Thirteen per cent of landlords arranged their most recent mortgage directly with a lender in branch; 12 per cent directly with a lender over the phone; and just five per cent of landlords arranged their latest BTL loan directly with a lender online.
The research found the main reason given by landlords for using a broker was that they felt they were better placed to review products in the marketplace (51%). This was closely followed by landlords having established a longstanding relationship with their broker (42%).
Of those who arranged their BTL directly through lender, 35% did so because they had an existing loan with them, and 27% did so because they already bank with them.
Carolyn Uphill, NLA Chairman, said: “Brokers will be please to know that a large proportion of landlords chose to use them when arranging a BTL mortgage and it shows that a good relationship goes a long way in business. These findings are interesting because, unlike most other products and services, completing transactions online is becoming more and more common.
However, the variety of avenues to take when getting a BTL mortgage can be time-consuming and overwhelming and it’s difficult to know whether or not you have covered all bases, especially for those landlords that are new to the market.
This is why many put their faith in a broker and it reinforces that they are happy with the service they get."
