Mortgage brokers are anticipating an increase in enquiries from foreign nationals seeking to buy homes in the UK, according to research from Gen H.
A survey of 295 brokers on the lender’s panel found that 44% expect a slight or significant increase in foreign national mortgage enquiries over the next 12 months. Meanwhile, 37% said they had already experienced a slight or significant increase in foreign national business during the past year.
Gen H said brokers who already specialise in foreign national lending were more likely to report a significant increase in activity. The lender suggested the trend reflects the growing number of people who moved to the UK following the expansion of the Skilled Worker visa route in 2022 and have since built up sufficient credit history and savings to pursue homeownership.
Despite this, foreign nationals can face additional challenges when applying for a mortgage. Many lenders impose tighter eligibility criteria, including minimum UK credit and address history requirements, while some products require deposits of at least 25%.
Sara Palmer, people at Gen H, said: “These are telling numbers. It is very exciting that so many people who moved to the UK a few years ago are ready to buy a property and truly call this country home.
“We are already seeing this trend in action at Gen H, where nearly one-third of our applications have at least one foreign national applicant. Many lenders deem these aspiring homeowners to be inherently risky, but we know and mortgage brokers know that this isn’t necessarily true – they are as creditworthy as people who are born here.
“As more foreign nationals begin exploring mortgage options, it will be up to brokers to make sure they’ve got lenders on hand who will work with them to say ‘yes’.”