UK Mortgage Market Product Type, Analysis of Industry, Future and Forecast Opportunities during Period 2018-22

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The following research report is a compilation of high-end data that has been researched thoroughly to highlight the various trends prevailing across the UK Mortgage Market. This study is titled “UK Mortgage Market” 2018: Forecasts and Future Opportunities, which carefully examines several vital factors such as market share, market revenue, market dynamics and competitive scenario active in the target market for the period 2018

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UK Mortgage Market 2018: Forecasts and Future Opportunities

Summary
The mortgage market has recovered well since the financial crisis, often producing double-digit growth each year. However, rising economic uncertainties will dampen the prospects for future growth over the coming years. During the forecast period (2018-22), gross advances are expected to record a compound annual growth rate (CAGR) of 4.2%, reaching 338bn by the end of the forecast period versus a historic five-year CAGR of 7.6% from 2013 to 2017.

On the supply side, an increased supply of new homes, stamp duty relief for first-time buyers, and the extension of the Help to Buy equity loan scheme will improve matters for first-time buyers. More withdrawals in the buy-to-let sector by landlords are expected over the next two years, increasing the supply of properties available to both existing homeowners and first-time buyers.

Political uncertainty arising from the Brexit negotiations has weighed on economic growth, and is likely to continue to do so over the forecast period. But high levels of employment, rising wages, and slower private rental growth - combined with significant government intervention in the housing market - will ensure moderate growth over the forecast period.

This report offers five-year gross lending forecasts for residential and niche mortgages up to 2022, along with a detailed examination of the various supply-side factors that will determine the market outlook. It offers insight into - 
- The Right to Buy sector will be supported by the schemes extension to housing association tenants and the governments lifting of the Housing Revenue Account cap, enabling local authorities to increase borrowing to invest in new housing stock.
- Buy-to-let lenders are adapting to margin compression by including non-rental income in affordability assessments. As mortgage interest tax relief is removed, demand for top-slicing products will increase.
- The number of equity release products is growing rapidly to meet consumer demand. Prospects for further growth are strong, with several years worth of property price rises leaving borrowers with plenty of capital value to withdraw.
- The removal of restrictive criteria and increased consumer awareness, combined with substantial government funding, will see the shared ownership sector grow significantly over the forecast period.

Scope
- The key macroeconomic, regulatory, and other factors that will drive the supply of mortgages over the next five years.
- The outlook for niche sectors, including buy-to-let, equity release, shared ownership, shared equity, Right to Buy, Sharia-compliant, and self-build.

Reasons to buy
- Develop more targeted strategies through analysis of key mortgage market developments.
- Inform your future plans with our five-year forecast of gross advances for niche product lines.
- Analyze trends with details of historic gross advances across a range of specialist mortgage sectors and product types.

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Table of Contents
1. EXECUTIVE SUMMARY
1.1. Market summary
1.2. Key findings
2. THE MORTGAGE MARKET WITNESSED MODERATE GROWTH IN 2017
2.1. Supply-side factors will increase the pool of funds available for lending
2.1.1. Regulatory changes have dampened the appeal of the buy-to-let sector
2.1.2. First-time buyer numbers continue to grow as a result of government support
3. NICHE MORTGAGES WILL EXPERIENCE VARYING FORTUNES
3.1. Government intervention has reigned in buy-to-let lending
3.2. Shared equity activity will continue to grow, but at a slower rate
3.3. Shared ownership has been boosted by regulatory changes
3.4. Right to Buy will grow moderately over the next few years
3.5. Equity release will see double-digit growth throughout the forecast period
3.6. Self-build lending is unlikely to meet demand

Continued……..@@

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