Growing business

There has been an explosion of interest in the commercial mortgage market among brokers so it\'s time to grab a piece of the action, says Andy Young

In recent years, huge changes in the commercial mortgage market have occ-urred, creating exciting opportunities for lenders and brokers to establish a new income source or develop an existing one.

High street banks such as Barclays, NatWest, HSBC and Lloyds TSB have until recently dominated commercial lending. There was little alternative to the almighty bank manager.

How to help brokers’ clients raise funds

A mortgage of 875,000 was arranged on a self-cert basis at 4.25% above LIBOR. The mortgage was completed within two weeks of offer, meeting the deadline set by the court. We managed negotiations with the client and gave periodic updates to the introducer, who received a commission of 13,125 for providing the introduction.

Reasons for growth in the commercial sector

Changes in attitude by banks in recent years.
The effect of new lender entrants.
The effect of non-status and self-cert lending on the market.
The impact of market changes on brokers and businesses in general.