Adapting to change is key to broker success

Just a month into the New Year and we’re already off to a quick start, with a number of completed cases in the bag and strong demand from the intermediary network. Already we’re noticing increased positivity and a real hunger for growth amongst our brokers – it’s clearly going to be an interesting year.   

Brokers and intermediaries are likely to be one of the biggest beneficiaries of what this year has in store and have a key part to play in supporting the financial services market.

Last year saw the effects of MMR provide brokers with increased opportunities, with a large proportion of mortgages being written by intermediaries. This is something which will continue on an upward trajectory and I wouldn’t be surprised if brokers owned a considerably larger share of the mortgage market in a year’s time. As more lenders enter broker distribution and branches of traditional banks continue to close, brokers’ services will be needed more than ever. Businesses busy trying to acquire FCA consumer credit, teamed with the raft of new lenders keen to make their mark this year, is going to keep the intermediary community extremely busy. This can only mean more business and better opportunities for those with flexible business models.

A big year for secured loans

The coming months will present a number of opportunities that brokers should be aware of, particularly in the secured loans arena. As the lending market becomes more complex, it’s an arena intermediaries simply cannot ignore.

Second charge market

The seconds market was vibrant throughout last year and growth will continue as intermediaries realise the need to provide finance products outside of traditional offerings. By considering all available funding options and not just simply providing a remortgage, brokers and financial intermediaries will be able to unlock more opportunities and assist more of their clients. Many savvy brokers already recognise the benefits of secured loans in the right circumstances but the whole of the intermediary market should now have secured loans incorporated into their main product portfolios.

A market for the taking

Evidently consumers need brokers more than ever to help them find finance, particularly in the void created by the traditional banks.  While traditional finance offerings will remain important, brokers’ portfolios must now encompass a wide range of products from mainstream and specialist lenders. 

Impending changes in regulation across the financial services industry will present big opportunities for brokers who consumers will increasingly rely on to understand changes in regulation and how it will affect them as borrowers. With a rate rise looking unlikely until at least the end of the year, and lenders not likely to make any big changes until after May’s election, I would imagine the market will be steady in the first six months of the year. While much is guess work at this point, I am sure of one thing – it’s a market for the taking for finance intermediaries. Lenders and brokers alike must now work hard to translate this into real business.

Here at Blemain Group, we’ll continue to work closely with our brokers and intermediaries in the coming months to help them make the most of opportunities and face any challenges. Our appetite to lend continues to grow and we’re confident that, by taking a flexible approach to lending, we’ll be able to meet the needs of many more individuals.