Highest Market Share Recorded
The mortgage broker channel has recorded its highest ever market share result with brokers settling 60.1 per cent of all residential home loans during the July - September 2020 quarter, according to the latest data released by research group comparator, a CoreLogic business, and commissioned by the MFAA.
The September 2020 result is 5.2 percentage points higher than the equivalent 2019 quarter, 1.0 percentage point higher than the equivalent 2018 quarter, and 0.4 of a percentage point higher than the previous market share record of 59.7% set in March 2019.
The value of new settlements recorded in the September 2020 quarter is also the largest by dollar value ever observed, as leading aggregators settled $57.47 billion of new home loans. This represents an increase of $11.43 billion or 24.82% in the value of new lending when compared year-on-year to the $46.04 billion settled in September 2019.
MFAA CEO Mike Felton said the result demonstrates more than ever the critical role that brokers play in supporting their customers and the economy and the impact they have made at a time when they were needed most.
"This phenomenal market share result reflects the tireless support and assistance brokers have provided their customers to help them navigate the challenges posed by the COVID-19 pandemic and the first recession Australia has experienced in 29 years," Mr Felton said.
"It is also evidence of the ever-increasing trust and confidence that consumers are placing in mortgage brokers as our industry faces the imminent introduction of a Best Interest Duty and related reforms. We are confident that these reforms will continue to differentiate our channel and that our industry can look forward to further increases in market share in the years ahead.
"While I am always proud of the hard work and professionalism of everyone in our industry, the way brokers have overcome their own challenges and vulnerabilities this year, maintained their focus on their customer's needs, while achieving their highest market share result to date, has been nothing short of inspirational," Mr Felton said.