The findings of The Consumer Access to Mortgages Report - a white paper commissioned by The Adviser - are to be revealed at an exclusive industry event in Sydney at the end of this month.
In November 2018, The Adviser appointed Momentum Intelligence to produce a white paper to reveal the true value of third-party distribution from the borrower’s perspective.
The cornerstone of the report, a recent survey initiated by The Adviser, asked broker and bank customers about why they used a broker or went directly to a lender, what their experience and sentiment was around broker commissions and, importantly, what their satisfaction levels were with the distribution channel they used.
Nearly 6,000 respondents completed the survey, which was widely shared and distributed by brokers and broker groups.
The survey was commissioned by The Adviser following ongoing scrutiny of broker remuneration and several pointed remarks regarding broker commissions during the seventh round of hearings of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.
Alex Whitlock, director at Momentum Intelligence, said understanding that borrower experience of securing a mortgage was critical, given that legislation could potentially soon be introduced that would impact the broker channel, which now accounts for nearly 60 percent of all new loans.
“There has been considerable scrutiny on how the behaviour of the financial services sector has impacted Australians, and this is long overdue. The customer, and their needs, should be front and centre for every institution and their intermediaries," he said.
“Mortgage distribution is quite rightly in the spotlight as part of the royal commission, particularly when it comes to the impact of commissions on the borrower outcome. To support this Momentum Intelligence has surveyed 5,800 borrowers to gain a unique and valuable insight into their experience and ultimately their level of satisfaction.
"The findings of this survey have major ramifications for both borrowers and brokers, and should be considered with great weight by legislators before any recommendations are made."
The results of the survey will form the basis of The Consumer Access to Mortgages Report which will be released at an exclusive event taking place at The Star, Sydney, from 6pm on Thursday 31st.
The launch event will bring together key stakeholders, leading representatives and influencers of the mortgage broking and lending sectors.
For more information about the launch event, please contact The Adviser.
[Related: The Adviser launches major borrower survey]