UK Mortgages for Expats & Foreign Nationals Living in France
If you are a UK expat living in France, it can be tough – but not impossible – to get a mortgage. There are many obstacles that could stand in your way, including currency exchange issues, lender regulations and income verification. You might find it very difficult to get a mortgage from a traditional high street bank too.
However, an expat mortgage broker can help you get the outcome that you are looking for and use their experience to help you acquire a property in the UK whilst you are based in France.
Who Can Apply for Expat Mortgages in France?
If you are a UK citizen who has moved to France to work, to retire or for anything else, there is a good chance you could get a UK expat mortgage. You may also get the approval you need if you are a non-UK citizen who lives in France.
You are much more likely to get a mortgage for a UK property from France as a salaried individual. Help is available for the self-employed as well as people who work directly for an organisation. A specialist mortgage broker can assist you whether your income comes from the UK, France or another country.
How Big Does My Deposit Need to Be to Buy UK Property from France?
You will normally need to pay a deposit of 25-40% of the value of the property. Factors that can determine just how much you will need to pay include your financial profile and the lender’s specific requirements.
Will a Poor Credit Rating Make It Tougher?
A strong UK credit history can make things easier, but brokers often work with lenders who specialise in helping those with non-perfect credit. A credit broker like Expat Mortgages UK can connect you with lenders who do not expect applicants to have a perfect credit rating.
What Mortgage Options are Available for UK Expats in France?
An expat buy-to-let mortgage could be a good option for you if you want to make rental income. When a lender is making a decision on a BTL mortgage, they will look at the potential rental income. It is normally essential that this covers your mortgage payments and that it exceeds costs by 125-145%.
As you will be based in France whilst letting out the property to tenants, you will need to get a letting agent or a similar company to manage and maintain the property for you.
An expat residential mortgage could be a good option if you will be coming home regularly and need somewhere to stay whilst in the UK, or if you are planning to move back permanently one day. You can get a residential mortgage if you are not going to be letting out the property to anybody else.
With a residential mortgage, lenders will want to know what you are planning to do with the property and whether you intend to live in it further down the line. You will also need to show the lender that you can afford the property whilst covering all costs related to your daily life in France.
You could also consider remortgaging if you already have a UK property. Remortgaging can help you get better terms and rates than you currently have and allow you to release equity from the property at the same time.
Make sure you are carefully considering all costs when you want to apply for a mortgage. A broker can draw your attention to clauses like Early Repayment Charges (ERCs) that you might have to pay if your current mortgage ends early whilst still on a fixed rate.
How Your Euro Income Is Assessed
The euro is one of the most liquid, widely traded currencies in the world, so UK lenders generally treat euro-denominated income favourably alongside sterling and US dollar earnings, with a smaller reduction applied than for less familiar currencies.
Once your income has been converted to sterling, most lenders apply an income multiple of around 4.5 times to work out how much you can borrow. Our expat mortgage income requirements guide explains this calculation in full, including how salaried, self-employed and contractor income are each treated differently.
If you are self-employed or run a business in France, lenders will typically want two to three years of finalised accounts or tax returns, and the way your income is structured, salary versus dividends versus retained profit, can significantly affect how much you are able to borrow.
If you would like a clearer view of where current UK mortgage rates are sitting for expats and how they are moving, our UK mortgage rates guide breaks it all down in one place.
What Buying UK Property from France Actually Looks Like
Worked Example 1: Paris-Based Marketing Director, Buy-to-Let
Rental profit collected on a Birmingham flat gets counted twice on paper before anyone actually owes anything twice over – once by HMRC, once by the French tax authorities – which is roughly the situation a Paris-based marketing director found himself untangling when he came to us about a £240,000 buy-to-let purchase. His salary of €62,000 a year (around £53,150) comfortably covered what the purchase required, and the UK-France double taxation treaty’s credit mechanism meant the tax he’d already paid to HMRC on the rental income would offset what France would otherwise ask for on the same money.
A 25% deposit puts down £60,000, leaving £180,000 to borrow. At an indicative 5.5% rate that comes to around £825 a month in interest, and with a typical 145% rental stress test applied, the flat needs to bring in about £1,196 a month in rent for the lender’s numbers to work.
As a second property bought while he remains France-based, the combined non-resident and additional-property stamp duty surcharge applies in full – the figures are set out where the tax rules are covered next. A purchase like this is arranged through our buy-to-let mortgage route.
Worked Example 2: Bordeaux-Based Couple, Residential Purchase
The €1.3 million threshold that triggers France’s real estate wealth tax, the IFI, is a long way off for most buyers, but it was still worth checking before a Bordeaux-based couple working in the wine trade took on a £310,000 family home in Reading on top of what they already hold in France. Between them they earn €98,000 a year (around £84,000), and since their combined French and UK property still sat well under the threshold, the purchase went ahead without adding any IFI exposure to worry about.
At a standard 4.5 times income multiple, their combined salary supports borrowing power of roughly £378,000, comfortably covering the £232,500 they need to borrow at 75% loan-to-value against a £77,500 deposit.
Their non-resident status at completion still brings the 2% surcharge into play here, even though this will be their only UK property – the figures are set out next to the Birmingham numbers above. A purchase like this, intended for the buyers themselves to eventually live in, falls under an expat residential mortgage.
Problems Expats in France Face & How We Can Help
Challenges you might face when you want to buy UK property from France include limited access to UK lenders, income verification, tough lending criteria and currency exchange fluctuations.
We can help by giving you access to specialist mortgage lenders who offer greater flexibility than mainstream banks. We also tailor our advice towards your specific situation to ensure bespoke guidance and support you every step of the way when it comes to gathering and uploading the documents you will need to work with estate agents, solicitors and lenders. We will never leave you in the dark when there is important news to pass onto you.
You will also get access to your very own dedicated Case Manager, who you can contact directly via either phone or email. No matter when you contact us, your query will be dealt with by someone from our in-house team. We also give you access to a special client portal where you can get a clear overview of your current application status and receive real-time updates.
UK Expats in France: How Does the Mortgage Application Process Work?
The process will begin with your initial consultation. During this consultation, we will take a close look at your earnings, deposit amount, employment status, credit reports and current financial commitments. Your advisor will use this information to scour the entire market to find you suitable lenders and mortgage products.
We will work with you to help you collect all the paperwork you need, from payslips and tax returns to ID and evidence of your residency status. We will also need a UK credit report if this is possible, but you can alternatively use a French one.
We will complete and submit the application form to the lender for you and ensure it is submitted in the lender’s preferred format and style to prevent any delays. Before the lender approves your application, they will need to carry out a valuation of the property and check its condition. If they are happy with these, they will issue a formal mortgage offer to you.
There will then be a few more steps to go through including the exchange and signing of contracts. After this, the funds will be released, the transaction will be completed, at which stage you will officially own your UK property.
Interested in finding out monthly mortgage costs and deposit needed? Try our Expat Mortgage Calculator UK today.
Why Choose Expat Mortgages UK?
There are many great reasons for choosing us when you want to buy UK property from France. We have whole-of-market access to lenders which helps you secure the very best terms and rates as well as vast experience in helping UK expats and foreign nationals living in France.
Our expat mortgage services are personalised and tailored towards your very specific needs, and our innovative client portal means you are always in the loop when it comes to the latest application updates.
Tax Implications of a UK Mortgage When Living in France
If you are a foreign national or UK expatriate living in France who has a mortgage on a property in the UK, it is very important to consider the cross-border tax implications that may arise in either country. You may be liable to pay UK tax on rental income or capital gains from the property via HM Revenue & Customs (HMRC) and you may incur tax in France via the Direction Générale des Finances Publiques. It is important to plan appropriately to avoid double taxation, compliance breaches or missed opportunities for tax relief.
Rental Income from UK Property
If you are living in France and renting your property in the UK, you are required to report rental income and pay UK income tax via the UK Self Assessment process when due. You will be able to reduce your UK tax obligation by deducting allowable expenses, such as mortgage interest, maintenance, letting agency fees and insurance.
You will also have to report your UK rental income on your French income tax return because as a French tax resident, you will potentially be taxable on your worldwide income. The UK-France double taxation treaty will generally prevent the same income being taxed twice – in a normal situation, tax paid in the UK will be able to be claimed as a foreign tax credit against the French liability on the same income.
Deductions of UK Mortgage Interest in the French Tax System
Whether mortgage interest on a UK property is eligible for deduction from your French taxable income depends on how the property is used. If the property is rented out to tenants, the mortgage interest and related costs may be deductible from the rental income declared in France. If the property is used for personal use (as a second home or a holiday dwelling, for example), the mortgage interest cannot be deducted for French tax purposes.
Selling Your UK Property
When you sell your UK property for a profit, you will normally be subject to UK Capital Gains Tax (CGT). However, you will also be liable to French capital gains tax for the same gain as a French resident. The UK-France Double Tax Treaty should prevent you from being double taxed on your gain, usually by allowing you a credit for UK tax paid.
Depending on your circumstances, France may afford you specific reliefs or allowances, such as exemptions based on how long you owned the property. Make sure you understand which exemptions may apply to you.
Declaring Foreign Assets to French Authorities
France has strict rules for declaring foreign assets. If you have a UK property – or any foreign bank account, trust or investment – you must declare it to the French tax authorities using Form 3916 (bank accounts) and Form 3916-bis (real estate and other financial assets). Failure to do so can result in significant penalties.
France’s Real Estate Wealth Tax (IFI) and Your UK Property
France taxes real estate wealth separately from income, through the Impôt sur la Fortune Immobilière, and the rules work differently depending on residency status. A non-resident’s IFI exposure is limited to property actually located in France, so a UK purchase sits outside it entirely. Once you’re a French tax resident, though, the position changes: IFI applies to worldwide real estate, UK property included, once net real estate assets pass €1.3 million on 1 January of the relevant year. Most buyers on this page are nowhere near that figure, but anyone already holding a substantial French property portfolio alongside a new UK purchase should have this checked, since French residents also lose access to some of the reliefs available to non-residents, including the cap that limits IFI to 75% of annual income.
UK Stamp Duty Land Tax (SDLT)
Everything covered above – HMRC, the Direction Générale des Finances Publiques, IFI – deals with what happens after a UK property is bought. Stamp Duty Land Tax is charged before any of that, at the point of purchase, and it isn’t mentioned anywhere else on this page. A flat 2% is added to the standard rate for any non-UK resident buyer, and a separate 5% applies on top if the property won’t be the only UK home in the buyer’s name, with both charges able to land on the same purchase. On the two examples above, the Birmingham buy-to-let works out at £2,300 standard SDLT plus £16,800 from the combined 7% surcharge for a total of £19,100, while the Reading home – the only UK property the Bordeaux couple will own – comes to £5,500 standard SDLT plus £6,200 for the 2% non-resident element, £11,700 in total. Either bill’s non-resident portion can be claimed back if the buyer spends 183 days or more in the UK in the 12 months after completion, as long as the claim goes in within two years of the purchase date.
Consult with a Cross-Border Tax Specialist
Due to the complexity of dealing with the UK and French tax systems, and the possibility of double taxation, non-compliance or missing reliefs, we strongly recommend working with a tax advisor who has experience in UK-France cross-border taxation.
A competent tax advisor will not only keep you compliant, but also help you reduce your tax liabilities and make your overall financial affairs more efficient in both countries.
FAQs About UK Mortgages for Expats in France
Can I get a UK mortgage while living in France?
Yes – just because you live in France does not mean you are shut out from buying property in the UK.
UK lenders will want to see steady income and clear financials, but many expats and overseas investors manage this from abroad without ever setting foot in the UK during the process.
Do UK lenders understand French income and tax systems?
Some do, and some do not. High-street banks can struggle with foreign tax and income structures, but specialist expat lenders get it.
They know how French earnings, tax returns, and payslips work, and they know how to assess them in a way that makes sense for a UK mortgage.
I earn my money in Euros, can I still get a UK mortgage?
Yes – when expat mortgage lenders look at your income they do allow for currency fluctuations.
We can help you find a lender that treats those earning overseas income fairly.
What is the minimum deposit required for UK mortgages for expats in France?
You will normally need to pay a deposit of at least 25%, although this can be lower in some situations.
I have no French income, can I still apply for a UK mortgage?
If you do not have any income from France but do have some from other sources, these may be considered when the lender is checking your overall affordability.
Make sure you provide comprehensive evidence of all your income to strengthen your application.
How long will it take to get a UK expat mortgage approved from France?
It can take anything from two to six weeks to get a mortgage application approved and a formal Mortgage Offer issued.
Factors that can determine the time it takes include dealing with files, waiting for responses, submitting the paperwork and getting the property valued.
I want to move back to the UK in future, will my application be approved?
Yes, no problem – mortgage lenders often look favourably upon applications from clients wanting to return to the UK in future, as this demonstrates long-term ties to the UK.
What happens with the exchange rate - does it affect my application?
Yes, it can. Because lenders convert your income and savings from euros into pounds to work out affordability, rapid shifts in exchange rates can change how much you are able to borrow.
It is not usually a deal-breaker, but it is good to be aware of it when planning your application.
Do I need to have lived in the UK before?
No, you do not. You do not need a past UK address or any history of living there to get a UK mortgage.
Lenders mainly want to know that you earn enough, your finances make sense, and you can comfortably cover the repayments. Where you have lived before is not a deal-breaker at all.
Is it actually helpful to use an expat mortgage broker?
Yes – trying to sort a UK mortgage from France can feel like a puzzle, especially when your income, taxes, and documents all look “foreign” to UK lenders.
A good expat broker already knows which lenders understand French paperwork and which ones do not, so you skip all the frustration and get straight to the options that actually work for you.
Will I pay extra UK stamp duty as a France-based buyer?
Yes, in most cases. Buying from France still means qualifying as a non-UK resident under HMRC’s SDLT rules, which brings a 2% surcharge into play regardless of what French residency status you hold, and a second 5% surcharge applies as well if the property won’t be your only UK home.
Both can apply together on the same purchase. If you later spend 183 days or more in the UK within 12 months of completing, the 2% non-resident portion can be reclaimed, provided the claim is submitted within two years of completion.
UK Expat Guide to Living in France: Best Cities, Regions & Property Hotspots
France is an excellent choice for people moving from the UK who are looking for a great quality of life, exceptional scenery and brilliant weather. There are many options available to you, and you should find somewhere suitable whether sunny coastal towns, country retreats or exciting cities appeal to you.
Paris is home to around 7,500 British residents according to INSEE – a small share of the city’s population, but concentrated among professionals working in finance, law and international organisations who value the transport links and job market a global capital offers. Further south, Toulouse has built its own distinct pull: Airbus is headquartered there, and the wider Aerospace Valley cluster accounts for roughly a quarter of Europe’s entire space-industry workforce across around 400 companies, drawing British engineers and aerospace specialists who wouldn’t necessarily consider Paris.
Nouvelle-Aquitaine and Occitanie together account for close to half of all British residents in France, and Dordogne alone – a rural department within Nouvelle-Aquitaine – is home to more Britons than anywhere in the country outside Paris, drawn by affordable stone farmhouses and a slower pace of life rather than city careers. Bordeaux, the region’s largest city, anchors a wine industry that shapes the whole local economy and draws expats working in viticulture, hospitality and wine export alongside the retirees further out in the countryside. Brittany appeals particularly to families for its coastline and lower cost of living relative to the south, while Provence keeps its long-standing reputation for lavender fields, hilltop villages and a property market that skews toward second homes and holiday lets rather than year-round relocation.
France’s healthcare system, quality of public services and relaxed lifestyle have made it one of the destinations many people think of first when they want to relocate from the UK. It is also a very popular choice amongst expats due to its proximity to the UK. In fact, the closest points between France and the UK are just 20 miles apart.
Contact Expat Mortgages UK
At Expat Mortgages UK, we make it much easier for you to secure a UK home mortgage as a British expat or foreign national living in France. Talk to us today to turn your vision into a reality, make a UK property yours from France and receive impartial advice every step of the way.
Expat Mortgages UK is an independent whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. We work exclusively with expats and foreign nationals buying UK property with overseas income. Your home may be repossessed if you do not keep up repayments on your mortgage.
Call: +44 1494 622 555
Email: info@expatmortgages-uk.com
Related Pages
- Currency Haircuts on UK Expat Mortgages – why lenders discount foreign-currency income and how to plan around it
- UK Expat Mortgage Application guide – how to structure and submit your application for approval first time
- UK Mortgage for Expats in Spain – mortgage options for UK expats based in Spain
- Case Study: EU-Based Expat Buy-to-Let UK Mortgage – how a specialist lender solved an EEA country application with thin UK credit
- Foreign Investment in the UK – a complete guide for overseas buyers including tax considerations