A significant majority of mortgage brokers foresee business growth over the coming year, despite prevailing market concerns.
- Research conducted by Investec Bank plc reveals that 81% of brokers are optimistic about future growth.
- Brokers cite macro-economic volatility and impending regulations as major concerns impacting their operations.
- Discussions emphasised the evolving needs of high-net-worth clients in the current financial climate.
- Consistency and speed of financing are critical priorities for brokers amid unpredictable economic conditions.
A recent study by Investec Bank plc disclosed that a remarkable 81% of mortgage brokers maintain a positive outlook on business growth over the next year. Brokers participating in the survey indicated their belief in the resilience of the market, despite recognising several challenges that could affect their performance.
Key concerns highlighted by brokers include the unpredictable macro-economic environment, which poses a significant threat to stability. Additionally, the prospect of new regulatory measures was noted as a potential obstacle, prompting a need for strategic planning to navigate these changes effectively.
Another hurdle identified was the challenge of securing repeat business in a competitive landscape. Brokers are focusing on enhancing client relationships to ensure sustained growth, with particular attention given to the evolving requirements of high-net-worth clients, who are increasingly factoring diverse income sources into their financial decisions.
The event where these findings were discussed shed light on the priorities of brokers in the current climate. Speed of financing emerged as a pivotal factor, with clients expecting rapid processing times. Furthermore, adequate loan-to-value ratios are essential to meet client expectations and support growth strategies.
Peter Izard, representing Investec, acknowledged the confidence among brokers, attributing it to a demonstration of market resilience. Izard recognised that the recent Autumn Statement brought a level of predictability, aiding brokers in forward planning. However, he also alluded to the persistent unpredictability of the economic environment. His statements suggest a shift in focus among brokers, who are increasingly looking beyond survival towards strategies for advancement.
Despite economic unpredictability, mortgage brokers are strategically positioning for growth.
