Following last week’s announcement that the mortgage broker channel has reached record residential home loan market share at 59.7%, industry leaders have directed attention to the sector’s broader contribution to the economy as well.
According to Deloitte Access Economics, the mortgage broking industry contributed $2.9bn to the Australian economy in 2016-2017, a figure which has likely climbed yet higher as the market share has continued to swell. Additionally, the industry supports the employment of more than 27,100 full-time workers.
The same report definitively concluded, “Mortgage brokers make mortgage markets work better.”
CEO of Mortgage Choice, Susan Mitchell said, “These new figures highlight the significant contribution the mortgage broking channel delivers to the Australian economy, especially in the context of a weaker overall property market and at a time when tougher lending practices are at play and credit is restricted.”
“As housing affordability continues to challenge many home buyers, brokers perform a vital service at no cost to the borrower. This includes a unique combination of choice and price discovery, coupled with the experience and expertise to help guide them through an increasingly complex environment.”
“In what must be described as the strongest customer vote of confidence yet in the mortgage broker channel, the future looks bright for the country’s 17,000 brokers,” she added.
Other industry players have also welcomed the news. Non-bank lender Resimac expressed that it was “not surprised” by the record data.
“The market has spoken. These figures are testament to the hard work and high standards maintained by Australia’s mortgage brokers. In these uncertain times, people appreciate the role of brokers as trusted advisers, providing choice, including access to lenders like Resimac, and guidance for their customers,” said Daniel Carde, Resimac GM of third party distribution.