Lending head points to sector growth since 2020
Specialist finance has enjoyed greater growth since the pandemic, bringing huge opportunity to the sector, according to InterBay’s Marc Callaghan.
Callaghan (pictured) is head of specialist lending for InterBay, which is part of OSB Group and offers commercial, semi-commercial and specialist buy-to-let mortgages. It has grown its broker base from 15 regular advisers to over 1,900 firms who access its services.
Having been in the industry for over 20 years, Callaghan has seen a lot of change, particularly within specialist finance, and especially since 2020.
“The pandemic really accelerated growth in this area as people reassessed their lives and what was most important to them and their futures,” he told Mortgage Introducer. “Of course, changes bring challenges but also bring opportunities too. There’s massive opportunity within the specialist arena, clients are looking to diversify their portfolios and looking at areas that could provide them with increased revenues.
“If the last few years has taught us anything, it’s to not get complacent, change can come at any time and it’s about adapting and working within the new confines. The market and consumer needs are constantly evolving so it’s really important to try and be a step ahead.”
How important is it for brokers to diversify?
Callaghan believes the best business lesson he has learned in his career so far is never to stand still. An approach supported by many brokers, it seems. In his view, they are diversifying and increasing their knowledge of specialist finance, to meet increasing demand, while catering for clients’ changing, ever more complex requirements.
“Having regular contact with lenders also helps brokers to keep on the pulse of what products are available and also what each lender’s criteria basis is too,” he said. “With a lender like InterBay, we have the ability to look outside of criteria and shape a solution based on client requirements so those sorts of broker/lender relationships can be key to getting a case to completion.
“As with all cases, the more information from a client and their needs will help lenders explore different options too and get early engagement from the teams who will be critical to a case being able to complete.”
With campaigning for the General Election now firmly underway, ahead of polling day on July 4, what does Callaghan believe politicians could do to better support the mortgage industry?
“It is and always will be vital to support the needs of landlords and first-time buyers,” he said. “There needs to be consistency in the marketplace around this support too. Looking at options for long-term support and plans is crucial.”
READ MORE: InterBay offers commercial investment support
Where will the mortgage industry be like in 2025?
With Santander, Shawbrook Bank, and OneSavings Bank all on his CV, Callaghan has wide industry experience, and is well placed to assess the direction of the industry, but he remains hesitant about predicting where it will be in 12 months’ time.
“Wouldn’t it be amazing to be able to see into the future?” he said. “Unfortunately as I don’t have that ability, it’s incredibly difficult to predict and will be dependent on the market.”
Accordingly, Callaghan likes to keep his finger on the pulse of what’s happening, and recommends the best reading material…
“The market, products and regulations are always changing,” he reflected. “I need to be as on top of it all as much as possible. Trade publications such as Mortgage Introducer are key for updates and also background information too, and I make sure I set time aside every day to browse news and features.”
