Barclays International has seen its offshore mortgage book grow by 25% during 2005, due to an increa...
Barclays International has seen its offshore mortgage book grow by 25% during 2005, due to an increasing number of foreign nationals coming to the UK to live and work.
Pieter Van Rooyen, head of banking at Barclays International, said offshore mortgages could provide savings of up to 40% on UK tax for people eligible to use their offshore income to buy a home in the UK.
He said an offshore mortgage was ideal for someone moving to the UK for a fixed period of time but planning to return to their home country in the future or someone with offshore income and investments that could be used to pay the interest on a mortgage.
Van Rooyen added: "As the number of people of other nationalities working in the UK increases, offshore mortgages are becoming increasingly popular.
"However, the UK mortgage market has seen a significant shift in regulatory requirements and there are now additional responsibilities on lenders to ensure product, process, advice and documentation are 100% compliant.
"This means that advising a client to domicile a mortgage offshore requires even more thought and care and has led some providers to withdraw from this business."
Barclays' offshore mortgage book grew by 25% in 2005
Offshore mortgages can save up to 40% tax for those eligible buy a house with offshore income
Growing in popularity due to the increase in foreign workers
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