International & Expat · Mortgage
UK mortgage for a Frankfurt-based executive with EUR income and EU settled status
A senior technology executive based in Frankfurt — German national, EU settled status in the UK — wanted to purchase a London investment property. His income was euro-denominated, structured as salary plus significant annual bonus, paid through his German employer. We secured a mortgage on the investment at a loan-to-value that worked for his plans.
Reviewed by Yazdaan Hussain · CeMAP qualified · LLB
6 September 2026
The Situation
Our client was a senior technology executive employed by a major German firm, based in Frankfurt for seven years. He held EU settled status in the UK, having lived there previously for three years, and wanted to purchase a London investment property — a two-bedroom flat in east London — as a long-term asset. His income was entirely euro-denominated: a fixed salary plus an annual bonus that varied between 40% and 70% of salary depending on business performance. He had no current UK income, no UK employment history and limited UK credit footprint — one UK bank account opened during his previous UK residency, with no active credit lines. He had spoken to two lenders directly and been declined at the income-assessment stage because neither had a clear framework for bonus-heavy EUR income.
The Challenge
The case presented two overlapping difficulties. First, income currency and structure: euro-denominated salary and variable bonus required conversion, and lenders apply differing haircuts and averaging approaches to bonus income that varies year on year. The bonus component was material to the borrowing required — ignoring it or applying a conservative cap would have significantly reduced what the lender would lend. Second, EU settled status: since the UK left the EU, EU nationals are assessed on UK immigration and residency status as part of the standard lender application. Our client held settled status — the more favourable of the two post-Brexit statuses — but the lender population who handle this correctly is smaller than the general market, and the wrong lender choice early in the process risks a decline on immigration grounds regardless of the financial position.
Our Approach
We correctly categorised the client's immigration status from the outset — settled status treated in the same way as indefinite leave to remain by the lenders we approached — and identified the segment of the market with genuine capability for EUR income assessment. We prepared a comprehensive income pack: two years of German employment contracts, payslips and P60 equivalents, two years of bonus statements with the client's employer's written confirmation of bonus structure and its basis, and a currency conversion summary presented consistently so the underwriter had a single clean figure to work from. We positioned the case to a lender whose international underwriting team regularly assesses European income and was willing to apply a fair averaging approach to the bonus.
The Outcome
Mortgage offered at the required loan-to-value, with the full EUR income — base salary and a two-year averaged bonus — accepted. The purchase completed. The client subsequently contacted us to discuss remortgaging the property in two years and has referred two colleagues at his firm who are exploring similar purchases.
Outcome
Mortgage offered at the required loan-to-value, with the full EUR income — base salary and a two-year averaged bonus — accepted. The purchase completed. The client subsequently contacted us to discuss remortgaging the property in two years and has referred two colleagues at his firm who are exploring similar purchases.
This case study is anonymised. It is drawn from cases handled by our advisers during their mortgage careers, including work undertaken before Lockhart Murphy was established. Certain identifying details and figures may have been adjusted to protect client confidentiality, without changing the substantive lending challenge or outcome. The outcome shown is specific to this client's individual circumstances and is not indicative of results in other cases. Your mortgage is not guaranteed until a formal offer is issued. Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage. Lockhart Murphy is a trading style of Mortgage Force (UK) Ltd who is authorised and regulated by the Financial Conduct Authority. FCA Number: 843041. Registered in England and Wales, Companies House No: 09394027.
- Germany
- Frankfurt
- EUR income
- euro income
- EU settled status
- bonus income
- international
- non-resident
- London
- investment property
- buy-to-let
- post-Brexit
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