‘Missed or late payments’ and ‘maximum age at end of term’ were the top two residential search trends in July, continuing a trend seen throughout 2023, according to the latest Knowledge Bank data.
Knowledge Bank suggested that this was due to the ongoing pressure to meet mortgage payments, prompting brokers to explore ways to ease the burden on their clients.
Searches for interest-only mortgages made a come-back following the Chancellor’s introduction of the Mortgage Charter and the 14th successive rise in the Bank of England base rate.
The other new entry in the top five searches for residential criteria, following a two-month pause, was ‘Joint Borrower, Sole Proprietor’ (JBSP).
In both the bridging and commercial sectors, searches remained relatively constant throughout the year.
In bridging, the top three searches included both ‘minimum loan amount’ and ‘maximum LTV’, demonstrating that people are looking to maximise their investment in a property.
‘Regulated bridging’ was consistently in the top two most-searched for terms for bridging for over two years.
New in the commercial sector in July was ‘commercial owner-occupier’, suggesting an increased number of business owners were considering ways to buy their own commercial office or premises.
The search for ‘commercial property’ was also trending in the bridging category.
Searches for ‘no requirements to be a homeowner’ and ‘first-time landlord’ indicated that brokers were seeking ways to help clients get on the buy-to-let property ladder.
Nicola Firth, CEO of Knowledge Bank, said: “Brokers finding creative solutions for residential borrowers is definitely a theme, with many borrowers desperately seeking assistance with their mortgage terms and payment structures.
“Others, not put off by these challenges are still exploring ways to buy their first property, be it with family support or by trying to buy a rental instead to give them a foot on the housing ladder.
“A growing number of brokers are wisely using criteria search to identify lenders capable of offering the required lending solutions.
“Despite ongoing economic shifts, searches show how brokers demonstrate commendable care and caution when advising vulnerable applicants seeking solutions.
“This thoughtful approach speaks to their dedication to safeguarding their clients from potential challenges in an unpredictable market.
“In the month that saw the launch of Consumer Duty, the key role of brokers in assisting both existing and prospective borrowers has never been more important.”
During the first quarter of 2023 there were over 280,000 searches on Knowledge Bank and more than five million criteria searches have been carried out to date.
