Doubling in expat BTL enquiries

Doubling in expat BTL enquiries

Skipton International has reported a large increase in mortgage enquiries from British expats in the first five months of 2017, compared to the same time last year.

The number of enquiries from Asia has increased by 141% in the period from January 2017-May 2017, compared with the same period last year.

There has been a 162% increase in enquiries from British expats in Hong Kong, while the number of mortgage enquiries from Singapore has grown by 115%.

Nigel Pascoe, director of lending at Skipton International, said: “Since Brexit, we have seen growing numbers of British expats looking to invest in UK property. The devaluation of the Pound has meant that expats with foreign currency savings could potentially get more for their money.

“This ‘Brexit effect’ has been particularly marked for currencies such as the Hong Kong dollar, that are pegged to the US dollar. As Sterling has slid against the US dollar, the number of enquiries has increased.”

Skipton launched buy-to-let mortgages in 2014 in response to the difficulties many British expats faced when trying to invest in buy-to-let property in England and Wales. Since then, the Guernsey-registered bank has completed over £180 million of expat loans, on more than 900 mortgages.

Pascoe added: “While there have been several changes in the UK in recent years, such as the increase in stamp duty for people purchasing a second home and the decrease in mortgage tax relief, this hasn’t deterred long term investors.”