High LTV mortgage numbers are approaching levels not seen since 2008. This is largely down to the affordability problem currently affecting the UK housing market, as lenders look to help younger and first-time buyers onto the housing ladder. It also presents an opportunity for advisers – read how you can take advantage here.
The proportion of mortgage deals purchased with a loan-to-value of over 90% recently reached a level which hasn’t been seen since the financial crash. Though house price growth is sluggish, many homes are still out of reach for the majority of first-time buyers, for whom it takes many years to save an adequate deposit.
Competitive lenders have identified an opportunity to get more people onto the housing ladder by offering high LTV mortgage deals, including several 100% LTV products. As such, what used to be an underserved and arguably discouraged market has now been given a lifeline.
It’s crucial that these inexperienced borrowers get expert advice from a mortgage adviser, so increasing demand for these products presents advisers with an opportunity. By using a sophisticated sourcing system, such as those built-in to Smartr365, advisers can access all available products and give their clients as much choice and information as possible.
Without such a system, you simply won’t have the knowledge and awareness to be able to cater for this new and growing category of clients. Technology is the key to capitalising on the opportunity that growing demand for high LTV mortgages presents. Find out how Smartr365 can help you to do this by scheduling a demo.