Skipton International, an offshore bank specialising in various expat financial products including buy-to-let mortgages, have reported that they have been seeing an increase in applications for UK buy-to-let mortgages from Britons permanently residing in the EU.
Spain based Brits are leading the way – in 2017 there were three times more mortgage inquiries from Spain than in the year before.
Britons retired in Spain are continuously looking for ways to increase their return on investment, and with a weaker pound and low mortgage interest rates investing in property in the UK is considered viable by many expats.
Interestingly enough, Skipton’s announcement echoes the Property Reporter article published at the end of last year. The article cited the report produced by Liquid Expat Mortgages saying that there had been a considerable increase in UAE based expats actively seeking to invest in UK property market.
It seems that despite new landlord regulations and taxes, the UK property market is still very much an attractive option for buy-to-let expat investors.
The Property Reporter also points out that it’s not just London where the main property investment activity is focused.
More expat investors are venturing outside the capital towards the north investing in property in various locations of the so-called Northern Powerhouse. The region currently offers good investment opportunities in buy-to-let, with rental yields of 7.08% in Salford, 5.96% in Leeds and 5.79% in Manchester.
According to the Liquid Expat Mortgages’ managing director Stuart Marshall, UK property market stays popular thanks to the regulations that protect property buyers and a relative simplicity of the purchasing process.