Market trends
What areas of the market are proving particularly popular at present?
Why do you believe this is?
How is this impacting brokers?
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4 responses from the Newspage communityCopy all
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Growing market trends seem to be Limited Company Buy to Let mortgages due to the lower thresholds on stress-testing, and being able to offset the mortgage against the rental income for tax purposes. Also growing is the interest in Houses under Multiple Occupation (HMO) and Holiday Let mortgages, as these have a higher rental profit, which has been squeezed out of the more traditional landlord properties.
Remortgages and product transfers are also increasing, as clients are now more keen than ever to start discussions early and secure rates and keep options open, whereas first-time buyer and home mover applications have slowed somewhat due to the cost of living and rising mortgage rates affecting the housing market demand.
Remortgages and product transfers are also increasing, as clients are now more keen than ever to start discussions early and secure rates and keep options open, whereas first-time buyer and home mover applications have slowed somewhat due to the cost of living and rising mortgage rates affecting the housing market demand.
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I think any lender or brokerage that is currently able to place a Buy To Let mortgage, would be an area for popular business activity, but sadly our efforts in this area feel's a lot like opening Pandoras Box.
As an experienced mortgage broker, with a keen appetite for helping underserved clients, particularly those with adverse credit issues, including, minor credit blips to IVA's, DRO's, DMP's and Bankruptcies, this is an area that has continually gathered pace sadly, with strong appetite from clients that need our help - it's just a shame we don't have more lenders with the same appetite to lend, which has an impact of not facilitating the growing demand of essential mortgage business that could be written
As an experienced mortgage broker, with a keen appetite for helping underserved clients, particularly those with adverse credit issues, including, minor credit blips to IVA's, DRO's, DMP's and Bankruptcies, this is an area that has continually gathered pace sadly, with strong appetite from clients that need our help - it's just a shame we don't have more lenders with the same appetite to lend, which has an impact of not facilitating the growing demand of essential mortgage business that could be written
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Amid the ebb and flow of the property market, we are seeing the winds blow in different directions this year. From maturing tenant demographic, with average tenants now being older than ever before, to the prominence of build-to-rent properties, the investment landscape has shifted in 2023. Energy efficiency has gained prominence while rental 'reforms' loom on the horizon. Consequently, it is anticipated that there will be 300% more landlords selling up this year.
Incorporation is now the name of the game. Three-quarters of UK landlords have embraced the benefits of limited companies for their property investments. CGT allowance cuts will ripple through the market in 2023 and beyond. Landlords will feel the squeeze as most allowances dwindle, effectively increasing their tax burden. The cost-of-living crisis has also cast a shadow over the BTL market, leading to difficulties for many in securing financing. From seasoned investors to FTBs, the game has become more exciting this year.
Incorporation is now the name of the game. Three-quarters of UK landlords have embraced the benefits of limited companies for their property investments. CGT allowance cuts will ripple through the market in 2023 and beyond. Landlords will feel the squeeze as most allowances dwindle, effectively increasing their tax burden. The cost-of-living crisis has also cast a shadow over the BTL market, leading to difficulties for many in securing financing. From seasoned investors to FTBs, the game has become more exciting this year.
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With the recent rises in mortgage rates and the uncertainty in the market, we are seeing a big increase in the number of clients looking for advice when remortgaging.
When a client's mortgage deal came to an end before rates began rising, it was an easy decision to stay with the existing lender as the new deal was probably cheaper than their existing rate.
Now borrowers are facing significant increases as their existing deals expire and are therefore turning to brokers for advice and help in securing the best deal.
This comes at a turbulent time in the mortgage market with lenders pulling deals at very short notice and this is causing problems for both borrowers and brokers as they try to secure the best deals before they are withdrawn.
When a client's mortgage deal came to an end before rates began rising, it was an easy decision to stay with the existing lender as the new deal was probably cheaper than their existing rate.
Now borrowers are facing significant increases as their existing deals expire and are therefore turning to brokers for advice and help in securing the best deal.
This comes at a turbulent time in the mortgage market with lenders pulling deals at very short notice and this is causing problems for both borrowers and brokers as they try to secure the best deals before they are withdrawn.