Enness was approached by a first-time buyer who had previously contacted the firm and returned when the time was right to purchase a property. The client was an EU passport holder with two children living at home in the UK, although they were no longer financially dependent.
The client worked for a multinational company in a role that involved frequent international travel. The deposit for the purchase was being provided by family based overseas, while the client was currently renting a property in the UK as a base for the family.
The intended purchase was a £525,000 flat in South West London, with the client seeking a high loan to value (LTV) of around 85%. Her frequent travel created an additional consideration for the mortgage application, as lenders needed to be satisfied that the property would be used as her main residence rather than as an investment or second home.
The client was also paid in Swiss Francs, meaning the lender needed to be comfortable assessing income received in a foreign currency.
OUR SOLUTION
Enness reviewed the client’s circumstances and identified a lender that was comfortable considering both her international employment arrangements and foreign currency income. While foreign currency earnings can create additional considerations when assessing affordability, the client’s wider circumstances provided reassurance around the proposed residential purchase.
The client had an established UK credit history, while her children’s continued residence in the property supported the intended use as the family’s main home. The lender was also comfortable with the income being received in Swiss Francs.
The resulting mortgage was secured at 85% LTV on a 2-year fixed rate of 1.59%, with capital and interest repayments. The structure allowed the client to achieve the high LTV she was seeking while purchasing a home suited to her family’s circumstances.
This case demonstrates how specialist assessment can be valuable when a first-time buyer has international employment commitments or receives income in a foreign currency. Understanding how individual lenders assess these factors can help identify suitable options where standard criteria may otherwise create difficulties.
Disclaimer:
This case study is for illustrative purposes only and does not constitute financial, legal, tax or investment advice. Finance is subject to status, underwriting, affordability, property suitability and lender criteria. Terms, rates, LTVs and availability may vary depending on individual circumstances.
Risk Warning:
Your property may be repossessed if you do not keep up repayments on your mortgage or other borrowing secured against it. Property values can fall as well as rise.
Information contained in our case studies is for market and illustrative purposes only. In some cases, these may be made up of multiple cases and are for illustrative purposes only.
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Property values can fall as well as rise, and you may not get back the amount originally invested. Property investments can be illiquid and may take time to sell. Where borrowing is used, your property may be repossessed if you do not keep up repayments on a mortgage or other loan secured against it.
