Foreign national mortgage for Chinese buyer

THE SCENARIO

One of our trusted introducers approached me with a Chinese client who was looking for a residential mortgage. Enness is well known for working with foreign clients so they knew we would be a good fit when securing a foreign national mortgage.

My client had never bought property in the UK before so had little experience of the buying process and minimal credit footprint in the UK. The property in question was a flat in Windsor, worth £545,000.

In addition to having no property history in the UK, they had only been in the UK for eight months and they were on a tier 2 visa. Furthermore, they were in their probationary period with their new employer, which can be an obstacle when lenders are considering the income that will be used to support the mortgage repayments.

Given that the client’s Mandarin speaking lawyer was not on the lender’s solicitor panel, another had to appointed to act for the bank. It was challenging managing multiple parties in the process; the clients, the introducer, the client’s solicitor, the bank’s solicitor and the bank.

Despite these challenges, I knew of a lender who was comfortable with offering a foreign national mortgage to clients on visas and who have a limited credit footprint. I’ve used them a number of times recently for clients who are in their probationary periods as they take a pragmatic view with regard to continuous employment.

OUR SOLUTION

Thanks to my knowledge of appropriate lenders, I approached one who was flexible in terms of affordability criteria, offered competitive rates, and efficient underwriting. As a result, I secured my client a rate of 1.14% fixed for two years over a 25-year term.

I also arranged a solicitor to act for the bank and liaise with the client’s solicitor so the client could continue to communicate in their native tongue with the solicitor for their first UK property transaction.