The financial crisis gave them an opportunity, will the Corona crisis do the same?
The role of marketplace lenders
After the financial crisis of 2008 a new breed of mortgage providers emerged: marketplace lenders. White labelled or branded, marketplace lending platforms have taken the owner-occupied mortgage market in the Netherlands by storm. From a market share of ... in 2010 to around ... in 2019, can this shift be attributed to the platforms only, or is there more going on?
We believe one of the drivers behind the shift is the tightened regulation around banks. Capital requirements and stricter lending policies have effectively driven consumers away. But technology has also allowed platforms to promote friendlier application processes. Online applications has been a game changer in reaching home owners. But also the capital markets played a role. Following trying times in the structured finance markets during the 2008 financial crisis, RMBS markets proved a valuable tool for originators and investors in gaining access to this substantial market for residential mortgages.