Future Buyer Intentions in the UK Mortgage Market

Table of Contents

DATAMONITOR VIEW

• CATALYST
• SUMMARY

ANALYSIS

• 11% of consumers might take out, top up or change their mortgage in the next five years
  • General insurance products were the most mentioned products but mortgages received significant mentions too
    • Consumers falling in higher household income bands are more likely to consider taking out, topping up or changing their mortgage
• Consumers would most likely consider traditional providers when taking out a mortgage
  • Building societies and banks are by far the preferred types of mortgage providers by consumers when considering taking out a mortgage
    • Consumers are more likely to consider major mortgage lenders when taking out a mortgage
• Consumers would mostly use face-to-face and the internet to find information about a mortgage
  • 67% of participants mentioned they would speak to someone face-to face
  • The internet is also a popular method for seeking out information
    • When taking out a mortgage, more than a third of consumers would choose the internet over face-to-face to find information about the product
• Consumers would most likely approach IFAs when seeking out information on a mortgage
  • 53% of participants mentioned IFAs
    • More than a quarter of consumers would seek advice from their friends, family and colleagues
• Unsurprisingly, most consumers would use face-to-face when arranging a mortgage
  • 76% of consumers will use face-to-face to arrange a mortgage
  • The majority of consumers would never consider digital TV when arranging a mortgage

APPENDIX

• Supplementary data
• Methodology
• Further reading
• Ask the analyst
• Datamonitor consulting
• Disclaimer

List of Tables

• Table 1: Which of these types of organizations, if any, would you consider/never consider when taking out a mortgage with?
• Table 2: Responses for Northern Rock to the question ' which four or five of these companies would you consider taking a mortgage with?
• Table 3: When taking out a mortgage, which of these methods, if any, would you use to find information about this product?

List of Figures

• Figure 1: More than 10% of respondents stated that they might either take out a mortgage or top up or change their existing mortgage in the next five years
• Figure 2: Participants in higher household income groups are more likely to take out/top up/change mortgage product in the next five years
• Figure 3: Banks and building societies are most likely to be considered by consumers when choosing a mortgage than other types of organization
• Figure 4: Consumers are most likely to consider major mortgage players such as HBOS and Abbey when taking out a new mortgage
• Figure 5: Northern Rock' s popularity among the survey participants fell dramatically after September 2007
• Figure 6: Face-to-face and the internet are the two most popular methods for seeking information on a mortgage product
• Figure 7: While 52% of participants would speak to someone face-to-face when taking out a mortgage to find information about the product, 36% will opt for the internet
• Figure 8: IFAs are more likely to be the point of contact for consumers when seeking out information about their mortgage
• Figure 9: Face-to-face remains the preferred method by consumers for arranging a mortgage
• Figure 10: The majority of consumers would never consider digital TV when arranging a mortgage