Addressing Red Flags for a Foreign National Investing in the UK BTL Market

Loan Amount:
£620,000

Property Value:
£1,200,000

LTV:
62%

Working with foreign national investors can present unique challenges. With overseas buyers, there may be delays in the background checks. But, often, some of the flagged issues may not even be applicable or correct.

One of our underwriters recently had to deal with such an issue. A foreign national turned to us for funding to cover the costs associated with a BTL purchase.

But, we had to move quickly to overcome issues that emerged during the initial assessment stages.

Addressing a false flag

As a red flag was raised, we had to react quickly to ensure the deal didn’t slow down. Fortunately, our underwriter explored the borrower’s background further, and was able to determine the problem was actually a non-issue.

With confirmation that we could proceed, we were then able to turn our attention to the investment property itself. We saw it was in a prime location, which allowed us to comfortably move to the final stages of the deal.

The exit strategy was dependent on another facility maturing in time to cover our funding. This presented a possible scheduling issue, but our underwriter attained documentation confirming everything would be ready with time to spare.

With the borrowers clearly being very organised, coupled with the strength of the investment, we delivered funding that fitted in with their timeframes.

Welcoming investors turned away from the mainstream market

Foreign nationals, whether they be individual investors or buyers manoeuvring through a business, will likely struggle to gain access to the UK property market. With those based overseas, there may be added due diligence involved.

What’s more, in the current market, lenders may be hesitant to provide funding for domestic buyers, let alone foreign investors who present added complexity.

But, we have foreign national bridging loans created specifically with these complications in mind. We’re able to work with individual foreign nationals, overseas companies, expats, offshore trusts and more. If you have any overseas interests, we may be able to provide you with entry to the English and Welsh markets.

FAQs

Do you accept all overseas investors?

We can work with a wide range of overseas investors, including foreign nationals, international companies, trusts and offshore entities as long as the country of origin is not sanctioned. While we assess each application on its individual merits, we are experienced in structuring loans for clients with non-UK residency, non-Uk footprint or complex ownership structures. Our flexible approach allows us to support international borrowers looking to invest in the UK property market.

Do you always carry out background checks?

Yes, we conduct thorough due diligence on every application to ensure we meet regulatory requirements and protect all parties involved. However, our process is designed to be efficient and pragmatic. We focus on assessing the overall viability of the case, including the strength of the asset and exit strategy, rather than relying solely on automated systems or rigid criteria. This allows us to move quickly while still maintaining compliant checks.

What can I do to help speed up the process?

Having key documentation ready from the outset can significantly accelerate the process. Providing clear details on the property, proof of funds, and a well-prepared exit strategy allows us to make swift lending decisions. Our team works closely with all parties involved to avoid unnecessary delays and ensure a seamless transaction.

Do you lend UK-wide?

We offer bridging loans and buy-to-let mortgages for properties located across England and Wales. While the security must be within these regions, we accept applications from borrowers globally. Whether you are based overseas, operate through a trust or an offshore company, we have the experience and flexibility to support your funding needs.