Sean Gilchrist,
CEO, Nomo

What is the appetite for Middle Eastern investors looking to buy UK property, and have their expectations changed?

Home purchases in some of the most exclusive UK postcodes have long been associated with Middle Eastern buyers.

Although prime central London has historically served as the preferred location for Gulf Cooperation Council (GCC) investors, satellite locations such as Birmingham, Liverpool, Manchester and Milton Keynes have grown in popularity in recent years as investors look to dodge the London premium, seek higher rental yields and diversify their portfolio — especially in the new-build market.

Our urgency to get to the finish line helps to reassure customers

The perceived long-term safe-haven benefits of UK property, and personal ties to the UK — such as enrolment of their children at world-class UK schools and universities — continue to play a major role in driving demand for British properties among GCC-based investors.

The unstoppable rise of the digital economy means that, unless banks and lenders are prepared to be faster, more accessible and more user-friendly, opportunities with GCC buyers will be missed.

At Nomo, we saw a chance to digitise the mortgage process in line with the meteoric rise of digital banking. Fintech has revolutionised everyday banking, payments and investing — and we believe it has the power to do the same to the mortgage experience of Middle Eastern property investors.

Nomo aims to be an international bank in our customers’ pockets

What challenges will Nomo address for GCC clients purchasing UK properties?

Our research into the mortgage experience of GCC investors revealed that the overall customer journey needed to be more user-friendly. Although the process is complex, it must be fast to complete.

A lengthy KYC process and paperwork-heavy applications simply can’t deliver the experience expected by clients these days. In our tech-driven world, if a task can be digitised, it should be.

Nomo Property Finance is a digital-first proposition, in which as many steps as possible are completed by the customer in the Nomo app. The customer isn’t stuck waiting for a letter in the post or a meeting with a bank representative; they can quickly submit the necessary information in the app and move to the next stage.

Brokers feel Nomo’s digital, streamlined process saves lots of time

The result is a mortgage process in which the customer has more visibility and control — racing, rather than trudging, through their application.

A knock-on effect of the digital application is the speed of decision and delivery. The property market is volatile right now, and significant changes to property prices or rates could happen during delays in the mortgage process.

Nomo prioritises speed and efficiency, with the aim of providing a decision and funding as quickly as possible. The market can be unforgiving, but our urgency to get to the finish line helps to reassure customers.

What’s the response been from broker networks and initial customers from the Middle East?

The broker community has responded well to Nomo Property Finance and supported the proposition. They feel the digital, streamlined process saves lots of time, which is critical in the broker world.

In our tech-driven world, if a task can be digitised, it should be

With so few Sharia-compliant finance options available for GCC clients looking to buy in the UK, brokers feel Nomo will fill the gap and optimise their clients’ experience. Clients have commented on the simplicity of the process, and their overall satisfaction with the service provided by Nomo.

How else can banking with Nomo help new and existing GCC investors with UK portfolios?

Nomo gives GCC customers a digital UK current account, which can help property investors to avoid huge transfer fees when making and receiving payments associated with their property. This could be receiving rent, paying bills or transferring money to UK-based agencies.

Our research into the mortgage experience of GCC investors revealed that the overall customer journey needed to be more user-friendly

If transactions are made using the client’s GCC-based bank account, the fees can be eye-watering.

Nomo aims to be an international bank in our customers’ pockets. We launched in Kuwait in 2021 and have plans to launch in Jordan, Saudi Arabia and the United Arab Emirates this year.

Nomo is part of Bank of London and The Middle East plc (BLME), a subsidiary of Boubyan Bank — a leading Islamic bank in Kuwait — renowned for its excellence, dedication to customer service and market leadership in innovation.

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