Question for the Advisors, please

Graeme7777

Hi,

During my recent studies I developed models to analyse loans, among other financial products. I found this really interesting (sad, I know) and it got me thinking that I may like to turn my career in the direction of providing a service to people who want advice about the best way of financing a purchase.

I don't want to get involved in debt consolidations, or anything like that. Mortgage advice seems like a natural fit. Now of course I know that now would be a terrible time to enter such an industry but I would only be ready to do so in more than a year when things may be better. Is there a good future for Mortgage Advisors when the market turns?

Or can anyone suggest a niche of the financing market where such analytical skills would be useful? I was thinking, perhaps, of helping people make the best car financing decision, or perhaps how best to finance post-graduate study.

Any thoughts or advice would be very welcome!

Thanks

Cazza

I've worked as a Mortgage Adviser and a Business Manager (arranging car finance basically!) for a Volvo main dealer, be very aware the you are heading into the sales industry. The motor indusrty is very hard sell, I tried it for 9 months and hated it with a vengence because of the attitudes, I just wasn't happy working that way. With the mortgage industry, it depends who you work for - many of the larger companies will put on a great deal of pressure for you to hit sales targets etc. I stuck with it fr a couple of years, then went into busines wih my Father, where I could start really treating my clients the way I would want to be treated. I loved being a mortgage adviser, and if it weren't for the credit crunch I'd still be doing it now. If your real interest is in analysing the products etc, then look at banks etc, possibly product development, or financial analysis. If your interest is in people, then you might be loking at the right area, but I just wanted to warn you about the level of sales pressure, as I know a number of people who left the industry early because they weren't expecting it! Timing wise, that's anyone's guess........!

Robert_Sterling_3

A very enlightening response for which much thanks.

Graeme7777

Robert_Sterling wrote: »

A very enlightening response for which much thanks.

I second that - thanks very much Cazza!

Cazza

You're welcome! I'm out of it completely now, working in local government since August. I miss my clients, they were lovely!

dunstonh

Over half of the new advisers to financial services leave within 2 years and usually in debt.

Problems for mortgage advisers going forward are:
1 - now is bad time obviously
2 - there are too many mortgage advisers for even the peak levels of business
3 - Rules for investment advisers (IFAs and tied agents) change in 2012 and its estimated many older or lower skilled advisers will move into mortgage advice and become an introducer rather than stay investment authorised. This is already happening.
4 - The FSA has yet to decide if indemnity commission will still be available on insurance from 2012. The bad business models rely on it and it could kill them off. The good business models dont use it and want to see an end to it).

I think your biggest problem is that you are looking at a niche area that will be unable to sustain you a decent income.

Dan_1976

Good points Big D!

I would add having been, seen and dumped out of the self employed roll, you need a years money behind you in a normal market, I imaging that would be ok now. Its tough, there are a lot of brokers our there and at the mo you will feel like the world is out to get you.

I timed it wrong, if I had another couple of years of self employment under my belt I would have kept going, or if I were single and not with 2 children a wife and mortgage.

Good luck if you do go for, just research the market and chose who you work with carefully.

Ian_Griffiths_Halifax

If I were you, I'd probably look at whether or not your program would sell on ebay.

Due to sites like this, people think they know better than advisers and often get it wrong, but they learn by their own mistakes in the long run.

A program like yours may help them to make a better decision, but don't expect to get a lot for it as people are reluctant to pay for anything these days.

Graeme7777

Thank you all - very sound advice!