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Analysis: Whole-of-market will reap rewards

Love them or loathe them, direct-only deals appear to be here to stay and, according to my research, account for an increasing proportion of mortgage offerings, particularly on higher-LTV deals. 

Rewind just a few years and they were far less prevalent; like most brokers, I tended to ignore them. But when borrowers started sourcing better rates than I could after a few minutes on the internet, something had to be done.

We switched to an alternative sourcing system that offered a true whole-of-market research facility and rolled out our first structured fee-charging model, explaining to clients we would consider all options on their behalf even if this meant steering them in the direction of a lender that we could not deal with. 

Many of our brokers struggled with this concept as they sometimes lost control of the client as the lender attempted to cross-sell protection and general insurance products that we typically tried to retain to offer the client a “best of both worlds” package.

Fast-forward to 2014 and all our advisers have grasped the whole-of-market concept and all charge fees. We lose the odd client to a direct lender but in all cases the client acknowledges that we have given them the best possible advice. And we get more referrals as a result. 

Many come back after a week or so, having either received a “computer says no” decision or been told they cannot get an appointment for four weeks (thanks, MMR). If you are in this market for the long term, this approach will reap dividends.



Leader: Battle of the proc fees?

At the start of the year experts predicted a bumper year for the buy-to-let sector post-MMR as a result of the stricter rules brought in to govern residential lending. However, two months after the new rules came into effect, anecdotal evidence from brokers suggested that pick-up had not quite come to fruition. But moves from […]


Property buyer in £2.5m fraud ordered to pay £110,000

A property buyer convicted for his role in a £2.5m mortgage fraud has been ordered to pay £110,690 under the Proceeds of Crime Act. Jason Omar, 43, was sentenced to two-and-a-half years imprisonment last April after Teesside Crown Court found him guilty of using fraudulent methods to obtain £2.5m in mortgage finance to purchase properties […]


£6m mortgage fraudsters appeal against their prison sentences

Mortgage fraudsters imprisoned last year for their roles in a £6m mortgage fraud have appealed against their sentences. Antony Lowry-Huws and Sheila Rose Whalley were jailed for seven and six years respectively in September last year after a judge at Mold Crown Court, North Wales found them guilty of fraudulently amassing a “substantial property portfolio”. […]


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