Tasmanian-based MyState Bank has grown its mortgage book by 9.6% in FY2016, with settlements through the broker channel growing significantly.
MyState’s home loans book reached $3.7 billion in the financial year, up from $3.4 billion in the prior financial year. Growth was more than 1.4 times system growth of 6.7%.
Mystate CEO and managing director, Melos Sulicich
, said growth was supported by the third party channel, which was a priority investment for the lender over the year.
“During the year MyState continued to improve services to mortgage brokers by introducing a new automated loan origination system, replicating the high service standards of our retail business,” he said.
“Our strategy of simplifying services and products and supporting them with more efficient technology is transforming our business and ensuring that we are easy to do business with.”
Settlements through the third party channel specifically were up 16% from last year, with brokers accounting for $626.4 million in new home lending.
Sulicich said brokers were also responsible for expanding the lender’s geographical footprint.
“Growing sales through these channels has increased the geographic diversification of MyState’s home loan book and with strong growth in New South Wales and Victoria, nearly a quarter of MyState's loan book is provided to customers in these States.”
In FY2015, 60% of MyState’s home loan book was based in Tasmania. In FY2016, this dropped to 56%, with the non-major’s footprint increasing to 11.5% (FY15: 10%) in NSW and 11.9% (FY15: 9%) in Victoria.
Mortgage brokers are now behind well over half (58.2%) of MyState’s total mortgage book.