Analysis: Look to your existing clients


We have seen plenty of data during the past few months on remortgaging and how volumes are still subdued. Traditionally, it is because people are on a competitive reversion tracker rate and so either they do not wish to remortgage or the rates available do not provide the incentive. But there are still two markets that should be explored.

The first are lenders’ SVR rates. Looking at current and historical lenders that still have back books being administered shows some of the rates being paid are as high as 7.25 per cent. There are still 28 lenders whose SVR is greater than 5 per cent.

The second market is maturing rates. Data from Woolwich suggests this year over £33bn of lending will be coming to the end of its original rate – an estimated 285,000 customers. Of these, over 250,000 will be coming off a fixed rate.

There are two spikes of over £8bn set for August and November, with more than £26bn of this anticipated to be below 80 per cent LTV. So managing your existing client bank has just as many opportunities. There will also be protection and general insurance opportunities – it could be a busy second half to the year.