Concrete Analysis | Why Hongkongers looking to settle in the UK should buy a home before they emigrate
- Getting a UK mortgage is actually easier when you are still in Hong Kong – via the ‘buy-to-let’ route
- Buyers seeking a mortgage loan after landing in the UK will have to rebuild income proof, credit history from scratch in their applications
Aspiration of being a homeowner flows in Hongkongers’ veins, whether living here or abroad. Buying a house as soon as possible often tops their to-do list even after moving to a foreign land. The main struggle though is, whether one should buy a home in the UK before flying over, or wait until one has settled down there.
The plan is all convenient and nice, except for one catch – mortgage. Along the path to secure a mortgage loan when you are physically in the UK lie a lot of stumbling blocks.
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Even if you manage to get a job of equivalent pay as in Hong Kong, British banks would still impose stringent assessment of your credit history. If you have been living in the country for less than two years, it is quite unlikely you could have built up sufficient information, making it very difficult for lenders to approve a mortgage loan at a reasonable interest rate.