NAB, currently the county’s fastest growing mortgage lender, has yet to reach its target share of the market, according to comments made by the major lender’s head of retail banking, Gavin Slater.
APRA data shows NAB’s mortgage market share has risen by 2.5 percentage points to more than 15% since August, 2009, trailing CBA and Westpac figures.
“Overall market share of 15.3 -- we’re not where we want to be, we want to be somewhere north of that,” Gavin Slater, who became the head of NAB’s retail bank in April said in an interview with Bloomberg. “We do have ambition to continue to grow market share. We think this is a business that benefits from scale.” However, he declined to give specific targets.
Mortgage lending has risen for seven straight months through July, the longest streak in four years, according to the ABS - and mortgages remain the nation’s fastest growing loan segment.
Bloomber reports that NAB CEO, Cameron Clyne, has offered the lowest benchmark home loan rate among the big four since June, 2009, as total loan demand expands at close to the slowest pace on record.
Rival banks, both major and non-major, are now ‘aggressively competing’ in home loans given the profitability, says Slater. Since May, CBA has narrowed its interest-rate difference with NAB to two basis points, while ANZ is matching NAB’s rate.