Speaking at the Mortgage Business Expo Leeds, he said that in 2007 specialist lenders had an 18% share of the market, the long-term average is just over 10% while specialist lenders currently have under an 8% share, based on CML data.
Hammond said: “We’re well below the peak in terms of lending that goes to specialist lenders and we’re below the long-term average.
“We expect this to go up and not just because it works in cycles. We think there are some demographics behind that.
“With self-employed as an example – that’s at its highest level currently – we think that might level out but it is still high.
“There’s more people that are going to come to brokers that fall out of mainstream lenders criteria.”
Hammond spoke of complex occasions where Kensington can lend a hand by using promotional videos. One told the story of a borrower who had a poor credit rating because he lent money to his brother on a credit card and defaulted on the payments, however he only lent the money because his brother was in dire straights financially and he could prove his income.
Hammond also brought up the growth of complex industries, as he declared that the biggest growth area he has seen in helping the economy and creating jobs is in contractual employment – where specialist lenders can come to the fore.
