Buy a house!

This is the advice given by a recently-retired missionary couple to those just starting out on a life on the mission field. Why would they say that?

‘Buy a House’ by Kingdom Bank 

A long-term missionary couple who returned from overseas to retire after many years of service were later asked ‘What one piece of advice would you give to new mission workers leaving for the field?’ Their answer was ‘Buy a House’. They had made no provision for housing in their retirement and were now financially crippled by having to spend a major part of their limited income on rent. Kingdom Bank has a solution for those mission workers who think that buying a property is out of the question:

Most missionaries are given a property to live in while they are working abroad. This is a great benefit while you are working, but it does leave the lingering problem of what happens when you retire or permanently return to the UK. Where will you then live?

For many it makes practical sense to invest in a property while you are working that you can then let out. The rent pays all or part of the mortgage costs, and you then have the value of a property for later in life to help you to purchase your retirement home.

Sadly, this is not the type of mortgage that many High Street lenders are interested in. Most of them will only offer a ‘buy to let’ mortgage to:

• Existing property owners
• People with a minimum salary of £25,000
• People who are resident in the UK

All of these can be a barrier to missionaries obtaining a Buy to Let mortgage. At Kingdom Bank this type of mortgage is something that we understand and are interested in providing. As a Christian Bank we want to help missionaries to not just invest in a property to help fund future property needs, but also to have the knowledge and reassurance that they have a plan for the future.

Our solution

Our approach to Buy to Let mortgages for missionaries is refreshingly different. We aim to help in two important ways:

The right Buy to Let mortgage for you

Unlike most other lenders, we understand your needs and circumstances. After all, it is our specialist subject! We don’t expect you to own another property, and we understand your income constraints.

We also know that you could be living overseas for some time.

Rather, we want to help you to buy a property, supported by rental income.

You will find a very receptive audience when you come to talk to us.

We should point out that while you have a Buy to Let mortgage you or your family cannot live in this property. You can, of course, sell the property, and use the proceeds of your investment for your future needs.

Helping you through the process

Investing in a property can be very stressful, particularly if you have never bought one before. Not only do you need to find the right mortgage for you, but it can be a daunting process.

We see an important part of our role as helping our customers through this process.

We will take the time to explain things in plain English. We will be available to answer your questions. We want to leave you free to fulfil your ministry.

First Steps

If you feel this is the way forward for you, please contact us. We will ask you for some basic contact details and confirm you are a UK/EU citizen.  We will then ask some short questions about the property if you have chosen one, its value, purchase price and how much deposit you are investing.

As a Christian Bank we understand about your income and will need to consider your plans for the rental of your property and the expected rental income, so that we can work out your loan.  As this is considered a commercial property we also have to confirm that you or close relatives will not be occupying the property. 

Our aim is to manage money well. We look after our customers with honesty and integrity, and seek to use our skills and resources to grow God’s Kingdom. Our goal for you is to help give you peace of mind for your future.

Kirsty Gledhill is the Mortgages Officer at Kingdom Bank dealing with the Buy to Let mortgages. Contact her at kirsty.gledhill@kingdombank.co.uk or telephone on 0115 921 7250.

(This article first appeared on the website of OSCAR – the UK information service for world mission. If you are involved or interested in missionary or Christian work overseas, OSCAR is your gateway to useful UK-related information, advice and resources.)