More than twice as many principals, advisers and administrators are worrying about the impact of a second coronavirus lockdown than about Brexit, according to new research from the MCI mortgage club.

A survey revealed that 73% of those questioned indicated they felt another lockdown will affect the mortgage market over the next twelve months. By contrast, just 35% pointed to Brexit as a factor.

The survey, sourced across MCI members and users of the eKeeper CRM, was conducted in late June and had 264 responses.

Other significant influences cited included stricter lender criteria (68%), mass unemployment (67%), and the recession (63%). Another 62% highlighted the adverse effect of payment holidays, furlough, and business support loans.

The MCI Club revealed that just 3% thought there would be no change over the next twelve months.

Regarding overall confidence in the outlook for the mortgage market over the next year, 94% responded by saying they were confident regarding their business or employment. This rose to 97.5% for principals or senior directors.

“Understandably, as restrictions are eased over the country, everyone serving the market will rightly consider a second lockdown to be a disastrous event, especially as the market is beginning to gain momentum again,” head of the MCI Club, Melanie Spencer, commented.

“With the stamp duty cut until next year, the conditions are right for a sustainable bounce-back. Of course, it is surprising that Brexit didn’t rank as highly, or more specifically, an appropriate trade agreement by the end of the year. It could be that we’re on course for more economic disruption, just of a different kind.

“That said, it is refreshing to see the levels of confidence our respondents had, and that good proportions are looking to expand and diversify their business through protection, buy-to-let (BTL) and equity release.

“Adaptability is key, and whether this is technology to support your business, expanding your proposition through specialist and later life lending panels, or alternative routes into the protection world, the MCI Club is providing those services to keep its member firms buoyant over the next twelve months.”

Share Story: