Often this can lead to brokers being faced with a choice between three or four very similar mortgage products for a particular client. Of course, it is impossible for a client to choose between them unless they have a preference for a particular brand – and then the decision will tend to be an emotional one rather than one based on what they really know about the lender.
This is where the broker’s knowledge and experience of the lender comes in. A key differentiator at that point might be the lender’s service standards, the ease of dealing with the lender and how likely the case is to go through.
Another element that might also make a difference is the ongoing support that can be provided to the client like the further advance process, porting of the mortgage if the client moves, the ability to overpay or take a payment holiday.
At this point the adviser is not just advising on a product but a whole service and this is where the quality of a lender’s communication can be key. As competition heats up still further next year, a key factor in what a broker decides is likely to be influenced by how well the lender and their BDM have communicated with them.
The more a broker is aware of what the lender offers, and of every aspect of their offering, then the more likely they are to choose that lender over a competitor.
Things such as published service standards can become more important than rate, as is clarity of underwriting decisions.
It won’t quite be all change again next year but the way we all operate will continue to evolve in a direction where service levels, additional features and clear communication are key.
Toni Smith is sales operations director at First Complete
