Expert & facilitator: John Lappin, journalist and consultant
Headlines:
- Impact of policy changes on housing and taxation
- Volatility in mortgage rates and lender behaviour
- The evolving role of brokers and advisers
- Addressing housing affordability challenges
- The need for holistic financial advice and client education
Discussion Points:
The group debated the upcoming budget and potential policy changes affecting pensions, housing, and taxation.
Concerns were expressed, with frustration about short-term policy decisions and their unintended consequences.
A more holistic, long-term perspective is needed to ensure policies support sustainable economic growth and address housing market disparities.
Interest rates and lender behaviour
Interest rate volatility emerged as a key concern.
The challenges for brokers, with lenders criticised for providing little notice of rate changes, complicating brokers' ability to serve clients and disrupting their work-life balance.
Implementing minimum notice periods and fixed pricing windows to stabilise the process and protect clients were suggested.
Client education and advice models
The importance of improving client understanding of mortgage products and affordability was a recurring theme.
There was strong support for adopting comprehensive financial advice models that extend beyond transactional services.
Charging annual fees rather than commission-based compensation to ensure consistent, long-term client support.
Housing market and affordability challenges
The group discussed the affordability challenges facing first-time buyers and the implications of housing policies.
Policies impacting landlords may unintentionally reduce rental availability, further exacerbating affordability issues.
The need for government initiatives that consider the diverse needs of first-time buyers, landlords, and renters.
Key Takeaways:
- Lobby for minimum notice periods and fixed pricing windows to stabilise the lending environment for brokers and clients
- Develop robust educational programs to improve understanding of mortgage products and affordability planning
- Explore fee-based advisory models to provide consistent, long-term client support
- Advocate for balanced, long-term housing policies that address affordability challenges across demographics
- Encourage partnerships between industry stakeholders to tackle shared challenges and drive innovation in the mortgage sector
