The proportion of advised mortgage sales fell by 2 per cent in the first quarter of 2011 to 47 per cent from 49 per cent in the first quarter last year.
The FSA’s latest mortgage product sales data shows 99,700 mortgages were sold in the first quarter this year compared with 107,900 last year. In contrast, direct sales to consumers rose to 120,600 from 113,200.
The data shows the proportion of mortgage sales through intermediaries fell only marginally to 47.5 per cent from 47.75 per cent for the year to March 31, 2011.
The FSA says there were almost 870,000 mortgage sales in the year to March 31, 2011, the lowest annual number since the regulator started to record the data in 2005. Of those, brokers sold 415,100 mortgages, compared with 454,600 direct. Over the same period in 2009/10, there were 930,000 mortgage sales, so overall sales fell by 6.8 per cent in 12 months.
Intermediary Mortgage Lenders Association chairman John Heron says: “This is not good for the mortgage buying public. Too many will simply accept the product they are sold by the first lender who says yes, instead of using a broker who will trawl the market for the most suitable and the best deal.”