Lenders must make some strategic moves if they want to exploit the growth potential in current account and offset mortgages, says a report from Datamonitor.The report says the CAM and offset market was worth an estimated 29.2bn in 2004, up from 4.2bn in 2000 – a market share of 10%. The sector is predicted to grow at an annual average rate of 24.2% over the next four years, and could be worth 84.7bn in gross advances by 2009. The report identifies several areas where lenders should concentrate their efforts if they wish to to capitalise on this potential. It says lenders must identify niche mortgage sector such as buy-to-let, self-cert and self-build and target customer sectors that would benefit from CAM and offset products. They should also consider positioning their offset products as a solution for debt consolidation, as this could be feasible way of acquiring more customers. The report also suggests the intermediary channel could offer opportunities for the expansion of CAMs and offsets, but coaching is needed if sales are to improve.
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Chelsea is the first building society or bank to adopt Legal & General’s expanded single point-of-sale system Online Protection. This extends its existing general insurance relationship with L&G to include, for the first time, the sale of L&G’s life assurance products.
From Nat Daniels Iam responding to the letter from Kevin Thornton(Mortgage Strategy October 10) regarding Estate Angels’ leads. I feel sorry for him given what he has missed out on but I do have a solution to offer. Firstly though, he says he doesn’t buy leads from us ‘yet’ – I am glad to see […]
Worrying evidence has emerged that increasing numbers of older people are struggling to service debt including mortgages, loans and credit cards. Age Concern Enterprises the financial services arm of the UKs charity for older people has warned that at least one in 10 enquirers calling their equity release helpline are cash-strapped home owners. Phil Veale, […]
General Motors says it is considering selling a controlling stake in its financial services division GMAC, prompting rating agencies to place ResCap’s debt under its watch list. In June this year GMAC formed the Residential Capital Corporation, or ResCap, as a holding company sitting above its two residential mortgage businesses. GMAC transferred ownership of its […]
The UK loves an underdog. There is something irresistible about the story of the little guy standing up to the established players and leaving them with a bloody nose, whether it is Henry Cooper putting Muhammad Ali on the mat or the Wallabies trouncing the Kiwis in rugby. At the Conservative Party conference, LendInvest championed […]
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