Analysis published by Equifax Touchstone showed that the number of brokers advising in the mortgage market dropped from 8,288 in Q1 2014 to 8,028 Q1 2015.
Equifax explained that following the requirements set out in the Mortgage Market Review, lenders were being challenged to identify which networks and firms were responding to the needs of customers and an evolving landscape.
Its findings also showed that buy-to-let lending in Q1 2015 surged by almost 20% year-on-year, outstripping growth in the residential sector which grew by just 1.6% in comparison. Total lending for the quarter stood at £36.2bn, an increase of 5.4% on the previous year.
The average value of each type of mortgage increased in the 12 months recorded, with residential rising from £170,730 to £177,060 in 2015 and buy to let standing at £151,033, compared to £145,017 in Q1 2014.
Iain Hill, relationship manager, Equifax Touchstone, said: “In March we saw lending power ahead and the sluggish trend witnessed at the end of last year has been reversed. There have been lingering doubts over the market recovery and it is encouraging to see such positive growth.
“While traditional savings accounts continue to offer low returns, savers are looking for alternative ways to invest their money, prompting substantial growth in the buy-to-let market. An oversupply of people and an undersupply of homes makes buy to let an attractive proposition and we expect this trend to continue to gather pace over the coming months.”
