It's been a hard year for mortgage brokers and it seems as though 2011 is going to be even tougher. A recent data survey from borro found that 57% of mortgage brokers feel commission has fallen in the last 12 months.
At this month’s Mortgage Business Expo a survey of 454 mortgage brokers found nearly 40% of them found high LTVs the biggest hurdle for their clients in 2010.
Six in 10 respondents also thought the market would not improve next year, and was expected to stay stagnant.
The survey found that 21% of brokers say a client’s ability to prove their income was a big obstacle in 2010.
Only 13% felt that high house prices had been the biggest challenge of the past year.
In the short-term it is difficult to predict any positive change for mortgage brokers, as the biggest hurdle is for house buyers is the large deposit, proof of income and the recent wave of government cuts has left consumer confidence at an all time low.
However Paul Brett, business development director at borro did announce some good news: “We’ve identified a gap in the market for a short-term finance solution for brokers to offer to clients that provides the introducing broker excellent commission rates.”
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