For many in the mortgage business, there appears to be a growing trend in the direction of clients favoring longer-term mortgages due to the favorable affordability they bring. As people search to counterbalance costly mortgage rates, they are finding that studying their lifestyle alongside their financial situation is the most effective route to successful debt management.
The Free PR Platform, Newspage®, recently asked mortgage brokers across North America and Europe to weigh in on the trend. Their answers demonstrate that this reality is becoming pervasive. Those surveyed spoke of their clients’ search for viable strategies to manage their investments – strategies that match their lifestyle aspirations.
Clients’ focus on affordability and long-term mortgage options is creating opportunities for brokers to develop innovative and agile tactics with which to help their customers get the best possible terms. This shift in consumer behavior is also bringing to light new challenges for brokers, who—while trying to assist their customers with budgeting for their mortgages—must keep their eyes open for new creditors that may offer more advantageous rates.
Mortgage customers are now making a more conscious effort to make sure they are getting the best possible deal on their mortgages—one that allows them to maintain the lifestyle they desire while keeping their prudential responsibility in check. The brokers’ responses to Newspage® demonstrate this change in consumer behavior, as they respond to their customers’ needs in new and creative ways.
For brokers, it is becoming increasingly important to ensure their clients remain informed of all the mortgage options on the market, and how they can effect a more advantageous agreement with potential lenders. The ultimate goal is to help clients find the best terms that make sense given their personal circumstances.
As the survey suggests, it’s only a matter of time before longer-term mortgages become more accepted by the mortgage industry – an indication of the power and influence of consumer preferences. With an ongoing emphasis on affordability and budget awareness, there is a good chance that this trend is here to stay.