455

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