The Intermediary – February 2025 - Flipbook - Page 17
RESIDENTIAL
Opinion
Brokers report
optimism, but more
support is needed
A
cting as the
intermediaries
between lenders and
prospective buyers,
it is hard to deny
that brokers know
beer than anyone what borrowers
require when it comes to having their
mortgage needs met.
On our mission to become a modern
lender that can help more people fulfil
their dreams of homeownership, we
are commied to engaging the broker
community regularly and listening
to their hopes and concerns as they
navigate the mortgage sector.
That is why we’ve commissioned
new research among 500 UK brokers
to beer understand their takes on the
housing landscape, and what needs to
change for the market to continue to
grow and evolve.
Brokers are optimistic
The good news is that brokers are
feeling positive about the future. In
fact, 82% say they’re more optimistic
now than at the start of 2024, and
nearly four in five (79%) believe
the housing market will grow over
the next three years, giving more
borrowers the chance to make their
dreams of homeownership a reality.
The results give an indication as to
the resilience of the housing market,
and how brokers and lenders have
worked together to support customers
through tough times. Even against
the backdrop of rising interest rates
and the ongoing cost-of-living crisis,
we’re seeing signs of hope, and their
optimism reflects the market’s ability
to adapt and bounce back.
Cause for concern
While brokers are optimistic, some
concerns do remain when it comes to
the factors impacting their clients and
the market as a whole. For example,
35% of brokers say wider economic
and global uncertainty is a major
concern for clients, and 27% are
worried about high interest rates.
The cost-of-living crisis continues
to concern 24% of brokers, while 22%
point to high house prices and a lack
of new homes being built as barriers
to homeownership. These are not new
issues for 2025, but tackling them will
require close collaboration between
lenders, brokers and policymakers to
make sure we’re doing all we can to
support borrowers.
Room for improvement
Four in 10 brokers say that the
mortgage application process hasn’t
sped up in the past two years – in
fact, it may have even become slower.
This is why 31% of brokers across the
country are ready to embrace new
technology to streamline the mortgage
application process. To answer this
call, Noingham Building Society
is investing heavily in technology
to make applications faster and
smoother, and ensure brokers can
beer serve their clients.
Perhaps most importantly, a third
(31%) of brokers say that more support
is still needed for customers who
may be vulnerable, whether due to
economic pressures or other factors.
We’re commied to helping brokers
meet these challenges by developing
and rolling out products tailored to
modern borrower needs. We continue
to amend our criteria based on
feedback and market requirements,
all to beer support contractors and
other borrowers with complex income
streams and make it easier for them to
access the right mortgage.
Our ongoing focus is on developing
solutions that reflect the changing
needs of modern borrowers, ensuring
PRAVEN SUBBRAMONEY
is chief lending officer at
Nottingham Building Society
more people have the opportunity to
achieve homeownership.
It is vital that borrowers facing
difficulties get the support and
understanding they need. Addressing
these issues will not only help
individual customers, but also
boost confidence in the mortgage
market overall.
Lenders step up
So, what does all this mean for us
lenders? It’s clear that while brokers
are optimistic about the future, they
also need our support to help them
deliver the best service to customers.
We believe collaboration and
innovation are key to moving the
sector forward. We’re commied to
supporting brokers with the tools
and resources they need to navigate
today’s challenges and take advantage
of future opportunities. Whether
that’s creating more flexible products,
making the application process
smoother with new technology, or
offering beer support for vulnerable
customers – we recognise the role
lenders must play in shaping a
stronger mortgage market.
Like the brokers we surveyed, I
feel optimistic about the year ahead,
and confident in the resilience of our
sector. The UK mortgage market has
weathered storms time and again, and
brokers are at the heart of that success.
We value the input of our broker
partners, and by working together,
embracing innovation, and
continuing to adapt, we can ensure
that our sector grows and thrives,
delivering the best possible outcomes
for borrowers across the country. ●
February 2025 | The Intermediary
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