The Intermediary – September 2026 - Flipbook - Page 106
L O C A L FO C U S
Worcester
Ltd, describes conditions simply
as “steady,” with expectations of
lower rates contributing to a more
measured market.
He says: “That’s put a lot of buyers
and sellers in a holding paern, not
because nothing’s happening, but
because everyone can see rates are
more likely to ease than tighten from
here, so there’s less urgency to move
than there was a couple of years ago.”
Local demographics
The Worcester postcode area was
home to around 334,000 people in
2024, having grown by 17% since 2002.
Its population is also geing older,
with the average age rising by 3.8 years
over that period to 44.3.
Within the mortgage market,
however, Penman has seen a growing
focus on first-time buyers. He says:
“Lenders are introducing more
innovative products and criteria,
including 100% mortgages, lowdeposit options, higher income
multiples and, in some cases, interestonly options.”
Penman has seen the profile of those
seeking advice change, saying: “One
notable change over the past year has
been an increase in enquiries from
foreign nationals looking to purchase
their first home in the UK. This is an
area where specialist mortgage advice
can be particularly important, given
the additional criteria.”
Borrower circumstances are
becoming more varied, too. Green
says he is seeing more clients with
“complicated backgrounds,” including
those with commission, bonuses or
benefits forming part of their income,
as well as different employment types
and credit histories.
According to Cooper, his client
base includes blended families, single
parents and borrowers going through
or rebuilding aer separation or
divorce, alongside first-time buyers
and home movers.
He says: “A lot of our clients come
to us thinking their situation is a
nightmare because they’ve separated,
they’re self-employed or they’ve been
turned down somewhere else. Usually,
it isn’t. You just need to know which
lender is going to look at it sensibly.”
Lender activity
There is no single lender dominating
mortgage business in Worcester,
with adviser choice instead driven by
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The Intermediary | September 2026
the circumstances of the individual
borrowers themselves.
Cooper says he regularly places
cases with major high street lenders
including Halifax, Nationwide,
NatWest and Barclays, alongside
building societies and specialist
providers, adding: “I wouldn’t say
there’s one lender that dominates
Worcester from our point of view. It
really depends on the client.”
This becomes particularly
important for borrowers whose
circumstances fall outside standard
criteria. Cooper says: “We’re probably
slightly different in that we quite
enjoy the cases that aren’t completely
straightforward. If somebody has
already been told ‘no’, that doesn’t
necessarily mean the answer is ‘no’
everywhere. Sometimes it’s simply
a case of finding the lender whose
criteria fit that particular person
rather than trying to make the person
fit the lender.”
Penman similarly draws on lenders
from across the market, highlighting
smaller building societies as
particularly useful for more complex
borrowers, as their use of manual
underwriting “can sometimes provide
solutions that larger lenders cannot.”
Ongoing development
Unlike many markets where
new-build homes command a
premium, the picture is reversed in
Worcester. Newly built properties
average £333,000, compared with
£345,000 for established homes, as
development continues across the city
and wider county.
Green points to a substantial
pipeline of new housing, saying:
“There is a large number of homes
currently being built around
More complex buyer profiles
PAUL PENMAN
senior mortgage and protection adviser at Echo Finance
he market is more subdued than it was a couple of years ago.
Properties are generally taking longer to sell, and we’re seeing
clients who are keen to move to a different area or a larger
property finding it takes longer to secure a proceedable buyer.
Enquiries for mortgage advice have remained fairly buoyant, but many
prospective buyers are still at the research stage. ey’re looking to
understand how much they can borrow, and importantly, whether the
resulting monthly payments fit comfortably within their budget, before
committing to a move.
One of the clearest trends is the increased focus on first-time buyers.
Lenders are introducing more innovative products and criteria, including
100% mortgages, low-deposit options, higher income multiples and, in
some cases, interest-only options. ese demonstrate a clear appetite to
support first-time buyers and help them onto the property ladder.
One notable change over the past year has been an increase in
enquiries from foreign nationals looking to purchase their first home in
the UK. is is an area where specialist mortgage advice can be
particularly important, given the additional criteria some lenders apply.
For clients with more complex situations, smaller building societies
can be particularly valuable, as their approach to manual underwriting
can sometimes provide solutions that larger lenders cannot.
e buy-to-let market has been more subdued than in previous years,
largely due to a combination of increased taxation, regulatory changes
and higher finance costs. We’re seeing landlords with one or two
properties increasingly considering whether it remains worthwhile to
retain them. However, investors with larger portfolios, particularly those
operating through limited companies, remain active and are still looking
to expand where the right investment opportunity presents itself.
T
