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Brokers on track for majority market share: MFAA

by Staff Reporter7 minute read
The Adviser

Mortgage brokers grew their volumes by 23 per cent in 2013 and will continue to increase their share of the market.

The MFAA reported that brokers wrote $123 billion of loans last year, compared to $100 billion in 2012. Volumes are forecast to keep rising in 2014.

Brokers wrote 47.3 per cent of all home loans in Australia during the December 2013 quarter after writing 46.4 per cent in the September quarter, according to the MFAA. Chief executive Phil Naylor said it was “just a matter of time” until that share passed 50 per cent.

“These figures show that the broker channel continues to grow strongly as more people are seeking expert advice on the management of what is commonly the largest investment they will make in their lives,” he said.

“Our information suggests that borrowers are seeking in great numbers to take advantage of the historically low interest rates to secure a more cost-effective mortgage through the use of credit advisers.”