Over a quarter (27%) of brokers frequently encounter difficulties in securing funding for their clients due to changes in funder policies, Asset Advantage has found.

The firm's latest broker survey revealed that over half (56.8%) face difficulties on occasion, with the biggest challenge suggested by the respondents being stricter underwriting processes (33.6%).

Fluctuating interest rates and industry restrictions were cited as problems by nearly 20% of brokers, while other challenges listed included changes in the terms offered by funders, limited funding options and asset restrictions.

One respondent to the survey said that some of the problems being faced are "just standard flow deals as opposed to more complex transactions", making them question "whether the lender wants to write any business".

A second respondent added that the market has become "even tougher with rates bouncing all over and lenders anticipating recession" since the Liz Truss premiership.

This respondent went to on to state that a hardening of appetite was "frequent" and that deals that had previously been done by a lender were "now getting declined and this was acknowledged by different lenders".

Credit and risk director at Asset Advantage, Philip Knight, said: "Many brokers continue to face real hurdles as they navigate the market and the changing appetite and policies of funders.

"This restrictive and changeable approach not only makes it much harder for brokers to get deals over the line, but blocks good quality deals that perhaps just need an extra eye or that fall out of the typical scope of a mainstream lender."

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