UK mortgage brokers increasingly positive, new report shows

Confidence in the UK mortgage market has rocketed to its highest level since the second quarter of 2009, according to the latest Halifax Intermediaries Broker Confidence Tracker report.

Intermediaries have become increasingly positive about the overall with 95% of brokers confident about the mortgage market, a 7% increase on the previous quarter and a significant 11% increase on the same quarter in 2013.

Continuing the upward trend, 100% of brokers surveyed were confident about the prospects for their own firm, up 15% compared to the same quarter in 2013. A wide variety of reasons were cited including the Mortgage Market Review with some brokers anticipating an increase in business.

‘It is encouraging to see a record level of confidence amongst brokers over the last quarter. Whilst the industry is going through a period of change as lenders, brokers and customers get to grips with the requirements of the Mortgage Market Review, it’s even more impressive that the outlook is so positive that brokers are stoic in their attitudes and outlook for the market,’ said Ian Wilson, head of Halifax Intermediaries.

The share of brokers confident in the performance of their own business also increased. This quarter saw the greatest proportion of brokers respond as being very confident with 65% doing so, the highest since the survey began.

Brokers reported a marginal decrease in the average number of cases being written per individual broker in the first quarter, down to 75 from 77 in the previous quarter. However this is an increase of seven cases compared to the first quarter of 2013.

In terms of the type of business being conducted, brokers are reporting that in the first quarter business from both home movers and first time buyers remained consistent, with volumes down this quarter for remortgage and buy to let applications.