[ad_1]
Brokers are more optimistic about 2024, with 31% more confident and 8% less worried about the year ahead (versus 26% and 15% respectively last year).
This is according to Crystal Specialist Finance’s latest annual survey of over 10,000 brokers across the UK.
Tough market conditions are clearly being felt, with just 22% of brokers surveyed saying 2023 was a good year for their business, down from 48% in 2022. It became clear. Approximately 77% told Crystal that business was flat or down compared to the previous year. Previous year. This is also a significant increase from his 53% in 2022.
This year’s main concerns (74%) continue to be driven by high interest rates and interest rate uncertainty. This number is almost unchanged from last year’s 76%.
The cost of living crisis is less of a concern at 64% (up from 76% last year), and high inflation is not at all among the top challenges to business growth in 2024. His 48% of respondents in 2022 cited high inflation. So brokers clearly feel that the recent decline in inflation bodes well for next year.
Brokers also feel that further increases in the Bank of England’s benchmark interest rate are over, with just 17% believing they still need to rise and 39% expecting a cut. . (More than a third expect base rates to fall, while more than half of brokers surveyed thought the same thing this time last year!)
The data also revealed that most agents diversified into new markets last year in response to the cooling housing market. 35% moved into bridging, 28% into buyout and 26% into commercial lending. This diversification is expected to continue into 2024, with 66% of brokers saying they expect to diversify further this year.
For brokers, the use of technology is also becoming increasingly important to speed up case processing, with almost three-quarters using digital case management to submit trades.
And since this is a general election year, we asked our brokers which party they think will form the next government. Brokers predict a landslide victory for Labor by 73%.
Commenting on the findings, Crystal Managing Director Joe Breeden said: “2023 was supposed to be a return to some form of normality for the market. Instead, the Bank of England benchmark interest rate continued to rise to counter higher-than-expected inflation and the resulting cooling in the property market. I found out that it is.”
He added: “While the broader housing market will decline further into 2024, brokers remain confident in the outlook.” 2024 presents an opportunity for resilient brokers ready to take on new markets such as bridging, commercial finance and complex buy-to-let. ”
[ad_2]
Source link
