The impact of foreign exchange volatility in your transaction.

Exchange rates are constantly fluctuating, which could pose a risk to your property transaction.

Imagine getting to the point of completing on the property, and the price is different from when you made the offer. That's the reality of the foreign exchange market – small changes make BIG differences when you exchange a large amount of money.

As an example, if this year you were funding a UK property with euros, we have seen the GBP/EUR oscillate between 1.14 and 1.17 in the last six months, which for a property purchase of £500,000 funded in euros would have represented a difference of £15,000. This could be the difference in the property's affordability.

We are here to help

The good news is that if your transaction is exposed to foreign exchange, there are things we can do to help you minimise the risk created by negative fluctuations, protecting your budget and even, in some instances, maximising your investment by taking advantage of the foreign exchange market.

Windsor Hill and Moneycorp are working together to ensure that clients are aware of the effect the foreign exchange markets can have on their purchases and the tools available to manage fluctuations.

How do we do it?

For the last four decades, Moneycorp has led the way in foreign exchange, helping countless people and businesses to make safe, secure, and cost-effective cross-border payments.

Our expert team of dedicated foreign exchange specialists works with you to create a bespoke strategy using our suite of products and tools to ensure your money goes further. This helps you navigate the fast-moving currency markets with confidence. There are no online transfer fees, and Moneycorp will get your money to where it needs to be quickly and securely.

We are licensed and regulated across multiple key jurisdictions and offer over 90 currencies in 190 countries. We partner with some of the world's largest banks to give our clients access to comprehensive coverage and the most competitive rates.

Typical transactions we see.

We are experts in this field, and over the years, we have seen it all. We understand that a high percentage of transactions are directly or indirectly related to property.

Here are a few examples that may relate to you:

• Buying property abroad
• Buying in the UK with:
  • Shares held overseas.
  • An international inheritance
  • A gift from a relative abroad.
• Funds from a sale of a property overseas to purchase in the UK (or vice versa).
• Repatriating salary in another currency
  • Paid in another currency by employer.

Specialist tools for property transactions.

Forward contract*: This tool allows you to fix an exchange rate for up to 2 years. It is very popular among property buyers as it enables you to fix the full price of the property ahead of completion, giving you peace of mind and certainty about how much you will pay for the property. Also, it can be a great way to take advantage of a favourable rate movement and for future mortgage payments.

Market order: This gives you the ability to target a rate of exchange. If the rate moves to that level, your funds will be bought automatically, so you never miss an opportunity. With the same principle, you can set up a limit order to protect your funds in case the rate falls below a certain level.

*Forward contracts may require a deposit