More importantly however, they remain two of the most important ones in any intermediary’s armoury.
Confidence amongst consumers and business is vital in building strong economic foundations. With the UK set to grow faster than any other Western economy, the housing market blazing a trail and competition rife amongst lenders, then it’s fair to say that confidence levels are currently pretty high and growing.
The signs of improvement in activity are obviously welcome, and the breadth of more upbeat indicators suggests that recovery will be sustained. However, without being too downbeat, whilst there is no major reason for confidence levels to wane, with many challenges still to face the inevitable question of whether this rapid pace of expansion can be maintained is evident. Hence the importance of remaining realistic regarding the speed of recovery.
Now let me introduce confusion into this equation.
It was interesting, if not surprising, to see that one of the most read stories recently on Mortgage Solutions highlighted some worrying statistics I’m sure you’ll agree.
It’s clear that whilst Help to Buy will help thousands of buyers onto the property ladder, therefore helping to boost market confidence, it also continues to carry with it a degree of confusion. And it’s this strange mix of confidence and confusion that make ideal conditions for intermediaries.
The advice process has always been important but the additional level of confusion being displayed only emphasises this fact even more. Hundreds of thousands of potential and existing homeowners are currently not only in position but are confident enough to take that next step up or onto the property ladder, if provided with the right advice. But all too many are still not receiving it.
As such the next 12 months represent massive opportunities for intermediaries to significantly boost business volumes. So embrace the conditions. Be confident in your communications and offerings to make consumer confusion work for you and your business.
David Finlay is intermediary managing director for Barclays
