“At the time I was a serving police officer and I looked at the opportunity in a number of ways,” Davies says.
This decision marked his transition to helping his son enter the finance world, leveraging the strong Aussie brand, and setting a pathway to his retirement from NSW Police after 36 years.
Reflecting on the most significant change since he began his career in brokering, Davies highlights the technological advancements brought on by COVID-19.
“The biggest shift was the result of COVID. It forced lenders into a position brokers had been seeking for some time,” he says, referring to the introduction of electronic ID verification and electronic loan documents, which have significantly reduced the time brokers spend on processing.
Davies discusses the ongoing challenges in the industry, particularly the financial strain from commission clawback and managing work-life balance. He critiques the current system as unfair to brokers, suggesting a revision.
“A fairer system where clawback is applied if the loan is re-written by the same broker or brokerage needs to be explored,” he says.
Davies also points out the need for vigilance against big lenders trying to regain market share.
One memorable challenge in Davies’ career involved untangling cross-collateralised securities for a client who was being unfairly penalised by high interest rates due to their banking arrangements.
“After a considerable amount of work... we were able to split securities, which resulted in the client having two fully unencumbered properties,” he says, emphasising the importance of understanding client financing to manage assets effectively.
Davies offers advice to newcomers drawn from his police career.
“Treat everybody equally, hear but importantly listen to their stories and always look for something coming from left field,” he says.
He stresses the importance of understanding and anticipating clients' needs, underscoring that thorough knowledge of a client's situation is crucial for providing the best service.
Get the hottest and freshest mortgage news delivered right into your inbox. Subscribe now to our FREE daily newsletter.
