On April 22 the Bank of England announced that mortgage approvals in March rose, following three months of decline.
Could this be the first serious sign of an economic recovery and if so, what opportunities and responsibilities does it present to the financial services industry?
In addition to the recovery there’s talk that a change in government could lead to a house price slump, which in turn could lead to more people being able to get on the housing ladder.
If the housing market continues to pick up in the coming months there’s a huge opportunity for advisers to help customers get the right mortgages, but also to ensure they protect themselves and their families.
Buying a house is one of the main triggers for individuals to review their protection and insurance needs. But in these tough times buyers may need the benefits of insurance spelt out to them more clearly than usual.
Even if the recovery continues it doesn’t necessarily mean consumers will regain their financial confidence overnight.
We have a duty of care to ensure that individuals feel comfortable with the purchases they are making.
And potentially, we have an even bigger duty to highlight financial needs they may be unaware of or be ignoring until the recovery is in full swing, such as protection.
There’s no better time to do this than when a customer is going through the process of applying for a new mortgage or additional borrowing.