Financial Report has recently reported the following (Via financialreporter.co.uk):
“Using technology to overcome buy to let hurdles.”
Historically speaking, due to the complexity and intricacies attached to many areas of specialist lending, the human underwriting factor has often overshadowed the influence of tech in these areas. However, many landlords, lenders and intermediaries are embracing a range of tech solutions which have been specifically developed for the specialist sectors.
This trend was further outlined in Bluestone Mortgages’ ‘Specialist Lending Tracker’ which revealed brokers’ thoughts on the impact of technology in the specialist lending market. The research found that around two-thirds of brokers (65%) believe that technology driving efficiency across the application process will have a positive impact on the market. However, 38% of brokers thought that under-utilised technology will have a negative impact on the market.
Commercial Mortgages Broker certainly believe in the introduction of technology for the specialist finance marketplace, as ultimately this will provide clients with a faster process, cheaper funding and more transparent rates. Matt Lenzie Founder of Commercial Mortgages Broker said: “This report is extremely interesting as the majority of the marketplace firmly agree that there is a technology requirement, however, due to the very bespoke nature of the facilities that ourselves and our competitors offer this can be a difficult process to pigeonhole. We are absolutely advocates for all elements of technology and welcome this!”
“Looking ahead to the next 12 months, 17% of brokers thought that a rise in technology driving efficiency across the application process will be the biggest driver of growth in the market. This came second to the growing number of adverse credit customers looking to purchase a home, with 20% of brokers considering this to be the biggest driver of growth over the next year. In addition, half of respondents (50%) believed that Open Banking will have a positive effect on the specialist lending market.”
