Easi Home Loans managing director Dean Riordan is having an easy time of the Perth market this year, due to reliable repeat business and investors looking back at the market.
Speaking with Australian Broker, Riordan said that the enquiry level from borrowers has been 'very good' this year, particularly due to a raft of attractive fixed rate offers that began late last year and continued in to the new year.
Riordan said that most of these new enquires were coming from his stable of existing clients, which he had built up over a long career in the mortgage broking business.
"Ninety five per cent is repeat or referral business, so I am either doing business again for existing clients or existing clients are referring me to their friends or family," he said.
"I've been in this industry 13 years, and I have religiously looked after clients, in the good times and bad times, and I'm now even getting a second generation coming through, with mums and dads recommending me to their kids," he said.
"Some brokers live in the now, as opposed to wanting that repeat business," he said.
The fixed rate spike has led to an 'organic' spurt of enquiries from existing clients, rather than Riordan having to generate business through active direct marketing.
"I'm in constant communications with clients anyway, so it just naturally happens that way, it doesn't take much for a client to hear something and come to ask what I think," he said.
Riordan said that the rest of the year looked promising, due to his opinion that the Perth market has hit bottom, and investors would start to step back in as the market swings up.
"We see a lot of opportunity in the investor market again,” he explained.
Riordan said that investors have realised the fundamentals of the Perth market were strong.
“At the moment we have cheap prices, a low vacancy rate, and a high rental yields. We've also got mining on our side, and interest rates have come off, so everything points to investors coming back to the market again," he said.
He added that lenders in WA were contributing to the positive outlook, as they were “yelling and screaming' for business. “At an enquiry and lender level, it’s really been fantastic.”
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