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Connells Group reports record year for Mortgage Services
The Connells Group is pleased to announce it continued to see significant growth in its Mortgage Services business in 2015
The Connells Group, one of the UK’s largest and most successful estate agency and property services groups, today announces pre-tax profits of £62.5m and a record year for its Mortgage Services business in 2015. Activity levels for the business far exceeded those seen in 2014, with the Group recording a 23% rise in the number of mortgages it arranged for customers last year, income up by 30% compared to the previous year and generating nearly £9bn worth of lending.
In a year characterised by increasing levels of confidence from both lenders and home buyers, Mortgage Services recorded a 17% increase in first-time buyer mortgage applications and a 32% increase in the number of those remortgaging. The continued strength of the rental market was also apparent with the Group recording 34% uplift in buy-to-let mortgage applications in 2015 and 46% increase in buy-to-let remortgages buoyed by continued low interest rates and ahead of when the Stamp Duty surcharge hits this April.
“We are thrilled to announce a set of outstanding results for our Mortgage Services business as we continue to reap the benefits of the investments we made for the Mortgage Market Review in 2014,” says Adrian Scott, Connells Group Mortgage Services Director. “Our business is a fundamental part of the Group’s operation, and we seek to continue our significant growth in 2016 by providing a market leading service for our lenders and mortgage customers through our team of over 600 mortgage advisors.”
In January 2016, Connells Group Mortgage Services has already seen a 30% hike in the number of mortgage applications it has arranged for its customers compared to January 2015, with remortgages seeing the biggest increase:
“We’ve started 2016 on a positive note with our remortgage business the key driver behind our strong activity. Remortgages rose to a third of our total business in the second half of last year and are up 82% compared to January last year,” continues Adrian. “The increased interest in improving homes, rather than moving, and switching to a better deal may be in part due to the lack of housing stock which remains a challenge for our estate agency business. Nevertheless, the Connells Group’s New Homes business continues to go from strength to strength and with a stronger pipeline entering 2016, this adds further fuel to our mortgage business.”
Mortgage Services remains a core focus for the Group in 2016 with further investment and expansion planned. The business maintains strong relationships with its lender partners due to its highly controlled and robust distribution model which delivers high quality, volume business.