The Intermediary speaks with Andrew Cappaert, Group Head of National Accounts at Brightstar Financial, to discuss the ever-evolving landscape of specialist lending.
Could you tell us a bit more about your role as Group Head of National Accounts at Brightstar Financial?
My main focus is fostering engagement with brokers; introducers; networks and mortgage clubs.
My role spans the entire group, not just Brightstar, but also including Sirius Finance and Solstar Insurance – and we’ve some very exciting news with the launch of our overseas finance proposition, Polaris.
It’s an endlessly interesting role, as I’m constantly educating and informing people about what we do and how we can assist.
A key part of my job is to work with brokers, intermediaries, and introducers, helping them identify new possibilities within specialist finance. It’s about making sure our proposition is fully understood and supporting brokers in exploring areas they may not have previously considered.
How has the specialist lending market changed in recent years, and what developments do you anticipate in the near future?
The market has become much more sophisticated, particularly since the pandemic. I often ask brokers whether a straightforward ‘vanilla’ case is the same as it was three or four years ago, and the answer is invariably ‘no’. Borrower needs are now far more varied – from the self-employed to those with multiple or complex income streams.
Lenders have adapted by providing more flexible and responsive products. Even high street lenders are now developing specialist lending offerings. Technology is also playing a greater role – I refer to it as the ‘Amazon effect’, where everyone expects immediate, seamless service.
The market is now much better at recognising and accommodating complex circumstances. Whether someone has missed a phone bill payment or has an unusual income structure, there’s far more flexibility today.
What are the main challenges brokers face in the mortgage and specialist lending markets at present?
Affordability is still a major challenge, alongside the ever-changing lending criteria and rising consumer expectations. It’s difficult, and nigh-on impossible, for brokers to be experts in all areas of specialist finance.
Time is the biggest constraint for everyone. It’s simply not feasible to know everything, so the real challenge is recognising your limits and not venturing into unfamiliar territory if you don’t understand the potential pitfalls.
The most important thing is being willing to refer cases to specialists when necessary. As I always say: don’t assume a case is impossible – ring me first.
Where do you think brokers could improve to reach their full potential?
Don’t be hesitant about areas you’re less familiar with – that’s where real growth happens, both personally and professionally. I’m always encouraging brokers to seek out opportunities in the specialist sector.
Why restrict yourself when you could broaden your horizons? We offer focused sessions on topics such as commercial finance, bridging, and second charges. The mantra is ‘work smarter, not harder’. Be open to new opportunities, take a holistic approach with your clients, and don’t dismiss business without exploring all avenues.
Remember, every client’s circumstances are unique. Whether it’s supporting a property developer or facilitating debt consolidation, our role is to find solutions.
Brightstar has a reputation for handling complex cases. Are borrower profiles and cases generally growing more complex?
Almost all the cases we handle are inherently complex. What once counted as ‘specialist residential finance’ has changed dramatically – it’s no longer just about adverse credit. We’re now seeing a much broader range of scenarios: non-standard construction properties, expats, visa holders, foreign nationals, self-employed clients with intricate finances; the list goes on.
One recent example springs to mind: a broker with 15 years’ experience came to me with what she thought was an impossible case – a mortgage for a property with human remains on the grounds. Within sixty seconds, our team had a solution, proving that what appears impossible often isn’t.
How does this shift affect the way brokers approach such cases?
Brokers really can’t afford to pigeonhole themselves anymore. The key is to keep an open mind and never assume a case can’t be done. We encourage brokers to expand their knowledge with Brightstar through training, webinars, and one-to-one support.
We’ve seen plenty of seemingly unworkable cases resolved simply by drawing on our expert advice and taking a more holistic view of the client’s situation.
What trends are you observing in borrower demand and lender appetite at present?
A few notable trends stand out. Second charge mortgages are extremely busy, and the two main areas for this still remain mainly for debt consolidation and home improvements.
Bridging finance continues to be our busiest area, with a strong focus on swift decision-making and multiple exit strategies. We are also finding clients are being more proactive with bridging rather than just your traditional chain breaks and auction house purchases.
Commercial finance is generating significant interest too, with more brokers beginning to appreciate the opportunities it presents and understanding the importance of digging deeper with their self-employed and business owner clients, even if they are only coming to them for a residential mortgage.
Buy-to-let is still active, though challenging, with an emphasis on portfolio landlords and complex ownership structures.
Our group has just enjoyed its best-ever Q1, which highlights the rising demand for specialist lending and excitingly we have also just moved into the overseas finance market with Polaris – a clear sign of the market’s ongoing evolution.
With such a broad specialist lending portfolio, how does Brightstar ensure its teams maintain deep expertise across all areas?
It’s all about specialism within specialism. Our teams stick to their respective areas – residential teams handle first-charge mortgages, while dedicated teams manage second charges, commercial, and development finance. I often liken it to DIY: the more you do it, the better you become, and tricky scenarios ‘aren’t so tricky!’.
We invest heavily in ongoing learning and people development. Lenders visit us regularly to provide training, and we’re unusual in having BDMs and underwriters working from our offices on a rotating basis. This encourages constant knowledge sharing and the chance to sense-check cases collaboratively.
Our office is very much a shared, collaborative space. When a particularly complex case arrives that crosses specialties, our teams can quickly come together to work out the best solution. Regular training, a shared workspace, and a culture of exchanging ideas ensure we keep our expertise sharp across the board.
The upshot is that it’s rare for us to see a scenario that no one’s encountered before. Our collective experience and collaborative ethos mean we can almost always find a way forward.
What innovations or systems has Brightstar recently introduced to make things easier for brokers and clients dealing with complex mortgage cases?
The biggest step forward has been the introduction of our new CRM system, Launchpad. There was a bit of resistance initially – people can be wary of new systems – but it’s already proving invaluable. The real innovation is that brokers now have 24/7 online access to the status of their cases, offering complete transparency.
Launchpad isn’t just about case tracking: it’s about data and insights, too. We can now provide our brokers and networks with management information they’ve never had before. We can see how many enquiries become applications, how many applications become completions, and, crucially, understand why some don’t progress.
The automation it offers is a huge leap forward. Tasks that used to require multiple emails can now be completed with a single upload and processed automatically. I call it ‘the AI of Launchpad’ – making everything smoother, faster, and more efficient.
We’re also exploring other AI tools to refine communications and reporting. The aim is to use technology to enhance, not replace, the human element.
Looking ahead, are there any new services, technologies, or markets you are particularly excited about for Brightstar?
We’re very much on the verge of some very exciting growth. Having just enjoyed our best-ever Q1, we have now entered the overseas finance market. This will enable us to help clients purchase property abroad, arrange international bridging finance, and support both UK residents buying overseas and international buyers investing in the UK.
We also have Solstar, our insurance arm, which has been a fantastic addition. What began as a way to complete deals hindered by insurance challenges has become a robust service, offering quotes both within and outside the group and is going from strength to strength.
From a technology perspective, I’m excited about the automation features of Launchpad to transform our reporting and streamline our processes. Within a year, I anticipate we’ll have systems that don’t just provide statistics but generate full explanations and insights into market trends.
Most exciting of all, these innovations will help us continue our core mission: finding solutions for brokers and their clients. Whether through technology, expanded services, or our human expertise, we’re committed to making specialist lending more accessible and comprehensible.
We’ve even received enquiries for highly complex international projects – for example, a £12m development in India – which we would never have considered possible before. It just goes to show how being open to new opportunities and embracing technology can genuinely transform the specialist lending landscape.
