Proof of income and affordability biggest challenge for brokers serving expat borrowers – Mortgage Strategy

Proving income and affordability is the biggest challenge facing mortgage brokers working with expat clients, research from Suffolk Building Society has found.

Nearly two-thirds (62%) of brokers surveyed identified proving income and affordability as their main challenge when handling expat mortgage cases.

Concerns over global political instability, uncertainty around lending criteria, and identity and anti-money laundering checks were the next most commonly cited challenges, with each issue highlighted by 48% of respondents.

The research, which surveyed mortgage intermediaries about niche areas of lending, also found that the challenges can begin before a mortgage application is even considered. Brokers estimate that just 34% of expatriates are aware that they may need a dedicated expat mortgage.

Charlotte Grimshaw, head of intermediaries at Suffolk Building Society, said the traditional perception of an expatriate borrower does not reflect the wide range of people who may require specialist lending.

“There’s a widely understood idea of what an expat looks like, perhaps a lawyer or finance professional who has moved to Dubai, but the reality is much broader,” she said.

“Those working for a UK company but based overseas, and under their local tax jurisdiction, would count as an expat. As might someone working on an oil rig, in shipping, or as crew, or at the UK overseas embassy, which can be a surprise if they’re new to living or working overseas.”

Grimshaw said the complexity of expat mortgages, combined with a lack of awareness among potential borrowers, underlines the importance of broker advice.

“Suffolk Building Society believes there is a clear case for the value of broker advice,” she said.

“Intermediaries have a vital role to play in helping clients understand their options, identifying the right mortgage for their circumstances and navigating the additional requirements involved.”

When asked where they add the most value in expat mortgage cases, 88% of brokers said it was finding a lender willing to lend based on a customer’s individual circumstances.

These can include their country of residence, tax status and the currency in which they are paid.

More than half (54%) said they add value by explaining which type of expat mortgage a customer needs, including the differences between expat buy-to-let, consumer expat buy-to-let, expat holiday let and expat residential mortgages.

A further 44% said helping clients understand the documentation required, and why an expat application can be more complex than a standard UK mortgage, was an important part of their role.

The findings come as an estimated five million British expats live around the world, with a further quarter of a million having moved overseas in the past 12 months.

Suffolk Building Society said the figures highlight an opportunity for more brokers to develop expertise in specialist expat lending, where advice and case preparation can have a significant impact on the outcome of an application.

Grimshaw said borrowers can also face difficulties in determining which type of mortgage best suits their circumstances.

“Even when clients know they need an expat mortgage, understanding which type of product is most suitable isn’t always straightforward,” she said.

“Whether they plan to let the property permanently, use it themselves when visiting the UK with flexibility around letting, or it’s to be a home for themselves/family members, this all influences the type of mortgage they may need.”

She added that brokers sometimes approach the society looking for a buy-to-let mortgage, only for further discussions to reveal that a holiday-let product could provide their clients with greater flexibility.

“A broker’s understanding of the customer’s wider circumstances, combined with our knowledge of expat lending, means we can work together to provide a robust solution for expats across the world,” Grimshaw said.

Research was undertaken between July and August 2026, surveying a panel of 137 expat mortgage brokers via email by Suffolk Building Society.