Albert Einstein once said, “in the midst of every crisis, lies great opportunity”; this could not be more relevant to today’s world. Data from Gov.uk reveals that first-time buyers are increasingly reliant on personal savings, with the so-called ‘Bank of Mum and Dad’ taking a firm step back. Read on to find out how technology will be the key to getting challenging first-time property purchases over the line.
The latest English Housing Survey by Gov.uk shows first time buyers are increasingly reliant on their own savings for house purchases. The data shows that the proportion of first-time buyers who used a loan or gift from family or friends to fund a property purchase decreased from 39% in 2017-18, to only 28% in 2019-20. Furthermore, the proportion of first-time buyers using personal savings to purchase their first home increased from 76% to 85% over the same period.
Q1 of next year is laden with key deadlines such as the end of the stamp duty holiday and the current Help to Buy: Equity Loan scheme on the 31st March. These have already stretched broker capacity significantly and this will continue in the new year.
Having the right tech gives brokers the tools they need to work through the backlog and process cases efficiently, even the complex ones. Smartr365 allows users to process fact finds, access and share documents, and verify a client’s ID all through the platform. This eliminates the need for face-to-face meetings and increases the efficiency of mortgage applications.
First time buyers’ finances have been strained significantly by the coronavirus pandemic, and as such, it is likely that these applications have become increasingly complex and require additional time. Sophisticated technology is therefore vital to capitalise on their business in the new year. Tech solutions streamline the mortgage journey considerably, allowing brokers to better cope with increased demand and leaving more time to find the best deals for clients.
Find out how Smartr365 can increase your productivity and create more time for complex cases by scheduling a demo here.