EU Settled Status Mortgage

EU Settled Status Mortgage

Buying a home or getting a mortgage as an EU national can feel a little confusing, especially with all the changes over recent years. Our advisers at JB Mortgages talk to people every single day who want to know how settled status or pre-settled status affects their borrowing options.

We want to make the process as straightforward as possible for you. Below, James Bull covers the common questions our clients ask about finding the right lender, using share codes, getting Buy to Let deals, and whether you can secure the right interest rate on pre-settled status.

Can an EU national get a mortgage in the UK?

Yes. EU nationals can get a UK mortgage with settled status, pre-settled status or a visa. You need to show you have permission to stay in the UK, usually through a share code. Lenders tend to accept both settled and pre-settled status, although one or two lenders only accept full settled status.

Is there a difference in mortgage options between EU settled status and pre-settled status?

There are one or two lenders that will only accept people who have full settled status. This is something that we would advise clients on. There is no negative impact in terms of interest rates or anything like that. We can typically still get competitive deals for someone, even if they only have pre-settled status.

Do lenders treat EU settled status the same as indefinite leave to remain?

I would say yes to that, as it is practically the same thing. As far as lender criteria is concerned, it is treated pretty much the same.

Can you get a mortgage on pre-settled status, or do most lenders want full settled status?

You can absolutely get a mortgage if you have pre-settled status. There are just one or two lenders that would not accept you. We are mortgage brokers, so we know which ones they are. We will be able to recommend the right lender for anyone on pre-settled status without a problem at all.

Has anything changed for EU nationals getting mortgages since Brexit?

Not really, as the overall process is very similar. The main difference now is that you just need to prove you have permission to stay in the UK. You just have to give us details of your settled status, pre-settled status, or visa. Apart from that, it is very similar.

What documents do EU nationals need to provide now that physical status documents aren’t issued?

You can go onto the government website and download what is called a share code. You then pass that share code to us as your mortgage broker. We will forward it on to the lender, and they can open it up to check your details. It confirms your settled status, pre-settled status, or visa, and it is usually very easy.

Does having EU settled status affect the mortgage term or interest rates available?

Having EU settled status does not limit your options, as lenders tend to accept this. You should still be able to secure extremely competitive interest rates just like anyone else.

Can you get a Buy to Let mortgage on EU settled status?

Yes, absolutely. If you have full settled status, a Buy to Let mortgage is fine as long as you meet all the other Buy to Let criteria as well.

What happens to your mortgage eligibility if your settled status application is still pending?

You typically do need some sort of permission to live in the UK. If there is previous permission from a previous application, then that is okay. It just depends on your overall circumstances. If it is something out of the ordinary, it might be better to call us so we can review your overall circumstances and give personalised advice.

Can you remortgage on pre-settled status, or should you wait for settled status?

You can absolutely get a mortgage if you have pre-settled status, so there is no reason to wait at all. There may be one or two lenders that want full settled status. This shouldn’t be enough to stop you from applying now. There will still be competitive deals available.

Do I need to have lived in the UK for a minimum time to get a mortgage as an EU national?

Not always. Some lenders will lend on day one, so you do not necessarily need to have lived in the UK for a minimum period. Your application will usually be based on your UK credit history rather than credit history from another EU country, so each case depends on your circumstances.

Does having credit history in another EU country help or count for anything here?

Unfortunately, credit history in another EU country does not typically help when you apply for a mortgage here. Your application will usually be based on your UK credit history instead. We do have some lenders that will lend on day one. This means you do not particularly need to be in the UK for a minimum amount of time.

Summary

Getting a mortgage with EU settled or pre-settled status is straightforward, and our team at JB Mortgages can help you find the right deal. Lenders tend to accept both statuses, and having them does not negatively affect your interest rates or mortgage options. You will just need to provide a share code from the government website to prove your status.

Whether you want to buy a home, remortgage, or get a Buy to Let property, our advisers are here to guide you through the process and match you with a lender.

Key Points

• You can easily get a mortgage with either EU settled or pre-settled status, as lenders usually accept both.
• Having settled or pre-settled status does not change your interest rates or limit your mortgage options.
• You can prove your status to lenders simply by getting a share code from the government website and giving it to us.
• Credit history from another EU country does not usually count here, but we work with lenders who can help based on your UK history from day one.
• Buy to Let mortgages and remortgaging are fully available if you have pre-settled or settled status.