Mortgages for Seafarers – The Complete Guide
DIRECTOR AND MORTGAGE ADVISER
Specialist broker for high-earning professionals and complex income cases.
Getting a mortgage as a seafarer isn’t always straightforward. Long periods away from the UK, pay in foreign currencies, and tax exemptions such as the Seafarers Earnings Deduction (SED) mean that many high street lenders struggle to assess your income correctly.
But specialist lenders do support seafarers — and with the right structuring, you can often access competitive UK mortgage rates. As brokers with deep experience in arranging mortgages for seafarers, we know which lenders to approach, what documentation they require, and how to present your application for the best possible outcome.
What Is a Seafarer Mortgage?
A seafarer mortgage is simply a UK mortgage adapted to people who work at sea, such as:
Commercial ship officers and crew
Cruise staff and entertainers
Yacht crew
Offshore contractors and engineers
Marine specialists paid via Ltd companies
The main differences from standard residential mortgages are:
Foreign currency income – lenders often apply a “haircut” to protect against exchange rate fluctuations.
Residency rules – you need to maintain a UK address, bank account, and electoral roll record.
Tax treatment – you may claim the HMRC Seafarers Earnings Deduction (SED), showing little or no UK tax paid.
Time at sea – extended absence means lenders may check property insurance, ongoing residence, or management for buy-to-let.
Request your fee free mortgage consultation today. No obligation, just sound advice.
Seafarers Earnings Deduction (SED) – How Lenders View It
The HMRC Seafarers Earnings Deduction allows eligible seafarers to claim up to 100% tax exemption on foreign earnings. While this is valuable for your finances, it can complicate a mortgage application if payslips show no UK tax deducted.
Some lenders are comfortable – they’ll accept SA302s and HMRC confirmation that you’ve claimed SED.
Others require employer letters confirming gross pay in original currency.
All lenders expect consistency – filing a UK tax return annually is essential to prove UK residency and avoid being treated as an expatriate.
We’ll advise you exactly which documents each lender requires — from SA302s to certified contracts and bank statements — and make sure your application is watertight.
How We’ve Helped Clients Like You
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How Brokers Add Value for Seafarers
It’s not just about finding a lender willing to lend. The real difference is in structuring the loan correctly:
Total cost vs. rate – the lowest rate may carry high fees; we’ll compare the overall cost.
Overpayment allowances – useful if you receive large lump-sum payments during leave.
Early repayment charges (ERCs) – important if you expect to refinance or sell early.
Interest-only or offset – can suit seafarers with irregular cashflow or strong savings.
Longer terms – some lenders offer 35–40 years, easing affordability.
By considering all these factors, we ensure you don’t just get a mortgage approved — you get one that works for your lifestyle and long-term goals.
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What Documents Do Seafarers Need To Obtain A Mortgage?
Seafarers usually need more evidence than standard applicants because of foreign income and time spent abroad. Lenders may request:
Your current employment contract showing terms, pay, and duration.
Payslips or remittance advice in the original currency (plus translations if needed).
SA302s and HMRC returns showing Seafarers Earnings Deduction (SED) where applicable.
UK bank account statements proving where your salary is received.
Proof of UK residency such as council tax bills, utility bills, or voter registration.
Some lenders will also ask for a certified copy of your passport or CV to confirm employment history.
Example Scenarios
Halifax contractor: Offshore engineer paid $650/day via contract. Halifax will accept contractor income if evidenced by contract and bank statements, but will apply a 20% haircut on USD income. Borrowing structured on £500/day equivalent.
NatWest employed officer: UK-based, employed by a UK marine company, paid in GBP. Treated like a standard employed applicant — no haircut. Able to borrow up to 5x income with standard documentation.
HSBC overseas seafarer: Cruise staff paid in EUR, based in Spain but with UK bank account and address. Eligible if income exceeds £75k and residency rules met. 20% haircut applied; max 75% LTV.
What Our Clients Say
How Kite Mortgages Helps
We specialise in mortgages for professionals with complex income — including seafarers. By working with us, you’ll benefit from:
Direct access to lenders who understand seafarer income.
A tailored application that highlights your strengths and avoids unnecessary declines.
Comparison across multiple lenders to secure the best total deal, not just the best headline rate.
Ongoing support throughout the process, so your mortgage progresses smoothly even if you’re away at sea.
Request your fee free mortgage consultation today. No obligation, just sound advice.
FAQs
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Yes, many lenders will consider foreign currency income. However, they usually apply a “haircut” to protect against exchange rate fluctuations (often between 10% and 25%). The exact treatment depends on the lender and the currency:
Halifax accepts USD, EUR, AUD, INR and CHF, applying a 20% haircut (10% for bonuses).
HSBC uses a matrix with varying haircuts depending on the currency.
Santander accepts USD, EUR, CHF and AED, applying a 25% haircut.
NatWest is more flexible and may not apply a haircut if the employer is UK/ROI based.
A broker can compare how each lender treats your salary to maximise borrowing potential.
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Deposit requirements vary depending on your income currency and employment structure:
Paid in GBP with a UK employer: some lenders allow as little as 5–10% deposit.
Foreign currency income or overseas employer: typically 15–25% deposit is required.
Buy-to-let mortgages: usually at least 25% deposit.
The stronger your UK ties (banking, residency, credit history), the lower the deposit hurdle tends to be.
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Lenders want reassurance that you still maintain UK residency. Most require:
Evidence that you spend at least part of the year in the UK (e.g., 91 consecutive days).
Proof of a UK address and voter registration.
A UK bank account to service the mortgage.
If you’re away more than 183 days in a tax year, some lenders may class you as an expatriate. In this case, you’ll need an expat mortgage — usually with higher rates and stricter criteria.
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Yes, but expect stricter rules:
A 25% minimum deposit is standard.
Lenders may require you to appoint a professional property management company if you’ll be away for long periods.
Properties such as HMOs, student lets, and holiday lets are considered higher risk, so options may be more limited.
That said, several lenders will approve seafarer buy-to-let applications if the case is packaged correctly.
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Claiming SED doesn’t prevent you from getting a mortgage. But it does make paperwork more important:
Continue filing a UK tax return each year, even if no tax is due.
Provide HMRC letters or SA302s confirming your SED claim.
Keep evidence of travel and time spent in the UK to support residency status.
Handled correctly, SED can actually strengthen your affordability, as more of your gross pay is available for mortgage commitments.
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YOUR HOME MAY BE REPOSESSED IF YOU DON’T KEEP UP REPAYMENTS ON YOUR MORTGAGE
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