September Mortgage Market Lead Flow

September began, the kids went back to school and my phone started ringing. This month has been much better than August, a traditionally slow month. Most of the work is remortgages with the occasional buy-to-let, but these are thin on the ground these days.

September so far has shown promising results for all tranches of mortgage applications from first-timers to remortgages for home improvements or debt consolidation. Buy to Let mortgages and remortgages have only brought further pain and suffering to advice firms for the past year - the government and lenders need to relax and work to assist landlords or I can see this sector slowly dying out.

Work has stayed steady for us, we have only seen a shift into resi more than BTL, but we have stayed advising and had plenty of leads.
BTL is not dead, you just need to make sure yous sums are right before you jump in. Some landlords are buying so they dont lose out on what will be a good investment in the future. Even with higher rates its worth it for their long term plans.
I would say purchase is more for us, but probably more along the 60/40.
Dont have any EA partners, if any would like to apply, let me know ha!

Naturally, August was a quiet month at the Manchester Mortgage Centre. This is to be expected with the kids being off school and families looking to get away on holiday.

Since the 5th of September, we have seen a huge increase in enquiries and confirmed instructions to proceed with client's mortgages. This is a 50 / 50 split between buy-to-let and residential mortgages.

Admittedly the buy-to-let's are all re-mortgages. I can't remember the last time we placed a buy-to-let purchase for a client due to the lack of appetite within the market. I honestly believe that your typical 75% LTV buy-to-let purchase is dead in the water at the moment due to the extortionate interest rates and stress testing setout by lenders.

We have a handful of estate agents who refer clients our way for mortgage and protection advice. I have seen an increase in leads coming over. I can only assume this is a result of clients needing advice more than ever before.

Building on a positive August, there has been a definite uptick in purchase enquiries in the Scottish market in September with many buyers hearing of lower rates and keen to try and secure their new home before Xmas.

Re-mortgage business remains steady but many borrowers are now a little less frantic and worried about what new rates may await them when their current deal ends.

Buy-to-let enquiries are few and far between, and unique to the Scottish market -alongside the general lending challenges in this sector - the burden of the Scottish government's 6% additional dwelling tax typically results in the numbers simply not adding up for most landlords buying single properties.

Overall, whilst rate reductions thus far have been minimal and tentative, the trajectory and less nervy outlook do seem to have brought a whiff of optimism back into the mix as Autumn begins.

After a tough August ( back to the more traditional seasonal ebb and flow) we definitely are seeing a large uptick in the number of enquiries, this is mostly driven by first-time buyers at the moment, but it still very positive signs in the market.
People just want stability and I think after a period of adjustment they are now seeing this, also there is a lot of pent up demand as people have been holding off buying for a considerable period now and want to get on the housing ladder, My clients are all saying the same thing, they think this is the worst of it so that when they remortgage their payments will go down. so they are seeing it was short term pain for long term gain as they can get the house they want at a discounted price

It's definitely busier again with more purchase work and a noticeable uplift in estate agency referrals. Those of us long enouhg in the tooth know that August is always quiet in a normal market with September busier and that we are tracking this curve just points towards things being fairly steady.

For established businesses, remortgages and product transfers have continued to keep us busy. The purchase business has dropped, but speaking to local estate agents in the Salisbury area they are very busy with valuations and there seemlot more properties appearing on rightmove, so we should start seeing those sales trickling through over the next few weeks and months. Mortgage rates seem to be stabilising and have slightly dropped over last few weeks, so hopefully that will breed confidence to buyers as these rates are not changing dramatically any time soon.