31% of financial advisers who advise on mortgages have seen an increase in calls from clients as a result of the cost-of-living crisis, according to research from Opinium Research.
Additionally, 43% are concerned that their clients may struggle to make their mortgage payments as the crisis continues.
This matches with the consumer view, with 52% of homeowners revealing they will struggle to afford their mortgage if every day prices continue to rise, with 38% saying they will need to make financial cuts elsewhere to be able to pay their mortgage.
Concerns around the future affordability of mortgage payments are perhaps understandable, with 59% of IFAs stating that their clients who aren’t on a fixed term deal may have to pay up to £1000 more on their mortgages, as a result of rising interest and inflation rates.
19% of IFAs said they have already had clients opt to pay a fee to get out of their current mortgage early, in order to switch to a deal with a better rate that is fixed for longer.
Almost 38% of financial advisers who advise on mortgages say they are concerned about the impact of the cost-of-living crisis on their own business.
Alexa Nightingale, head of financial services research at Opinium, said: “Given the pace at which the cost-of-living crisis continues, with inflation reaching a 40-year high, it is no surprise that IFAs are encountering clients who are concerned about keeping up with their mortgage payments.
“It’s clear that financial advisers need to continue communicating with clients, to help them through these tricky financial times and try to ease their financial concerns where possible.”
