Lender now working with brokers

by Madison Utley31 Jan 2020

The only non-ADI on the panel of lenders chosen to participate in the government’s First Home Loan Deposit Scheme (FHLDS) has announced plans to distribute the loans through mortgage brokers as part of its broader efforts to establish a third-party channel.

As of tomorrow, 1 February, the next batch of spots under the scheme will be made available through 27 selected lenders.

Non-bank Mortgageport has decided to use the opportunity to commence working with mortgage brokers across all states.

The group hopes to not only work with brokers within the confines of the scheme, but to establish a lasting relationship with the channel, calling this announcement the “first step” towards achieving its goal of partnering with mortgage brokers looking to grow their businesses.

Mortgageport will be offering scheme-backed loans to eligible customers at a variable interest rate of 2.99% per annum with no ongoing fees with a range of fixed interest rates from 1 to 5 years. 

In addition to the first home buyer mortgages provided under the scheme, the non-bank offers a range of other products including construction loans, investment loans, bridging loans, loans for the self-employed, car loans and SMSF property loans. 

Managing director Glen Spratt said, “Mortgageport wants to work with a select number of experienced and larger mortgage brokers collaboratively and provide an offering that will help them attract new customers, not just service their existing customer base.”

The lender plans to accredit mortgage brokers directly instead of offering the product through mortgage aggregators.

“We believe the direct accreditation model will result in closer relationships with our brokers, where we can work together to help them differentiate themselves from other mortgage brokers,” said Spratt.