Research revealed that confidence in the future strength of the commercial mortgage marketplace reached even higher levels, with 73 per cent of respondents believing that demand for commercial mortgages would rise over the next six months. Demand for other commercial loan products has also risen over the previous six months, in the view of 41 per cent of those surveyed.
When asked to consider the two most important selling points for attracting commercial mortgage business, more than half of respondents cited speed of service as their first choice and just under a third believed that quality of advice was the most important selling point.
Ease and simplicity of process was named as first choice by 9 per cent of those surveyed, but performed strongly as a second choice selected by 47 per cent.
Fixed rate products were also considered to be an important element in the choice of product features, with more than half of respondents believing that demand for fixed payments had risen over the past six months.
Regarding the number of commercial mortgage lenders being considered for each enquiry, 86 per cent of those questioned did not consider more than four-to-six lenders and 50 per cent did not consider more than three.
The majority of those surveyed also revealed high levels of competition for business within the commercial sector, with more than half believing competition had increased over the past 6 months and nearly three quarters believing it would increase further over the next six months.
Stephen Johnson, Commercial First’s sales and marketing director, said: “While broker confidence in the growth of the commercial mortgage marketplace is very buoyant, there is no room for complacency, as competition looks set to increase.
“With the majority of those surveyed using a limited commercial lender panel, it is important for brokers to ensure their lenders can consistently deliver the range of products needed and with the speed required to make the intermediary successful..”
