Four fifths of mortgage brokers see lending increase

New analysis by HSBC has found that 78 per cent of mortgage brokers have noticed a rise in the amount of lending agreed for their clients. 

The poll shows that 93% of the brokers surveyed said that it is important for their clients to increase their borrowing power. Nearly two-thirds (63 per cent) of brokers said clients are taking proactive steps to improve their credit score, with the same proportion expecting mortgage applications to increase over the next six months. 

Nearly four-fifths of mortgage brokers are noticing a rise in the amount of lending agreed for their clients,

Following changes to its own stress rates, HSBC UK estimated the average mortgage offer for first-time buyers will be £39,000 higher than would previously be offered.

Nine in ten (93 per cent) brokers surveyed said that it is important for their clients to increase their borrowing power.

Confidence on buy-to-let (BTL) mortgages is more muted, the report indicated, with the majority of brokers expecting BTL applications to remain at the current level.

Nearly nine in ten (87 per cent) brokers surveyed predict that the Bank of England base rate will be reduced over the course of the year.

Chris Pearson, Head of Intermediary Mortgages at HSBC UK, said “The recent adjustments to stress rates by lenders are clearly making a positive and tangible impact.

“This broker barometer shows that almost eight in 10 brokers are seeing an uptick in the amount of lending agreed for their clients. This is a crucial development as it directly translates into enhanced buying power and greater accessibility for aspiring homeowners, reflecting a more responsive market.”