"Advisers have proved to be resilient to the pessimism and anxiety that’s characterised so much of the discussion over the last three years."
Over three-quarters (77%) of intermediaries are confident about the market’s prospects over the next 12 months, an increase of 26% compared to 2018.
Of the 217 intermediaries surveyed, 90% were also confident about their firm’s prospects over the next 12 months. More than eight out of ten (82%) expect to see revenues rise in the coming year, and most predicted growth to be in double figures. Of those expecting growth, 26% expect their revenues to surge by more than a fifth.
23% of brokers said that remortgage activity is the area that’s seen the most growth in 2019, followed by later life lending (18%) and bridging (13%).
Turning to challenges in 2020, 44% of intermediaries feel that Brexit is the biggest barrier to growth in the market, well ahead of the 21% who feel lending criteria is stifling growth.
Rob Barnard, director of intermediaries at Masthaven, said: “Advisers have proved to be resilient to the pessimism and anxiety that’s characterised so much of the discussion over the last three years. We can attribute this confidence to the strong relationships between lenders and brokers. Good lenders have been listening to broker feedback about the market and customer needs, and have reflected this in their products and rates – meaning brokers can serve their clients with diversified products whilst boosting revenues.
“Brokers continue to be the key that unlocks affordable finance for many borrowers who were previously locked out of the mainstream lending market. Data shows that intermediaries take on 74% of mortgage lending by volume. Knowing these brokers are optimistic about the year ahead should fill both lenders and customers with confidence in the market and maintain the high expectations which the specialist market continues to deliver on, year after year.”
