Former researcher builds broking success through self-employment
Broker in Focus is a dedicated series that highlights the unique journeys of mortgage brokers, providing them with a platform to share their experiences, insights, and expertise. Through compelling personal stories and professional reflections, each featured broker recounts the key moments that have shaped their careers, delves into the challenges and opportunities facing the industry today, and shares the valuable wisdom they have gained along the way.
Mortgage Introducer interviewed Luke Spellman, founder of Spellman Financial Services, whose early exposure to mortgage research, combined with a background in customer service at a building society, gave him the ideal foundation to step into mortgage broking in 2017. Starting in a self-employed role that focused on specialist and hard-to-place cases, Spellman quickly learned that success in this industry demands both technical know-how and resilience.
Full name: Luke James Spellman
Job title: Mortgage advisor
Company: Spellman Financial Services
Number of years in the industry: 10
Location: Coventry
How and when did you become a mortgage broker?
During my time as a mortgage and savings researcher, I was given the opportunity to study CeMap to enhance my skills in the role. This experience naturally led me to consider becoming a broker — and the more I explored the idea, the more I realised it was the right career path for me. Having previously worked in a face-to-face customer service role at a building society, I had already developed strong transferable skills, which gave me the confidence to make the move.
In February 2017, I became a trainee mortgage broker in a self-employed capacity for another firm, primarily handling specialist and hard-to-place cases. The first two years were challenging, but being thrown in at the deep end proved to be the best way to learn the intricacies of the role and the industry. Two years later, I took the leap and founded my own company: Spellman Financial Services.
In your opinion, what has been the most positive development in broking?
The Mortgage Market Review, for me, has been the most positive development for the industry and mortgage brokers by far. By implementing the need for professional advice, it has cleaned up the industry and inevitably encouraged borrowers to seek assistance from mortgage brokers — a win-win for both brokers and the industry.
This, coupled with the complexities of the mortgage market and lenders’ criteria, has seen brokers’ share of the mortgage market increase year over year—a trend that truly defies the odds in a digital age where everything is available with just a few clicks.
What challenges do you see currently facing the industry, and what solutions would you propose?
AI is no doubt going to revolutionise every industry, and the mortgage market certainly isn’t exempt from this. We can see that some of the larger brokerages have already become largely automated, and with AI rapidly being implemented, I can see this trend accelerating.
This does, of course, create risks to jobs and the client experience. For example, chatbots are a resounding no from me, from what I have seen of them so far. So, while it’s important to embrace AI and consider how to implement it into our mortgage businesses, I still hope that there will long be a need for the personal touch that only a human mortgage broker and their support team can offer.
Can you share a memorable or challenging experience from your career as a broker and the lessons you gained from it?
The sudden surge in interest rates in 2022 — which continues to impact the property market today — was quite a shock to the system. At the time, I remember speaking with dozens of distressed existing customers who were unfortunate enough to have their fixed rate mortgages maturing. During the worst period, rates were increasing overnight, making it nearly impossible to provide clear advice to clients who had no idea what to do.
As a business, I, like many other brokers, implemented the simple process of submitting an application to secure a rate as soon as feasible, as opposed to holding out – as many clients wanted to – in the hope that rates would fall.
Could you share any valuable advice for individuals aspiring to become brokers or those new to broking?
Do not view the role as a “sales job.” Providing an excellent service and delivering quality advice should be the priority – the success will then follow.
The best advice I received was to embrace self-employment. Initially, I intended to work my way up in an employed capacity. However, after several interviews for trainee positions with different firms, I quickly realised that self-employment was the only route to achieving what I wanted to get from this career: best earning potential, job satisfaction, flexibility, and freedom.
Broker in Focus is a weekly Mortgage Introducer feature, spotlighting mortgage brokers from diverse backgrounds and locations across the UK. Among those recently featured are Daniel McLardy of Experts 4 Mortgages, Richard Dalgleish of Premier Financial Planning, Nick Cooper of Clark Marshall Associates, Shadab Sayed of Bennison Brown, Andrew Foligno of Foligno & Co, Luke O’Sullivan of The Loans Engine, Simon Allen of Searchlight Finance, Charn Gandham of Chancery Consultants, Ifthikar Mohamed of WIS Mortgages, and Lee Trett of Echo Finance.
Are you a mortgage broker interested in being featured? Email the author with your details.
