In the current climate, with the increase of cost of living, the intermediary market has witnessed a notable rise in specialist lending cases. This also reflects the data we have seen from cases researched through MBT, which saw a 7% increase in 2023 around searches on cases with adverse credit vs 2022 and it is one of the most searched criteria terms.
This is also featured in our top 5 queries on the broker support team in April:
- Complex Income
- Adverse history
- Construction / Property Type
- Self-Employed income
- BTL Limited Company
As brokers navigate these challenging circumstances, it is crucial to address the prevailing misconceptions surrounding this niche sector. This article aims to dispel the myths and provide insights into the burgeoning need for specialist lending solutions.
84% say the current economic environment will make it harder for them to get a mortgage.
Myth: Specialist lending is solely for unconventional borrowers.
Reality: While specialist lending caters to non-standard cases, its applicability extends far beyond the realms of unconventional borrowers. Individuals with complex financial situations, such as those with irregular income streams or unique employment arrangements, often require tailored solutions offered by specialist lenders.
50% of people with adverse credit have never heard the term ‘specialist mortgage lender’.
Myth: Specialist lending is overly complex and inaccessible.
Reality: The line between specialist and complex lending is often blurred. While some cases may involve intricate underwriting processes, reputable specialist lenders strive to streamline procedures, ensuring accessibility for brokers and borrowers alike.
32% of households are turning to credit to make ends meet. Nearly a third (32%) say they’ve used a credit card or other borrowing to pay for shopping or utility bills in the last 12 months.
Myth: Specialist lending is a niche market with limited options.
Reality: The specialist lending market has experienced substantial growth, with an increasing number of lenders recognising the demand for bespoke solutions. This has resulted in a diverse range of products and services catering to various borrower profiles and circumstances.
At TMA, we understand the intricacies of the specialist lending landscape. Our dedicated specialist lending panel offers a comprehensive suite of solutions, empowering brokers to confidently handle non-standard cases and expand their portfolios. By leveraging our expertise and resources, you can navigate the complexities of specialist lending with ease, delivering tailored solutions to your clients.
If you’d like more information, get in touch with our dedicated Broker Support team today on 0330 303 0236 or request a call back at your own convenience here.
To discover our lenders on panel to support your next case click here.
*Stats taken from The Specialist Lending Study by Pepper Money
