Why London Remains a Top Pick for Global Buyers
London continues to attract international property investors, expats, and high-net-worth individuals thanks to its legal transparency, world-class amenities, and long-term capital growth. Whether you're purchasing a pied-à-terre in Kensington, a new-build in Canary Wharf, or a rental flat in Clapham, London real estate remains one of the most desirable and resilient markets in the world.
But if you're buying from abroad, there are important legal, financial, and tax factors you must understand before moving forward. This guide outlines the most critical things overseas buyers need to know before purchasing property in London in 2025.
1. Can Foreigners Buy Property in London?
Yes. The UK does not restrict foreign nationals from owning property. Whether you are a resident or not, you can legally purchase a home in England.
You do NOT need:
- British citizenship
- A visa or residency status
- A UK company to buy through
However, your tax status, financing options, and legal responsibilities may differ from UK-based buyers.
2. Understand the Types of Property Ownership
Foreign buyers can purchase:
- Freehold: You own the building and land (common for houses)
- Leasehold: You own the property for a set period but not the land (common for flats)
- Share of freehold: You jointly own the freehold with other leaseholders
🔍 Be sure to have a solicitor explain lease terms, especially on leaseholds under 90 years, which may affect resale value and mortgage eligibility.
3. Be Prepared for Higher Upfront Costs
Foreign buyers must factor in:
- Stamp Duty Land Tax (SDLT): Standard UK rates + 2% foreign buyer surcharge
- Legal fees: Typically £1,500–£3,000
- Survey and valuation fees
- Agent fees (for off-market or buyer representation)
If you're purchasing with a mortgage, there will likely be :
- Mortgage arrangement fees
- Property valuation costs
- Currency conversion costs if you're buying in GBP from abroad
4. Getting a UK Mortgage as a Non-Resident
You can finance your London property through a UK mortgage even if you live overseas. However, the criteria for non-residents differ from UK-based borrowers.
| Mortgage Criteria for Overseas Buyers | Details |
| Deposit required | 25%–40% of property price |
| Maximum LTV | Up to 75% (varies by income and country) |
| Accepted currencies | GBP, USD, EUR, SGD, AED, HKD |
| Documentation needed | Passport, income proof, tax returns |
| UK credit score | Not required, but international credit reports may help |
💡 Tip: Work with a specialist like Global Mortgage Group (GMG) to access non-resident mortgages and prepare documents correctly.
5. Plan for Currency Exchange and Tax Implications
If your income is in a currency other than GBP:
- Monitor exchange rates to avoid overspending
- Work with a currency transfer service to lock in favorable rates
Tax considerations include:
- Income tax on rental profits (if applicable)
- Capital gains tax (CGT) when selling
- Inheritance tax (IHT) on UK property (regardless of your domicile)
A tax advisor familiar with cross-border real estate is essential.
6. Use Professionals Who Understand International Buyers
To ensure a smooth purchase, work with:
- A UK solicitor who handles overseas clients
- A mortgage broker specializing in non-resident loans
- A currency transfer service or multi-currency bank
- A letting agent or property manager (if buying to rent)
7. Areas Popular with Overseas Buyers
| Location | Why It's Popular |
| Kensington & Chelsea | Luxury, embassy district, prestigious schools |
| Canary Wharf | New-builds, finance professionals, strong rental demand |
| Battersea/Nine Elms | Regeneration zone, riverside developments, modern architecture |
| Clapham & Fulham | Family-friendly, good transport links, rental yield potential |
| Hampstead | Village charm, historic homes, high-net-worth appeal |
Why Work with Global Mortgage Group (GMG)?
Global Mortgage Group (GMG) specializes in helping international buyers finance UK property, even without a UK credit score or residency.
GMG Services Include:
- Access to UK lenders who work with non-residents
- Assistance with foreign income documentation
- Currency risk management
- Coordination with legal and real estate professionals
Contact Global Mortgage Group
📧 Email: [email protected]
🌐 Website: www.gmg.asia
📅 Book a Free consultation: Schedule here
Final Thoughts
Buying a home in London as an overseas buyer is absolutely possible—but success depends on preparation, expert guidance and an understanding of the legal and financial landscape.
Whether you're investing for long-term growth, relocating, or buying a rental property, working with experienced professionals like Global Mortgage Group ensures you make the right moves—every step of the way.
Your Top Questions Answered:
1: Can international buyers legally purchase property in London?
Yes, foreign nationals can buy property in London without needing British citizenship, residency, or a UK company structure.
2: What types of property ownership are available in London?
Buyers can choose freehold, leasehold, or share of freehold, with lease terms under 90 years requiring extra caution for resale and financing.
3: What additional costs should overseas buyers expect when purchasing in London?
Foreign buyers face a 2 percent SDLT surcharge, legal fees, surveys, mortgage charges, and possible currency conversion costs.
4: Is it possible for non-residents to get a UK mortgage?
Yes, non-residents can obtain mortgages with deposits of 25–40 percent, up to 75 percent LTV, and documentation such as passports and income proof.
5: Why should overseas investors work with specialists like Global Mortgage Group?
GMG helps buyers access UK lenders, manage foreign income documentation, reduce currency risks, and coordinate with legal and property professionals.
