Majority of brokers expect growth in specialist lending market

In a poll of 78 mortgage brokers, 63 per cent expect the market to grow significantly, and a third expect it to grow slightly.

The biggest opportunities for the specialist lending sector were borrowers with complex credit, with just under half of brokers selecting suggesting this.

This was followed by a growth in self-employed workers and increased product choice, at 16 per cent and 15 per cent respectively.

Bluestone Mortgages sales and marketing director Reece Beddall said: “It’s great to see such confidence in the specialist lending market among brokers. As more people come out of lockdown in a more challenging financial situation than they were in before, it is an area of the market that is only going to grow as more customers get turned away from the high street.

“This represents a huge opportunity for brokers who are going to be approached by a growing cohort of underserved borrowers looking for a helping hand over the short, medium and long-term.”

He acknowledged that despite the confidence there were areas where the specialist lending market could improve.

According to the survey, brokers suggested that the market needed to lower product costs, as well as improve loan to value ratios, flexibility and accessibility.

“We, as lenders, must listen to these demands and provide brokers with education and the tools they need to support the growing number of non-vanilla customers in achieving their ultimate dream of homeownership,” Beddall added.