Where 63% said lender panel, just 18% of respondents to a Mortgage Solutions poll said a mortgage club’s procuration fees were what they looked for first, while 12% named compliance assistance and 7% chose technology support.
However, independent mortgage adviser John Wickham of Hilton Wickham Associates, said a strong lender panel was not enough on its own, placing good staff knowledge on a par with this.
“You need to more than just a lender panel, because sometimes the strength of the staff’s knowledge is far more powerful,” he said.
“Sometimes if you’re looking for a specific case it may not fit the criteria of the lenders on that particular panel. Therefore you should ascertain in that initial conversation what their knowledge is like.”
Wickham also questioned whether some mortgage lenders were good value for money, highlighting the importance of fully participating with brokers and their business.
Mark Dyason of Edinburgh Mortgage Advice added that mortgage clubs needed to be proactive in practice, rather than simply offering a strong headline rate on a proc fee.
“It’s important to look at how proactive they are in all of those headlines, so what does that compliance look like in practice and how are they paying brokers their proc fees. The business development piece in that is important and having the ability to offer advice on what you need to help your business get bigger.
“The better they understand what the broker’s job is then the better the support will be.”