Specialist mortgages take longer, but customers don’t seem to mind

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91% of brokers are spending a lot more time completing specialist mortgage cases than those fitting mainstream criteria, according to research carried out for United Trust Bank Mortgages’ latest white paper.

However, UTB found that care and attention appears to produce more loyal clients with 96% of brokers saying specialist customers are more likely to use their services again.

49% of brokers who took part in the research said that they were spending from 10-30% more time on specialist cases with a further 31% saying they were spending more than 30% extra time than they would on average spend on a mainstream case.

38% of brokers said that more than half of the cases they had completed in the last 12 months were specialist. 21% included in that figure said that all their cases had been specialist. 87% of brokers said that clients often approached them having been turned down by a lender or other broker.

Although 82% of brokers still prefer to submit their cases direct to lenders, 43% said that they may use referral partners in the future.

Brokers can download a copy of the white paper, Growing opportunities for brokers in the specialist mortgage market, here.

“Building trusted partnerships is key to the health and continued growth and success of the mortgage industry as a whole”

Buster Tolfree

Buster Tolfree, director of mortgages at United Trust Bank, said: “The specialist mortgage market is continuing to grow and undoubtedly offers excellent opportunities for brokers.

“Many are now devoting their whole business to customers who are not served by the mainstream mortgage market whilst others continue to complete smaller volumes.

“It’s no surprise that customers who don’t meet mainstream criteria can take a bit more time to source mortgages for. However, the end result is customers who will come back to the broker time and again when they refinance or move home.

“For those brokers who feel they lack the market knowledge or time to take on specialist cases, packagers and referral partners are an excellent way of keeping new business opportunities.

“Building trusted partnerships is key to the health and continued growth and success of the mortgage industry as a whole and it’s great to see more brokers embracing collaboration as a means of growing their business and looking after more customers who may struggle to find the mortgage they need on the high street.”

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