Majority of UK mortgages 'arranged through intermediaries'

Date:Monday 20th July 2009
Author: Max Freedman

Most mortgages taken out by consumers in the UK are arranged by intermediaries, it has been found.

According to figures cited by the Intermediary Mortgage Lenders Association (IMLA), such lending made up 64 per cent of the market during the first quarter of this year.

This was said to be roughly the same proportion as during the second half of last year.

Meanwhile, 70 per cent of first-time buyer loans were said to have been arranged through intermediaries during the first three months of the year, compared with 58 per cent of home mover mortgages.

Director of the IMLA Peter Williams said: "There will be many challenges ahead but in our view the intermediary market will remain at the heart of mortgage distribution."

However, the expert also said that brokers will have to work hard for business as a result of the reduced size of the market.

The IMLA exists to represent the interest of lenders which are involved in the generation of mortgage business via financial intermediaries.