They also expect the amount of buy-to-let business they conduct to rise by a further 16% in 2007.
John Heron, managing director, commented: “2006 saw buoyant growth in buy-to-let, which now makes up 11% of all mortgages. As a result, brokers are dealing with an increasing number of buy-to-let cases from landlords who are building up their portfolios. Intermediaries have their fingers on the pulse of demand at grass roots level, and it is of note that they expect significant growth in the buy-to-let sector to continue during 2007.”
The brokers questioned also emphasised the importance of speed of offer, with 52% saying it was the most important aspect when choosing a lender, far more than the 28% who placed importance on competitive rates.
Heron concluded: “As the sector develops, technology will be a more critical factor in the broker/lender relationship. Brokers are handling increasing volumes of buy-to-let mortgages, and as such, they want ease of application and quick decisions. More lenders are entering the sector and competition between them is quite lively. Lenders therefore need to differentiate themselves on something other than lowest price or easiest criteria so it will be no surprise to see brokers turning to the lenders who can deliver systems and processes that make life easier for them and their clients.”
