After much speculation over a slowing housing market and low levels of consumer confidence, the latest research commissioned by BM Solutions shows brokers believe business is on the up.
Over 200 brokers were asked what they expected from levels of mortgage business in the next three months. Results revealed that advisers expect all sectors of the mortgage market to increase between 3.1% and 3.7%. Indicating that all parts of the mortgage industry are on the up, with consumers clearly still in the market for a mortgage.
This confidence, that business levels are increasing, is clearly greater than when brokers were asked the same question in June 2005, with figures revealing advisers felt business levels would grow at a much slower rate with percentages from 0.2% and 1.7%.
Research also show renewed confidence in Buy-to-let and Sub-prime;
Mortgage Type Average expected percentage increase
JUNE 05 SEPT 05
Self-Certification 1.6 3.7
Buy-to-Let 0.2 3.2
Sub-prime 1.1 3.5
Mainstream 1.7 3.1
Commenting on the results, Martin Reynolds, head of sales, BM Solutions, said "It is great news for all in the industry when brokers foresee growing business levels. It is the broker who can really gauge consumer needs and levels of demand. Therefore this feedback, from the most realistic point of view in the market is extremely encouraging."
