Specialist brokers are reporting a high level of confidence in their business and revenue growth for 2020, according to latest research from Masthaven Bank.
Of the 217 intermediaries surveyed, nine out of 10 were confident about their firm’s prospects over the next 12 months.
More than eight out of ten (82 per cent) expect to see revenues rise in the coming year, and most predicted growth to be in double figures.
Of those expecting growth, 26 per cent expect their revenues to surge by more than a fifth.
While 2019 proved to be a year of economic and political uncertainty for many in the UK, optimism among those in the specialist lending market has bounced back in 2020.
Brexit still looms as a worrisome issue, with 44 per cent of intermediaries saying Britain’s exit from the European Union is the biggest barrier to growth in the market, well ahead of the fifth who feel lending criteria is stifling growth.
But over three-quarters (77 per cent) are confident about the market’s prospects over the next 12 months. This represents an increase of 26 per cent on the positive sentiment recorded in 2018.
Remortgage activity was the area that experienced the most growth in 2019, cited by almost a quarter of brokers (23 per cent), as potential sellers chose to wait out the uncertainty in the market and improve or extend their existing homes instead.
The second biggest growth area was later life lending (18 per cent), followed by bridging (13 per cent).
Rob Barnard, director of intermediaries at Masthaven, said: “Advisers have proved to be resilient to the pessimism and anxiety that’s characterised so much of the discussion over the last three years.
“Brokers continue to be the key that unlocks affordable finance for many borrowers who were previously locked out of the mainstream lending market.
“Knowing these brokers are optimistic about the year ahead should fill both lenders and customers with confidence in the market and maintain the high expectations which the specialist market continues to deliver on, year after year.”
