The Financial Advisers Confidence Tracking (FACT) Index reached its second highest level ever in the final quarter of last year, despite the recessionary forecasts for the economy, and continued a steady upward trend over the last 18 months.
John Heron, managing director of Paragon Mortgages, said: "1995 and 1996 saw confidence return to the mortgage market following the recession of the early nineties. Since then, the FACT Index and other research have revealed that mortgage advisers have been servicing a stable market aided by highly competitive mortgage products."
The research found that the number of mortgages handled by advisers was two per cent greater than the traditionally strong third quarter period, and was 14 per cent higher than a year ago and 17 per cent higher than two years ago.
Other findings included an increase in the number of base rate trackers from 23 to 27 per cent, and the growth of capital and interest mortgages to 71 per cent of the total market, while endowments now account for just three per cent.
