The majority of brokers turn to specialist lenders to place more complex cases including high-net-worth individuals (HNWIs), non-UK residents and those purchasing unusual properties, according to new research from Butterfield Mortgages.
The prime London mortgage provider commissioned an independent survey of 300 UK mortgage brokers. It revealed that 61% of brokers rely on specialist lenders to provide the finance their clients need, especially in cases where standard lending options may not be available.
51% of brokers said that finding financial products for HNWIs and ultra-HNWIs is challenging and 56% find it challenging to secure financial products for non-UK residents.
In addition, those buying unique properties that are hard to value (51%) are among the most common challenges brokers face.
Alpa Bhakta, CEO of Butterfield Mortgages, said: “It’s clear that brokers are confronted with a number of challenges at present. Finding mortgage products for more complex clients is one of them, largely due to mainstream lenders’ rigid lending criteria. Specialist lenders are ready and appropriately placed to fill this gap – something which is reflected in the increasing number of brokers (61%) using alternative options to high-street banks.
“With activity levels expected to rise in the coming months, it’s important that brokers continue to seek out lenders who can provide tailored solutions to ensure all of their clients can access the mortgage finance they need to invest in UK real estate with confidence.”
