Irish Client Refinancing in London and Purchasing in Portugal

• Client: International property investor based in Dubai with income and assets across multiple jurisdictions
• UK Portfolio: Three London properties valued at approximately £1.625 million
• Challenge: Required a high LTV refinance across three properties while managing income received in multiple currencies
• Finance: 75% LTV on each UK property at 3.34% fixed for two years on an interest-only basis, plus 70% LTV on a Portugal purchase

International property investors with assets and income across several jurisdictions can face additional challenges when arranging mortgage finance, particularly where they are resident overseas and receive income in multiple currencies. Enness was approached by an international client based in Dubai who was looking to refinance an existing London property portfolio while also purchasing a property in Portugal.

The client owned three London properties with a combined value of approximately £1.625 million and wanted to release equity from the portfolio to support future property acquisitions. The initial intention was to refinance all three properties through a single transaction.

At the same time, the client was looking to purchase a property in Ericeira, Portugal, valued at approximately €500,000. The property was intended to provide a holiday home while also offering the potential for rental income.

The international nature of the client’s financial profile created additional considerations. The client was resident in Dubai and received income in multiple currencies, while also holding business and property interests across different jurisdictions. His accounts were audited by a Dubai-based firm, adding another layer to the lender assessment.

The client also wanted to maximise the LTV available across both the UK and Portuguese properties. Securing higher LTV finance can be more challenging for UAE-based borrowers purchasing property in Europe, meaning specialist lender access was important.

For the UK portfolio, Enness determined that separating the refinance into three individual applications could provide a stronger outcome than treating the properties as a single transaction. The London team approached an international lender able to assess each property separately.

This structure allowed the lender to offer 75% LTV against each of the three London properties. The facilities were arranged at a fixed rate of 3.34% for two years on an interest-only basis, providing the client with the equity release required while maintaining a relatively flexible repayment structure.

The team also identified a Europe-based lender able to consider the client’s circumstances for the Portuguese purchase. The lender offered 70% LTV on the €500,000 property, with a choice between a five-year fixed rate of 1.65% or a variable rate of 1.25% plus 12-month Euribor at the time.

The case demonstrates how UK mortgage requirements for international borrowers can sometimes benefit from structuring multiple properties separately rather than approaching the portfolio as a single transaction. It also highlights the importance of identifying lenders comfortable with overseas residency, multi-currency income and cross-border property ownership.

For international investors based in the UAE looking to refinance UK property or acquire assets elsewhere in Europe, specialist mortgage finance can help identify appropriate lending structures across different jurisdictions.

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, valuation 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. Where income, assets or borrowing are denominated in different currencies, exchange-rate movements may affect the value of assets, affordability and the cost of repayments. Rental income is not guaranteed and properties may be subject to periods of vacancy and additional costs.