Successful Large UK Interest Only Mortgage for Italian National – £1.225m Secured
Articus Finance secured a £1.225 million large UK interest only mortgage for Italian national relocating from Singapore, enabling purchase of a £2.3m family property in London with competitive private bank terms.
Introduction
Arranging a large UK interest only mortgage for Italian national clients is a specialist task requiring tailored private banking solutions. Traditional lenders rarely extend significant financing on interest-only structures, particularly where the borrower is both a high-net-worth individual and a foreign national residing abroad. This case study demonstrates how Articus Finance arranged a bespoke large-scale mortgage, blending long-term planning with interest-only efficiency, to support a client’s relocation back to the UK.
Client Background
Our client, an Italian national living in Singapore for eight years, had recently accepted a new senior position in London. Anticipating his family’s move to the UK, he identified a prime residential property valued at £2.3 million. The client sought significant leverage while preserving liquidity, preferring an interest-only mortgage structure to minimise monthly cash flow commitments during the relocation phase.
The request was for borrowing of £1.225 million, representing 65% loan-to-value (LTV). However, the complexity arose not simply from the loan size, but from the combination of foreign residency, currency considerations linked to income from abroad, and the requirement for an interest-only facility at private bank-level borrowing.
The Challenge in Securing a Large UK Interest Only Mortgage for Italian National
Traditional UK lenders typically avoid providing large-scale interest-only mortgages to non-UK residents due to three primary factors: the perceived risk of foreign currency earnings, the scale of the loan relative to property value, and compliance concerns around foreign nationals. Many mainstream banks cap LTV ratios substantially lower than 65% for international borrowers, particularly when the loan exceeds £1m.
Moreover, banks remain cautious in granting interest-only facilities to clients who are not yet UK-resident, concerned about both affordability evidence and liquidity in case circumstances change. For this client, combining the loan quantum, residency, nationality, and product type requirements represented a highly complex proposition.
Our Solution
Articus Finance recognised from the outset that a private bank would provide the best pathway to secure favourable terms. We leveraged our long-standing relationships with international private banks accustomed to working with globally mobile professionals. By presenting a comprehensive financial profile—including historic earnings in Singapore, projected income in the UK role, and evidence of substantial global net worth—we reassured lenders of the client’s creditworthiness.
A private bank agreed to provide a £1.225 million facility at 65% LTV, structured entirely on an interest-only basis. The solution blended rate competitiveness with flexible repayment options, enabling the client to maintain low monthly outgoings while retaining capital flexibility for future investments. Importantly, the facility also allowed for restructuring should the client wish to reduce exposure once fully settled in the UK.
Key Highlights
- Client: Italian national, resident in Singapore with new role in the UK
- Property Value: £2,300,000
- Loan Amount: £1,225,000
- LTV: 65%
- Facility: Interest-only residential mortgage
- Lender Type: Private bank
- Outcome: Large UK interest-only mortgage delivered with bespoke private bank terms
Why Large UK Interest Only Mortgages for Italian Nationals Require Expertise
Securing a large UK interest only mortgage for Italian national professionals is uniquely complex. Overseas residency, foreign currency earnings, and the high value of the borrowing combine to create substantial underwriting challenges. A private bank’s willingness to focus on the long-term financial strength of the borrower, rather than rigid criteria, makes them the most effective route for such deals.
Interest-only mortgages are often best suited to high-net-worth clients seeking to preserve liquidity while investing capital more efficiently. They allow flexibility while maintaining exposure to prime property, but must be structured responsibly to avoid refinancing risks. Experienced advisors like Articus ensure not just loan approval, but alignment with broader financial strategies.
Wider Market Context
Demand for prime UK residential property remains high among European nationals, including Italian professionals relocating to London. This demand has supported the growth of specialist facilities, often arranged via private banks that can accommodate non-standard situations. At the same time, increasing regulatory pressures and cautious mainstream lending mean these solutions are reserved for clients with strong financial backgrounds and the right advisory support.
For many Italian nationals, interest-only mortgages unlock the ability to simultaneously invest in the UK property market and maintain flexibility over global capital deployment. Structured correctly, they represent both a lifestyle solution and a strategic investment tool.
Why Articus Finance Delivered
Articus Finance demonstrated unique value by combining private bank relationships with international client understanding. We anticipated underwriting concerns around foreign national status, explained income flows in both Singapore and the UK, and structured the arrangement in a way that reduced perceived lender risk. The result was a facility tailored not only to secure a home for immediate relocation but also to fit into the client’s long-term financial and lifestyle goals.
This success underscores our ability to deliver bespoke outcomes for high-value foreign national cases—solutions rarely available through mainstream lending channels. Through experience and relationships, Articus ensured the client’s transition back to the UK was seamless, financially secure, and strategically informed.
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Final Thoughts
This case demonstrates how a large UK interest only mortgage for Italian national can be secured strategically through private banking channels. By combining tailored structuring, liquidity preservation, and lender negotiation, Articus Finance delivered a £1.225 million solution that enabled seamless relocation and optimised long-term financial positioning. For foreign nationals seeking prime UK property, our experience transforms complexity into certainty.