Market competition pushes $100k+ broker salaries

by Miklos Bolza11 Jan 2017
Greater competition and demand is seeing more brokers moving across to banks or being snapped up by brokerages for higher pay packets, according to new research from global recruitment firm Hays.
 
The latest Hays Quarterly Report looked at recruiting trends across the Sydney and Melbourne banking and finance industry from October to December last year.
 
One key finding was that more self-employed brokers were making the transition or returning to a role at a bank. This was spurred by an increase in competition and unstable lending conditions.
 
“For every branch-based lending or broker BDM role, about 30 to 40% of the applications come from brokers, both self-employed and working for a corporate,” Robert Beckley, regional director at Hays, told Australian Broker.
 
The demand for broker BDMs is on the increase as well, the research found, spurred on by a higher volume of loans coming through third party channels.
 
At the same time, more mortgage brokers were sought after by brokerages. Given the nature of the market, the report found employers were willing to pay higher rates for candidates with wider referral networks.
 
“Salaries for mortgage brokers are typically $60,000 to $100,000 plus super with varying commission structures depending on volume of leads provided and the ability to self-generate,” Beckley said. “Those in demand are able to negotiate a high level salary with a brokerage due to its competitive nature.”
 
He continued, saying that a lot of financial services organisations were incorporating mortgage brokers into their business model so as to provide a more holistic service to clients. Examples of firms now hiring brokers include financial planning firms and professional practice accounting firms, he said.
 
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