Most UK buyers will be well-versed in the frustrations that housing transactions can bring.
Lengthy delays at the conveyancing and legal stage, caused in part by a still-undigitised Land Registry, are firmly on the government’s hit list for reform, with the aim of speeding up the home buying and selling process.
In the meantime, mortgage brokers who showcase a faster, service-driven approach will be well-placed to guide clients through an otherwise tricky homebuying process, attracting customers and generating referrals from clients grateful for the speed to offer they can secure.
How short-term finance can support and speed up property transactions
Short-term finance provides a fast solution in urgent situations, such as a chain break or an auction purchase, where funds need to be released more quickly than a traditional term lender can accommodate.
As a broker, if you already have the right relationships in place, or know where to go to offer the client a solution when the homebuying process hits a snag, you may well gain a loyal client for life.
While some mainstream banks may be cutting mortgage rates, many continue to refocus their lending criteria to align with internal strategies.
This creates opportunities for smaller, more agile specialist lenders who are concentrating their efforts on the short-term residential market.
Technology, the way ahead
The spectre of the ‘robo-adviser’, a fully automated online digital advice service operating independently without manual interference, has been firmly consigned to history.
Every consumer survey has reinforced the value of human interaction, advice, and experience in an ever-changing market, confirming that advisers never had too much to fear.
However, technology is increasingly serving as a valuable support system for advisers, acting as an administrator, fact-checker, and information-gatherer in this AI-driven era.
While it does not replace the adviser, digital processes can streamline customer service, enhance accuracy, and provide the types of reporting capabilities that regulators continue to demand in a Consumer Duty-driven world.
Advisers now have access to a range of digital solutions that empower both themselves and their clients.
From automated fact-finds to AI-driven client ID verification and data capture for compliance with Consumer Duty regulations, the advice industry continues to raise its game to keep up with customer expectations.
This is where our StreamLine product comes in, offering brokers an even faster route to completion on larger-size, clean-credit cases.
Designed for loans of up to 65% loan-to-value (LTV), StreamLine enables straight-through processing for properties valued up to £1m using an Automated Valuation Model (AVM), or up to £2m with a desktop valuation.
By leveraging this technology, we are reducing processing times and making transactions as seamless as possible.
AVMs and desktop valuations contribute to greater speed, cost-effectiveness, and consistency.
Both models offer advantages, whether through a digital-only AVM that removes human error or a desktop valuation that provides a more tailored approach when required.
These valuation methods reduce the costs associated with physical property visits and enable the rapid assessment of larger portfolios, making them an invaluable tool for customers, lenders, and brokers alike.
Partnering with lenders who embrace this new digital service ethos, while maintaining high-quality communication and engagement, will help brokers and their clients achieve greater efficiencies.
The lender view
At StreamBank, we have just celebrated our second birthday, with new technology and systems built to meet modern lending and regulatory needs.
Our automated systems and short decision-making lines to underwriters provide a distinct advantage, allowing us to react swiftly when a call comes in.
At the same time, these systems enable us to maintain strong risk controls while reducing friction in case processing, particularly for larger residential loans ranging from £500,000 to £2m.
We know that for brokers with heavy caseloads, reducing the time to offer allows them to focus on better serving their clients.
At the start of the year, a broker approached us with a client who needed to raise funds against an unencumbered home to cover a tax bill before the 31st January deadline.
The agreed exit strategy was an investment maturing after the new tax year in April.
Thanks to a strong solicitor panel, joint representation, and a desktop valuation, the funds were successfully raised ahead of the deadline, allowing the transaction to complete smoothly.
Specialist lenders thrive on their ability to deliver speed, trust, transparency, and efficiency. In an increasingly complex residential market, where numerous property-buying challenges can trip up clients, a reliable lender who navigates these obstacles swiftly and seamlessly can make all the difference in securing successful outcomes.
So why not join us on this journey?
Roz Cawood is managing director, property finance at StreamBank
