Opportunities still there for brokers but 'different approaches' must be found

Opportunities still there for brokers but 'different approaches' must be found




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It has become clear that during the current liquidity crisis, bridging finance is now no longer thought of as just a niche product. Instead, it has started to take on a more prominent role in helping individuals and small and medium sized businesses solve funding issues brought on by traditional credit lines drying up. 

Talking at the Complete Credit Lunch, Roger Morris from bridging finance firm Affirmative Finance outlined some of the opportunities the bridging sector can offer to intermediaries:

 

“The market is changing, and many bridging lenders are becoming aware of that.” Mr Morris stated. “There are no completely certain exit strategies any more, especially within the buy-to-let sector. Bridgers are becoming more involved with development finance, whilst there is now an increasing prevalence of distressed property and the popularity of auction scenarios is on the rise. It is crucial that lenders and brokers alike adapt to these changes.

 

“Brokers must use their imagination to help overcome their clients’ problems. Bridging finance is about showing imagination, flexibility and skilfulness in order to find short term funding solutions for small and medium sized businesses that banks can’t help.”

 

Mr Morris went on to say: “With bridging finance, brokers can be in complete control of arranging the bridging loan and the subsequent remortgage. It is important, especially in these unstable times, that brokers talk to their clients and gather as much information about their needs as possible to determine the best route to take.

 

“Right now everyone is looking for new ideas and new ways of thinking and the market will need to embrace these changes in order to see any kind of recovery. There are lots of opportunities for brokers in the current climate, but different approaches must be found.”

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