Lenders made more than 5,200 criteria updates in October, according to Knowledge Bank’s latest monthly tracker, as brokers continued to navigate persistent affordability challenges and an ever-changing mortgage market.
Although the total was lower than September’s 8,326 changes, October’s 5,211 still reflected a brisk pace of activity, with lenders adding 2,671 new criteria over the month in an ongoing effort to keep broker information fully up to date.
TOP SEARCH
Broker engagement also remained high, with more than 91,000 criteria searches conducted during the period. The top search was for “Maximum age at end of term,” which rose from eighth place in September, underlining how affordability constraints are shaping conversations with borrowers. Earlier in the year, the same criterion, along with “Maximum term,” was among the most frequently changed by lenders.
Another significant mover was “Self-employed – 1 year’s accounts,” which climbed from 46th to 17th place. This mirrors the rise in borrowers with non-traditional income streams, including those who have recently established their own limited companies – not only special purpose vehicles, but also general trading entities – as more people transition into self-employment.
INCOME POLICIES
Among residential lenders, “Maximum incomes used” was one of the most frequently amended fields, with 12 lenders updating their policies. The rollout of Knowledge Bank’s AffCalc tool, which supports up to four applicants, has made affordability assessments more streamlined by allowing brokers to instantly filter lenders based on their true affordability fit.
Even niche areas saw notable movement: “Tronc payments” – tips pooled and distributed to hospitality staff – were updated by 20 lenders, demonstrating a growing recognition of the varied income sources used by borrowers.
Brokers on a full Knowledge Bank licence or trial now have access to AffCalc, which automates complex affordability calculations and ensures only relevant lending options are surfaced. In a market where rates continue to fluctuate, the ability to pinpoint criteria accurately remains crucial.
Shane Chawatama, sales director at Knowledge Bank, said: “It’s going to be intriguing to see how the next few months unfold. There’s still a significant number of borrowers needing to come off fixed deals.
“While lenders are making positive moves by lowering rates and increasing LTVs, it doesn’t yet feel like enough to reignite the remortgage market. The upcoming budget may influence some decisions, but it won’t be the silver bullet many customers might be hoping for.”
