UK or US Mortgage?

Unless you have cash in the bank or enough equity in your existing home to purchase real estate in Florida without the need for finance, one of the biggest challenges you'll face is arranging the right loan. But buying property in Florida does not mean that you have to obtain an overseas mortgage as well. In fact, for UK buyers of property in Florida, some experts recommend obtaining a loan in the UK instead of relying on the U.S. system which is less flexible.

To obtain a mortgage in the U.S. you'll need

- a good credit history in the U.S. or your home country (proof that you have never defaulted on previous mortgage payments etc.)
- a social security number or Tax ID Number
- a minimum 20% deposit (30% in some cases)
- a good paper trail for the deposit to prove that the deposit is not a loan
- your visa / green card

If you don't have these in place then it can be a tricky business trying to obtain a mortgage in Florida. If you do have these in place then expect to be offered fixed rate terms over 5, 15 or 30 years as interest only or repayment. Very rarely are there any other options! You should also watch out for upfront payment requests (known as points), as these can have a significant effect on the cost of your mortgage.

There are many UK based lenders that now offer U.S. mortgages to UK residents wishing to buy in Florida. Some of the UK's major banks also offer to convert a UK sterling mortgage from the dollar value to sterling value at the time of purchase, so taking advantage of future exchange rate changes should they become even more favourable than they are at present.

Please note: 1st-for-florida-property.co.uk and its affiliates are not qualified to offer professional mortgage advice. Before you purchase your property please seek expert counsel.