92% of brokers feel positive about their prospects over the next year
New research from Masthaven Bank has found that broker confidence has increased since the start of 2021. The survey of 186 brokers found that almost all (92%) were confident about their prospects for the next twelve months. This was an increase in positivity among brokers since the end of 2020, when 87% of respondents described themselves as confident about their company’s prospects.
Over three quarters (77%) of respondents also said they expect their sales and revenue to increase this year, with close to half (42%) predicting their growth this year to be in the double figures. Just 3% expected their sales to decline.
The brokers surveyed also expressed confidence about prospects for the property market as a whole – 88% said they were ‘confident’ or ‘very confident’ about the market’s prospects for the next twelve months. This was a sizeable increase from the 71% who reported the same level of confidence at the end of last year, perhaps reflecting increasing optimism as the country returns to some level of normality.
Rob Barnard, director of intermediaries at Masthaven, said:“Broker confidence has climbed even higher since the start of the year, reflecting the current strength of the property market, as well as general optimism surrounding the UK’s vaccine rollout and the easing of lockdown restrictions. The industry has worked tirelessly to support homebuyers since the start of the pandemic. This hard work, combined with pent-up demand from early 2020 and government support in the form of the Stamp Duty holiday, has resulted in a booming property market – but there are still challenges on the horizon.”
When asked about the challenges facing their business, just over a quarter (26%) of brokers said that economic uncertainty was the biggest challenge their business is facing, a fall from 30% who said the same in December 2020. A quarter of brokers (25%) reported that they were concerned about lenders’ service levels and 16% said they believed that the biggest challenge they face is further local or national lockdowns due to Covid-19.
Rob Barnard continued: “The government’s various Covid support initiatives will be coming to an end soon, with the furlough scheme expected to wind down in September. The withdrawal of this support will undoubtedly be felt by some borrowers. As the market enters this next phase, brokers and lenders alike will need to work together closely to support all customers, but particularly those who have been affected heavily by the pandemic. Innovation and collaboration will be key in ensuring the industry continues to provide products tailored to customers’ needs.”