Brokers expect residential and buy-to-let business to jump this year, but when looking ahead at their careers most still plan on working into their 70s, according to HSBC.
Half of advisers say the volume of residential mortgage applications over the next six months will rise, and 86% expect landlord applications will “remain stable” over the period.
The data comes from the high street bank’s first Broker Barometer, which surveyed 411 intermediaries on the market and how they see their careers last month.
Three-quarters of brokers say there will be a “slight decrease” in the Bank of England base rate in 2025, with their key interests named as the domestic and world economy, the political landscape and interest rates.
Money markets expect up to three further quarter-point rate reductions this year from the Bank’s current 4.5%, level, with next forecast at the next Monetary Policy Committee meeting on Thursday.
On the future of the home loans market, 53% of brokers believe AI will play a meaningful role in their business in two years, with 11% saying that the decision-making software already is.
The majority of brokers see their jobs as a long-term career, with four in 10 not expecting to retire until after 70 years old. Only 6% expect to retire before they hit 60.
Most advisers seem content with their roles, with 69% scoring their happiness at seven out of 10 or higher on a 1-to-10 happiness scale.
Brokers are also reasonably confident about the financial resilience of their customers, with 52% giving their customers a financial resilience score of seven out of 10 or more.
HSBC UK head of intermediary mortgages Chris Pearson says: “Brokers are very much on the front line and play an integral role in the mortgage market, and we wanted to hear their thoughts, concerns and insights into the wider economy, the mortgage market but also their career.
“Like most industries geopolitics and things outside of our control can have a significant impact on our businesses, so it is not surprising that is a subject that is front of mind.
“But I am reassured by the high score of the brokers’ ‘Happiness Index’ — with seven in ten brokers registering very positive feedback on being a mortgage broker — and the fact the vast majority see being a mortgage broker as a viable long-term career option.”
Pearson adds: “As a bank, we are already using AI widely to do things like improve customer service and increase the efficiency of our processes, but brokers also see the benefit of integrating AI into their business with a significant number already seeing benefits from introducing AI.
“As applications for AI develop, it is likely to play a larger and larger role in how we all work.”
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