A host of issues has brought them to the forefront
As market conditions have grown more complex for many borrowers over the last few years, amid COVID, the cost-of-living crisis and a host of challenges, the need to deviate away from the mainstream has become a necessity for some as their borrowing needs and profiles become more complex.
This, in turn, has led to a surge in interest in specialist brokers, with borrowers needing that extra helping hand to point them in the right direction.
So is dedicating to a specialism a good idea in today’s market?
Why is it important to dedicate to a specialism?
Anil Mistry (pictured left), director and mortgage broker at RNR Mortgage Solutions, said the core of his expertise lies a focus on crafting tailored mortgages designed explicitly for self-employed individuals and business owners.
“As a dynamic mortgage and protection brokerage, we firmly believe in the power of specialisation,” he said.
This strategic choice, Mistry said, not only establishes a firm as authoritative in its chosen field, but also fosters a deep connection with the specific demographic, positioning the business well in its unique group.
In a landscape saturated with generalists, Mistry said being a specialist is akin to speaking directly to the chosen audience, ensuring a resonance that eludes broader, less targeted approaches.
“Our commitment to this niche is not just a philosophy, but a tangible aspect of our strategy,” he said.
Almost all of the firm’s content on platforms such as TikTok, Instagram, Facebook, and LinkedIn, Mistry said, revolves around its specialised area, reinforcing its dedication to serving self-employed individuals and business owners.
“The tangible outcomes of this strategic approach are both encouraging and conclusive; the majority of our organic leads are generated through social media,” he said.
Mistry believes this demonstrates that by honing in on a specific area, a business not only stands out in a crowded market, but also attracts the clients that align with its tailored expertise.
How can specialist brokers help?
Jamie Thompson (pictured right), mortgage broker at Jamie Thompson Mortgages, said his specialisation lies in securing mortgages for PhD students receiving stipends. These are essentially bursaries or grants that stand apart from loans, requiring no repayment and remaining entirely tax-free.
“A unique challenge arises as most lenders outright reject these stipends, prompting numerous PhD students to approach me after facing rejection from their banks and, surprisingly, even after consulting with multiple brokers who deemed it an impossible feat,” he said.
Thompson admitted he can empathise with their initial scepticism because, when a friend pursuing a PhD first inquired, he, too, assumed it could not be done.
“However, armed with the knowledge that it is indeed feasible, I have dedicated myself to aiding individuals navigating this distinctive scenario,” Thompson said.
While Thompson does engage in conventional mortgage business, he finds the cases demanding specialised insight are particularly fulfilling.
Guiding clients through a landscape where their unique circumstances have often been overlooked or dismissed by others, he added, underscores the value of his niche expertise.
“To those considering specialisation, my advice is to work backwards in the process; identify a lender with favourable general criteria and ease of collaboration, then delve into their niches. In my case, the focus on PhD stipends emerged as a rewarding specialty,” Thompson said.
A practical tip for potential specialists, he said, is to gauge the demand by checking monthly Google searches for that specific problem, ensuring a balance between personal interest and market need in carving out a distinct expertise.
How important are specialist brokers in today's market? Let us know in the comment section below.
