This is despite the fact that the total value of residential mortgage loans reached £1.561.8bn by the end of 2021
Less than half of prospective and current homeowners used a mortgage adviser or broker when purchasing a property, according MetLife UK.
This is despite the fact that the total value of residential mortgage loans reached £1.561.8bn by the end of 2021
Cost was the biggest barrier to seeking advice from a broker or adviser for 23%, followed by accepting help from friends and family instead (12%).
11% of respondents said they did not use an adviser when buying a property because they did not trust them, according to the research.
One in ten (10%) consumers admitted that they did not know they could speak to a financial adviser or mortgage broker when purchasing a property.
Rich Horner, head of individual protection at MetLife, said: Buying a home is likely to be the biggest financial purchase a person ever makes and yet many people avoid speaking to an expert before doing so.
The past 12 months have put many people’s finances under strain and made financial situations much more vulnerable. For some, their employment status may have changed particularly with more people being self-employed or part-time, meaning they may need a more specialised mortgage product that only advisers have access to and that walking into branch is unavailable, he said.
Horner said seeking financial advice is an important tool that shouldn’t just be reserved for big ticket purchases, it’s an opportunity to check in on your financial situation and make sure you have the reserves in place for your future plans.
Whether it’s because they don’t know that help is out there, feel more comfortable speaking to those around them or can’t afford to, what this research has shown is that the wider industry must do more to bust the current myths about advice, Horner said.
He said even if you didn’t consult an adviser when you first took out your mortgage it’s not too late. A financial adviser will still be able to add a great deal of value. They can help talk through your current circumstances and identify any additional protection you may need to consider and ensure you are getting good value for money such as making sure you’re on the best possible mortgage deal.