Major mortgage and wealth franchise Yellow Brick Road has reported a 42% increase in loan settlements over the year to June, pushing its total loan book above $30 billion.
According to the company’s 2015 annual report released yesterday, Yellow Brick Road – which includes Vow Financial and Resi Mortgage Corporation – settled $12.6 billion in the twelve months to June. Yellow Brick Road’s combined loan book under advice now sits at $30.8 billion and accounts for over 4% of Australia’s total home loan settlements.
Yellow Brick Road executive chairman Mark Bouris
says these results were not only buoyed by the acquisitions of Vow and Resi in July and August, respectively, last year, but also due to an increased focus on lead generation.
The company reported a 62% jump in leads to its Yellow Brick road franchises over the year, thanks to new marketing initiatives such as the national Hopes and Dreams campaign, local grassroots marketing and the relaunch of its new mobile-friendly website.
The Yellow Brick Road mortgage franchise business reported year-on-year growth of 42% in mortgage settlements, settling $2 billion in loans over the 2015 financial year. The franchise network now consists of 255 branches across the country, up from 209 in the 2014 financial year. The transition of Resi franchises into Yellow Brick road franchises added 19 new branches to the network.
According to Yellow Brick Road CEO Matt Lawler
, Yellow Brick Road’s own branded product, Empower, recorded a 42% boost in settlements in the six months to June. Further, submitted life insurance proposals and suspense (submitted but not yet approved) reached the highest levels on record. Total inforce premiums almost doubled to $9.3 million.
Vow Financial increased its annual settlements to $10.38 billion over the financial year, a 46% increase from 2014.
To achieve this, Vow Financial CEO Tim Brown says the aggregator grew its loan writer base by 29.7% and its broker agreements by 25.1%. Vow now has 891 independent mortgage and finance brokers as members of its network.