UK Mortgage for USC

My spouse and I (both USC, she on a work visa) would like to purchase a home a few months after we move to the Leicester area next summer.   Since housing prices are significantly higher there than where we are currently living, we anticipate that we will need to finance a portion of the new home.   Is it difficult for USCs with good credit history and a substantial down payment to obtain a mortgage in the UK?

Do you have a good credit history in the UK?  Until you have ILR you will probably find it difficult to obtain a mortgage.

Since we haven't yet moved to the UK, we have NO credit history there.   Any ideas how long it will take to develop one?

Not sure exactly how long - your US credit will mean nothing in the UK, so you will be starting from scratch to build credit.

In terms of qualifying for mortgages, I think some people have had difficulty qualifying for a mortgage before they had ILR (permanent residence). What type of work visa will your wife have? If she is on a Tier 2 General visa (she is being sponsored by a UK company that she has not worked for before) it will be 5 years before you can qualify for ILR, but if she is on a Tier 2 Intra-Company Transfer visa (she is being transferred to a UK branch of her US company), it doesn't lead to permanent residence, so you won't be able to qualify for ILR at all on that visa.

Your US credit history will not transfer to the UK.  It will take several years to build up a credit history in the UK. 

I called a mortgage broker when I was on my Tier 2 visa to inquire about mortgages.  The broker was able to find two lenders who were willing to give me a mortgage with a  40% down payment.  I ended up not going down that route, so I didn't pursue applying for the mortgage to see if they would genuinely follow through with the terms.

So, it's worth a call to an independent mortgage broker.  It's not impossible to get a loan before ILR but it is very very difficult.

Wow!  What great info!   She will be working for a UK company for whom she has only been a consultant in the past, so I guess it will be a Tier 2 visa.   It's good to know that with a substantial down payment it's not impossible to get a mortgage even without an ILR.  We're hopeful that her employer (large multi-national that brings in many employees from overseas) may be able to help find a lender as part of their relo program.

This forum is just SO helpful for improving our fuzzy picture about what is to come as part of this move.   Thanks to everyone!

She'll definitely be a Tier 2 visa, but do find out if it's a Tier 2 General or a Tier 2 Intra-Company Transfer.  The difference between the two is pretty massive.

I am a US citizen on a Tier 2 general work visa married to a USC.  I went to Halifax and was able to get approved for a mortgage with 10% down (good credit history albeit less than 2 years).  I was told without a credit history or less than A credit score, I could get a mortgage with 25% down.  I was told this this week so very recent.  NatWest seems to also lend mortages to expats. 

Thank you for discussing this topic, I have been wondering about this recently and have found this very helpful, thank you!