The latest report from Mortgage Advice Bureau has found that the number of mortgage products available on the market hit 17,132 in January - the highest number seen since March 2008 (23,802).
This figure represents an annual increase of over a third (34%), rising from 12,771 in January 2015.
The number of products distributed through brokers has seen a much higher annual increase compared to direct-only products: the average number of broker products increased by 42% from 8,555 in January 2015 to 12,180, while in comparison the number of direct-only products increased 17% (from 4,217 to 4,952).
Broker products made up 71% of the total product range in January, and have remained at this level for the past five months. This is an increase of four percentage points since January 2015 (67%).
Brian Murphy, head of lending at Mortgage Advice Bureau, commented: “Not only are mortgage products increasingly affordable, with a sustained period of low interest driving down mortgage rates, but consumer choice is continually improving. Every borrower is different, so having a greater number of mortgage products available means they are more likely to find the perfect mortgage for their particular needs.
The intermediary share of the mortgage market has gone from strength to strength in recent years. The new affordability criteria and stress tests introduced as a result of MMR make applying for a mortgage a more time consuming process. It no longer makes sense to spend this time talking to just one provider when you could be researching the whole market with an independent broker. Lenders that have historically opted not to distribute through brokers have now changed their stance to reflect this.
