Legal and General Mortgage Club research also revealed 40 per cent of borrowers are concerned about unexpected costs.
Speaking at the Mortgage Solutions event, Beardmore said: “This research was done before the mini Budget. So, I would imagine if it was done again, it would be higher than that. So imagine how those customers are feeling now, if they’ve already got a mortgage and one of the 1.8m do come to the end of their deal next year.”
‘Never has the value of advice been so important’
She cited statistics suggesting the average borrower rate nearing term-end is about two and a half per cent, which could rise to four, five or even six per cent in the current marketplace.
“I think we all knew that rates were going to rise didn’t we, but did we expect it to be so quickly? And did we expect it to be combined so heavily with this cost of living crisis?”, she added.
“In a market where we’re still experiencing financial turmoil, a steadying hand and a calm voice is what people need at the moment. They need you more than ever before. Never has the value of advice been so important.”
Beardmore told delegates advisers have never been more needed to steer customers through these difficult times.
She outlined the four elements customers say they expect from the relationship with their broker – trust, information, communication and a ‘hassle-free’ process.”
The Mortgage Club director went onto a rousing conclusion, telling the room of delegates: “You faced every headwind, every challenge that’s coming your way headfirst. The dreams of homeownership, the need of a real mortgage continue to be delivered by you going into 2023. Looking after your customer and supporting them through this difficult period is absolutely crucial.
“It’s really important that we pull together and work as one industry at the moment. And it’s massively important you come out of this in one piece. So keep taking the challenge of 2022 into 2023,” she added.
The Mortgage and Protection Event continues in Birmingham today, continuing on to Southampton and London next week. Register here for your free delegate pass.
