More Australian home buyers are relying on mortgage brokers than ever before with the latest industry data showing brokers have now smashed the record for market share.
This is the largest market share observed to date across all quarters and is a 12 percentage point year-on year increase on the 57.5% reached in the March 2021 quarter. It is also a 17.4 percentage point increase on the 52.1% recorded in the same quarter in 2020.
During the March 2022 quarter, mortgage brokers settled loans to a total value of $88.10bn.
This is the highest value of new settlements observed for a March quarter and represents a 41.54% year-on-year increase on the $62.25bn settled in the same quarter in 2021.
MFAA CEO Mike Felton (pictured) said the results were indicative of a strong, successful and rapidly growing industry that had successfully implemented meaningful reforms over a number of years and had the trust and loyalty of consumers.
“Not only does the consumer benefit from the significant choice, experience, and convenience offered by a mortgage broker but on home loans taken out since 1 January 2021, they have been protected by an unrivalled best interests duty,” Felton said.
“This further differentiates the channel and provides yet another compelling reason to use the services of a mortgage broker.
“In a rising interest rate and cost environment, mortgage brokers are exceptionally well placed to assist customers in finding a fairer deal that is in their best interests.”
In March, the MFAA released its December 2021 quarter results and reported mortgage brokers settled a record breaking $95.65bn in loans, which was the highest amount for all quarters since reporting began. In the December 2021 quarter, broker market share was sitting at 66.5%, meaning it has now risen three percentage points to 69.5% in the latest results.