Intermediary Business Outlook survey overview

SUMMARY & THOUGHTS

A total of 162 responses were collected across a three week period. We intend to carry out this survey on a regular basis, using the insight gained, to help inform key stakeholders and the wider mortgage industry of our brokers' views. A summary of the insights of our September 2025 survey are below:

Alistair Nimmo, Director of Marketing at Family Building Society, said: 

"Our survey, tracking the sentiments and views of brokers on the mortgage and housing market in general, which we have been running since 2023, reveals the depth of feeling to the government’s tinkering with property tax and proposed legislation. Brokers are also nervous of the continued speculation about the Budget next month and the potential effect on the housing market.

Enquiries and Applications:

• The top areas with the most applications in the past six months were First-time buyer at 35% (increasing by 11% from April 2025) and Self-employed at 19% (Decreasing by 3% from April 2025)

• 52% of brokers reported no change in enquiries since the Bank of England rate decrease, but 40% saw an increase, indicating a mixed but slightly positive market response
  
  
• Brokers reported that increases were more common for remortgaging at 48% and product transfers at 58%
  
  
• 38% of brokers reported decreases in applications for people wanting to move home, an increase from 24% reported in April 2025. 45% of brokers have seen no change in applications from potential home movers, whilst only 17% saw an increase. This is down from 30% when compared to the result of the April 2025 survey.
  
  

First Time Buyers

Market Sentiment and Policy Outlook

• 69% of brokers feel that the property tax reforms likely to be announced on the 26 November Budget will also have a negative impact on the housing market. Extending National Insurance to landlords and replacing Stamp Duty with an annual tax, for example, will also have “a massive impact on the housing market which could take a dive.” replied one broker
  
  
• Four out of five brokers believe that the new Renters’ Rights Act will have a negative impact on both landlords and tenants predicting that it will accelerate the exodus of the former and that rents will increase across the board. Among the forceful broker verdicts were that it is “really awful. It will drive more landlords out of the market and will lead to fewer Buy to Let properties available to rent.”

• Brokers were unconvinced the Government would achieve its target of building 1.5 million new homes by 2029, with 94% stating it would not happen. “Absolutely no chance” was one view.
  
  

Mortgage Product Trends

• 75% of brokers noticed an increase in applications for 2 Year products over 5 Year products, and 69% believe 2 Year applications have increased while 5 Year applications have decreased in the last six months, indicating a shift toward shorter term products – likely linked to the growing uncertainty in market rates
  
  
• The top three product types that brokers feel are the most underserved by lenders are Later life products at 36%, Interest-Only products also at 36%, and lastly self-employed products at 34%.
  
  

Economic Pressures on Clients:

• Increased living expenses are as the most common worry expressed by clients at 19%, followed by interest rate fluctuations at 17%, and employment and income Stability at 12%.