I’m sure we all know that person who has an answer for everything. They turn up for the pub quiz convinced that every subject is their specialist one and that every response they offer is correct and beyond reproach. Yet they never seem to win the quiz for some reason. I wonder why?
The reality is that it’s neigh on impossible to be an expert in everything, although the size of an individual’s ego doesn’t always account for this and can sometimes hinder their thinking and their output rather than improve it.
The current mortgage market continues to raise its fair share of questions for lenders, advisers and borrowers but not always the answers that they are looking for. Although the recent economic turmoil has cemented a number of key facts, many of which we already knew.
In my opinion, the top three being:
- We are operating in a multifaceted marketplace which is becoming increasingly complex by the day.
- Specialist lending propositions continue to rise to the fore.
- The reliance on, and value attached to, the advice process has never been higher for potential buyers, existing homeowners, landlords and property professionals across the UK.
There are no hidden secrets within this list. However, with the profile of the mortgage intermediary currently through the roof, this represents a time when advisers really need to be at the top of their game and have the processes and relationships in place to convert this prominence into long-standing relationships with a wider variety of clients.
This reliance was outlined in research from Butterfield Mortgages. When asked about how their mortgage needs have been impacted, half of mortgage customers (50%) said they are more likely to turn to mortgage brokers for guidance in understanding which mortgage products are available. It also revealed a further 37% are more inclined to look beyond big banks and traditional high-street lenders for their mortgage needs over the next 12 months.
Guidance comes in many forms and it’s not just borrowers who need direction, advice and support in such a challenging lending environment. Advisers can’t be expected to be a Mastermind contestant with a specialist subject incorporating all sectors of the market and every niche product.
Stealing another quiz show analogy, there will be times when advisers need to ‘phone a friend’ to help generate alternative types of funding. This is especially apparent in areas where they might not be as confident in their ability to identify the right lending scenario, source the best available solution, ascertain the right lender to match individual circumstances and have the time to navigate an intricate application process and support this through to completion. By this I mean sectors such as bridging, commercial term or development finance, amongst others.
In order to enhance their chances of winning the big prize – in this case a long-term client and potential referrals for similar business – the best advisers often place their confidence in a trusted packaging partner who they know can deliver the solutions and quality of service which meet and often exceed their client’s demands. And that’s my final answer.
Donna Wells, Managing Director at Envelop