Technology will revolutionise the housing sector over the next 10 years, making mortgage applications as simple as buying car insurance for many borrowers, Online Mortgage Advisor has claimed.
Pete Mugleston, managing director of Online Mortgage Advisor, said that improvements to finance-based technological processes will enable most borrowers to easily find mortgages to suit their needs.
He said: “This will leave just a small specialist market for direct support.
“We are on the verge of some real breakthroughs with APIs and automation and I can see, in another ten years, the mortgage application being as simple as car insurance for many borrowers.”
“The mortgage market is a completely different place to 2009 to 2010.
“Regulation was still relatively new and the market was still hit hard by the recession, with a strong weight of deals being done directly with lenders and not intermediaries.
“Today, getting an appointment with the bank is tough and brokers are handling the majority of applications.
“The Mortgage Market Review has tightened regulation, and further ensured borrowers are creditworthy and able to afford their loans.
“As a result, many have found it more difficult to be approved.
“That said, there are many lenders available for those with all sorts of needs and, whilst finding a deal can be tough, there are mortgages there if you know where to look.”
With the UK due to leave the European Union on 31 January 2020, Mugleston is confident that the UK property market will see much more activity.
He added: “There are already signs of certainty, in terms of new enquiry numbers, of a post-election bounce.
“Longer term, I envisage some reluctance from home movers as the ongoing trade talks with the EU grab headlines but, to a far lesser extent than the run-up to the recent election, I think trade progress with the rest of the world is likely to be a sideline to most consumers’ personal plans.”
Mugleston said he believes that the state of the wider economy and employment will hit the housing market more substantially.
He said: “If either drop significantly as a result what’s going on politically, it can exacerbate any concerns and put plans on hold.”
While unsure whether the Conservatives will deliver on the housing policies outlined in their manifesto, Mugleston insisted that “a strong economy is the key” to a healthy property sector.
He added: “Whilst I don’t particularly agree with everything the Conservatives do or stand for, they were the best bet in this regard.”