Blewyn Posted September 4, 2012 Share Posted September 4, 2012 An estate agent tells me it is possible to get a mortgage in the UK for a property in Australia. Is this true ? If so, which providers are doing it and what are the pros and cons (aside from the massive interest rate difference !) Link to comment Share on other sites More sharing options...
rammygirl Posted September 4, 2012 Share Posted September 4, 2012 I'm sure it will be possible after all people have holiday homes around the world. As with any mortgage it will depend on your income and deposit. Why are you considering this, is it to be a holiday home? Link to comment Share on other sites More sharing options...
Graemsay Posted September 4, 2012 Share Posted September 4, 2012 The big risk is on the exchange rate. At present the Pound is at a historic low against the Australian Dollar. Suppose you wanted to buy a $500K house, then you'd borrow about £320K at the current exchange rate. But that would mean locking in your borrowing at around $1.50 to £1. If there was a shift, and that's possible because a lot of commentators argue that the Dollar is overpriced, then you'd be out of pocket for a large sum. In the mid-noughties, the exchange rate was around the $2.50 to £1 mark, so your mortgage would be circa £200K. At this stage I wouldn't think about it, unless I was borrowing in Australia and buying in the UK. Link to comment Share on other sites More sharing options...
Blewyn Posted September 5, 2012 Author Share Posted September 5, 2012 Hmmm...hadn't thought of that. Ozzie interest rates are currently 6%..... Link to comment Share on other sites More sharing options...
Blewyn Posted September 10, 2012 Author Share Posted September 10, 2012 Hmmm...hadn't thought of that. Ozzie interest rates are currently 6%..... Hmmm...can anyone recommend a good accountant in the Brisbane area ? Link to comment Share on other sites More sharing options...
Dan Collins Posted September 19, 2012 Share Posted September 19, 2012 An estate agent tells me it is possible to get a mortgage in the UK for a property in Australia. Is this true ? If so, which providers are doing it and what are the pros and cons (aside from the massive interest rate difference !) I saw this link today on a website and thought back to this post. https://www.commbankuk.co.uk/mortgages/?bluskymovetoaustralia_Aug2012 They seem to lend up to 80%. Anyway, hope it might help. Cheers Link to comment Share on other sites More sharing options...
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