Our first ‘Ask the broker’ survey revealed some interesting results, with one headline figure showing that 68% of respondents had seen an upsurge in enquiries from Brits abroad about loans for UK property following Brexit.

Here at Together, we’ve also experienced growing demand for buy-to-let from overseas investors; in part because of the relative strength of foreign currency against sterling – attributed to the ‘Brexit effect’ – creating an investment opportunity. 

With the pound sliding against the dollar post-Brexit – and, therefore, any currency pegged to the US currency following suit – British expats living in places such as Hong Kong, for example, are seeing property investment in their home country as an increasingly attractive prospect.

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Some thought the Prudential Regulation Authority (PRA) guidelines – which included new rules to limit the amount expat landlords can borrow and tougher lending tests – would slow demand significantly after they were introduced at the start of this year, but our poll would suggest that this hasn’t been the case. 

Changes to mortgage tax relief on UK property and an increase in stamp duty were also expected to reduce demand across the buy-to-let market, but it has proved resilient overall.

In fact, what we are seeing is that long-term investors, including expats, are not being deterred, but are perhaps focusing on lower loan-to-values and using larger deposits to take the various changes into account, and also adapting their portfolios and business models to maintain their profitability; for example, by looking at up-and-coming areas across the UK instead of the more traditional rental hotspots such as London.

One major challenge which some expats have faced when looking for funding to buy properties is that a lack of a recent credit history can cause issues with mainstream lenders.

However, specialist lenders such as Together can offer buy-to-let mortgages to expats with more personalised underwriting, which takes into account their individual circumstances.

Together has always catered for niche markets and that is why – in line with our commonsense approach to lending – we set out a dedicated offering earlier in the year for expats. This fits in with our plans for continued growth in the buy-to-let market, led by our dedicated teams who have a wealth of knowledge in this specialist area.