In Focus: How Financially Confident Are Your Staff & Players?
We go in-depth with Terri Tappin, Head of Business Development at Alexander Hall to answer the key property finance questions we regularly get asked by football clubs.
Footballers have loads of money – why would they need a mortgage?
A variety of reasons! Footballers who are very independently wealthy will often have a lot of their cash tied up as assets which cannot be released very easily. Obtaining a mortgage means this cash can be spread over more assets or accessed quickly if other investment opportunities arise.
We have to stress not all footballers have loads of money! Once you get below the Premier League a lot of footballers need mortgages for the same reason most clients do. Also, as they are typically on short-term contracts the lending options in this space are quite specialised so they should ensure they speak to a mortgage adviser who understands how to access the best deals.
Why would I need the services of an adviser?
There are over 15,500 residential and buy-to-let mortgage products currently available in the UK. This is a minefield to navigate for anyone looking into all of those products without help.
When you combine all these options with infinitely-varied personal and income circumstances, plus the variety of property types and how they can impact a buyer’s options it lends weight to the argument that everyone seeking a mortgage needs to seek advice from a qualified adviser.
Are there different requirements for foreign nationals looking to secure a mortgage?
Yes, each mortgage lender has different requirements in relation to foreign nationals.
For clients on Visas, each lender has a different policy. Most lenders require a higher deposit for clients on a Visa, often 25%, and some lenders do not accept clients without indefinite leave to remain full-stop. The type of Visa is also important and can impact the lender options, and the deposit required.
For clients from the European Economic Area (EEA) or with indefinite leave to remain all lenders will be fine with accepting applications as they are treated the same as British nationals. However, they often have a policy on time in the UK. As such, for footballers who have recently moved to the UK, even if an EEA national, this could be a problem for some lenders. We have access to lenders that specialise in this area, and can assist clients from day one in the UK.
Is property still a good investment for footballers?
UK property continues to present a very strong potential investment when considering house price appreciation over the long-term.
What are the common pitfalls when looking for the right mortgage?
The most common pitfalls are clients focusing on rate. Of course obtaining the best rate is very important, but it should be the best rate for your circumstances. Clients who go into the process only focused on rate end up applying for mortgages that they were never eligible for, wasting a lot of their own time and also adding a lot of stress and anxiety to the process.
How can Alexander Hall help and what services do you provide?
We specialise in helping our clients reach their property goals by advising on all aspects of property finance and protection. We help you find the most competitive deal on the UK mortgage market, and we make the whole process as simple and stress-free as possible. We look at your situation then search to find the deal that best matches your needs. Whether you are based in the UK or overseas, we are here to help.
Alexander Hall also are able to come into football clubs and support the financial education of staff and players to ensure they have the knowledge to make the right decisions which can have a huge impact on their lives after their careers have ended. We also find that players who are financially well set up are more likely to be stress free, settled and able to perform better on the pitch.
Lastly, what advice would Alexander Hall give to academy players and youth in general about preparing to purchase a property?
Getting prepared to purchase your first property can be one of the most exciting yet daunting moments in your life. It’s important you balance your excitement with careful preparation to ensure you purchase the best property, at the best price in the most affordable way. It is also important that you have taken the time to find a good team of people to work with you including a mortgage adviser like ourselves, a solicitor and a surveyor. In some instances it may also be useful to consult a builder or an architect if you are planning on making modifications to the property.
Financial education is key, and it’s an area we are happy to provide assistance with in football clubs through our mortgage workshops. Please get in contact with us if you would like to discuss this in more detail.
“Financially confident staff and players will mean that football clubs have better retention and increased performance”
Dom Scott, Managing Director at Alexander Hall
If you would like to arrange a mortgage workshop or discuss Alexander Hall’s services in more detail, then please contact Terri Tappin on –
Tel: 020 7929 9837
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Alexander Hall Associates Limited is authorised and regulated by the Financial Conduct Authority.