Updating post from Reddit.

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Posted by samove_ 2 weeks ago
Remortgage after moving abroad?

Me and my wife have moved abroad and not planning to return to UK until forseeable future.

Our house in UK is joint ownership.

Our current mortgage deal ends in July 2026

Monthly mortgage: 1800 (4.95% fixed until July 26) Monthly rent: 1700

We want to keep the house in UK even if we make slight loss on an annual basis.

  • What will happen if we want to remortgage? Are there banks which allow remortgage to people moved out of UK?

  • I'm assuming we will need to switch to BTL mortgage when we remortgage? Current LTV is 70% (after making overpayment of 8% last month)

  • How bad would the rate be if we can remortgage next year and given that we are now not in UK? Any form of estimate would help.

    • Thank you all.

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    Posted by IAmFrom3035 2 weeks ago

    Same situation here.

    1. You can just switch to a new deal with existing mortgage provider when your current deal expires. Changing a bank for remortgage as an expat is extremely difficult.
    2. You don't need to switch to buy to let. Theoretically you need to inform your bank if you rent it out, but they won't know if you don't tell. Grey area.
    3. If you tell the bank that you are renting it out, they will add a little maybe 0.5% on your existing rate. Again if you don't inform them and just keep paying mortgage payment in time, there is no problem.
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    Posted by barnez_d 2 weeks ago

    Keep in mind re point #2 that one of the questions an insurer will ask when you take out or renew landlord insurance is whether your have permission from the mortgage provider, if applicable. If you provide an incorrect response tor make a claim with no permission to let, the claim will be invalidated.

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