The Santander Broker Perception Barometer, surveying 500 mortgage holders, found that 42% of people aged 18-34 communicated with their broker using WhatsApp at least once per week. By contrast, half of the respondents aged 35 and older said they had never used WhatsApp for the same purpose.
Younger borrowers are also using technology to find a broker, as 13% said they discovered an adviser through social media and 8% through an artificial intelligence (AI) tool.
Clients had different perceptions of how quickly brokers should respond, with three-quarters of respondents aged 18-34 describing their adviser as ‘responsive’ compared to 90% of those aged 35 and above.
First-time buyers also saw their mortgage broker as a source of support, as more – 24% – consulted their adviser during the home buying process than the 22% who turned to friends.
Santander’s research showed that human interaction was still valued, with 11% of homeowners expecting empathy from their broker, rising to 14% among first-time buyers.
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A need for emotional support
Some 73% of respondents who bought, remortgaged or took out a product transfer in the last year saved money because they worked with a broker, with the average first-time buyer saving £123 per month.
On average, all borrowers saved £127 when working with a broker.
However, the potential money saved was not the only benefit of using a broker. Some 35% of second-time buyers and 39% of third-time buyers said saving money was most important to them, but only 23% of first-time buyers said this was a top consideration.
For first-time buyers, saving time was the most important thing, as cited by 28%, while 24% appreciated that a broker helped them understand complex information.
Some 9% of first-time buyers said emotional support was the main aspect of using a broker, rising to 12% among those aged 18-35.
Some 63% of respondents said they could not have gone through the home buying process without the support of a broker, and 83% said they would use a broker again if buying a new home or switching to a new lender.
Demystifying costs
Clients consider brokers to be vital in helping them manage the home buying journey with confidence, particularly during times of economic uncertainty.
Some 85% of respondents said this was key and 83% of people who had bought their first home in the last year said their broker made them feel more secure about the process.
Nearly all – 95% – of first-time buyers said their broker helped them to understand the costs involved in buying a home.
When asked how they would feel repeating the home buying process, a quarter said they would be worried about the cost-of-living crisis, a quarter would be concerned about budgeting for upfront costs, and 30% would consider rising interest rates.
For 21% of first-time buyers, overpaying for a property would be their main worry.
Graham Sellar, head of intermediary channels at Santander UK, said: “During a time of global economic uncertainty, more than ever, borrowers look for guidance and a sense of security that they are getting the best possible outcome for their mortgage needs.
“Brokers play a hugely vital role in this – not only by securing the best deals and saving homeowners money, but providing reassurance and emotional support too.”
