According to a report released on Tuesday by Mortgage Advice Bureau (Holdings) PLC, revenue will climb by 22% in 2022, and adjusted pretax profit would likely meet forecasts.
Despite the detrimental effects of September’s brief U.K. government “mini budget” on the mortgage market, the company stated in an update that revenue for the year should be about 230 million pounds ($284.1 million). 10% organic revenue growth is anticipated, plus GBP22 million in additional revenue from the July acquisition of The Fluent Money Group.
Due to a spike in mortgage interest rates, the discontinuation of numerous mortgage products, and a rapid tightening of lenders’ underwriting guidelines, there was a major decline in home purchases and refinancing activity in the fourth quarter.
Following government action, mortgage rates steadied and somewhat improved toward the year’s end, it claimed.
Although there will be fewer home purchases this year, the business predicted a weighted comeback for the second half of the year.
The company anticipates a very robust year for refinancing as well as a gradual but steady rise in consumer confidence and home transaction levels, according to Chief Executive Peter Brodnicki.