Brokers have lost market share but continued to drive growth in mortgage lending.
New research commissioned by the MFAA found that brokers wrote 49.7 per cent of home loans in the June quarter – down from 49.9 per cent in the March quarter.
There was a $57 billion increase in mortgage lending in 2013/2014, with brokers accounting for $35 billion or 61 per cent of the growth.
The total business attributable to brokers was $142 billion, which was 32 per cent up on the previous year.
MFAA chief executive Phil Naylor said the growth in broker loans showed the popularity of the third-party channel.
“The broker channel achieved a positive benchmark last quarter and it is good to see that this high level has been maintained throughout this period,” he said.
“The research also shows that brokers are offering the consumer real choice and driving competition: 26 per cent of broker initiated loans went to smaller lenders, which attracted only 18 per cent of directly sourced loans.”
[Related: Brokers eye 75pc market share]