Powered by MOMENTUM MEDIA
SUBSCRIBE TO OUR NEWSLETTER SIGN UP
Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

Non-banks step up to the plate

Staff Reporter 4 minute read

Jessica Darnbrough

Australia’s non-bank lenders have managed to snare market share away from the majors, new research has revealed.

According to AFG’s latest Mortgage Index, Australia’s non-bank lenders comprised around 21 per cent of all home loans processed in February – almost three times more than the 7.5 per cent recorded in 2009.

AFG general manager sales and operations Mark Hewitt said while it was good to see increased competition between lenders in the mortgage space, the good news was being completely overshadowed by the threat of a Deferred Establishment Fee ban.

Advertisement
Advertisement

“If such a ban comes into effect, non-bank lenders will be badly disadvantaged and consumers could find their options rapidly evaporate,” Mr Hewitt said.

The Index also found that overall mortgage sales are yet to recover from the summer of disasters.

$2,053 million of loans were processed in February 2011, down 9.7 per cent on February 2010.

New South Wales was the only state to show a modest increase on February 2010’s figures (2.7 per cent), with mortgage volumes in other states falling by 8.1 per cent in Victoria, 8.8 per cent in Western Australia, 16.3 per cent in Queensland and 22.9 per cent in South Australia compared to February 2010.

PROMOTED CONTENT


Non-banks step up to the plate
default
TheAdviser logo

Are you a new-to-industry broker in the process of growing your business? Then there’s some great news: The Adviser’s New Broker Academy is back in 2021 and will provide you with essential insights into cutting-edge tools, strategies and processes to fast-track to success. Don’t miss your chance to attend. To secure your FREE place, visit newbroker.com.au now!

default

 

more from the adviser
ASIC TA ASIC levy reflects ramped up enforcement: FBAA

ASIC’s raised industry funding levies reflect higher enforcemen...

money piggy 2ad3 Lockdowns threaten business loan demand: Equifax

Construction and retail trade have fuelled business loan growth i...

mortgage money house 48% of home loan applicants frustrated by paperwork

The majority of Australian borrowers think applying for a home lo...