The market is full of talk of the looming Retail Distribution Review, due to come into play in January 2013.
As well as speculation on what may or may not happen, there has been much discussion about the predicted influx of IFAs into the mortgage market.
No-one can say for sure if this will occur and what the impact on the market will be.
If mortgage demand picks up over the next year brokers should not see too much of a knock-on effect on their business. The increased demand will present leads and opportunities to create a healthy competitive market.
But if the market doesn’t pick up we could find a crowded space with reduced opportunities, which would impact the whole industry.
As well as bringing in more administrative hoops to jump through, upcoming regulation will ensure our market can cater for demand and maximise opportunities to deliver the right lending solutions.
By providing guidance on recommendations, it will improve transparency and bring more consistency across the market.
There is no doubt the lending landscape has changed and as an industry we need to evolve to ensure the products and service complement modern borrowers’ needs.
We do not know how future regulation will affect the market, but mortgage brokers need to keep their ear to the ground, work collaboratively and be on the front foot for all changes to ensure they are ahead of the game.