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Our experience of working with single mortgage brokers through to larger networks has shown compelling evidence that mortgage advisers must urgently review their remuneration channels.

In order to remain viable, adviser businesses must start to charge a professional fee to all mortgage customers whether they are recommending a product that pays a lender proc fee or one that does not.

Mortgage advisers are struggling to cope with unprecedented market conditions, including the fact that many direct-to-lender products are better value than intermediary ones. In addition, many customers are coming to brokers for advice having already looked at mortgage comparison websites, so they are well aware of what is available direct from the lenders – but still need expert advice on the best possible deal.

This means that adviser firms need to have sourcing systems that cover all direct and intermediary products, together with a sales process that prompts the payment of a professional consultation fee and an automated analysis system that shows comparative fees and costs across all suitable product choices.

A free trial of sourcing systems - including the automated fee analysis and charging process - can be downloaded from the internet. They are worth a try.

Richard Angliss

Managing director

Home Buyer Systems,

Petersfield, Hampshire