Brokers help Macquarie grab greater share of home loan market at major banks’ expense

The Finance Brokers Association of Australia (FBAA) says Macquarie Bank’s surging home loan book shouldn’t come as a surprise, as brokers connect even more borrowers to its innovative offerings.

FBAA managing director Peter White AM said the fresh Macquarie results, which reveal the lender grew its share of the mortgage market from 5.7 per cent to 6.5 per cent over the last six months, is a sign of healthy marketplace competition and increased consumer choice.

“Brokers are bound to represent the best interests of their clients, and it's clear they're backing Macquarie because it’s delivering results,” Mr White said.

“Ninety-five per cent of Macquarie home loans are now being originated through its broker channel, indicating that borrowers are becoming increasingly discerning amid growing product innovation.

“Unlike the major banks, Macquarie isn’t relying on the same old products to drum up business – instead, they’re responding to consumer-driven demand, and it’s paying dividends.

“Brokers recognise a good deal when they see it and will only take the very best offers to their clients, whether it’s from Macquarie or any other lender.”

According to Mr White, the fixation from some major banks on increasing branch lending and reducing support for broker channels is short-sighted and “misses the point.”

“The home loan market is more competitive than ever and increasingly driven by innovation, yet bizarrely some banks want it to be a closed shop, where they carve up the spoils,” he said.

“Increased competition is giving consumers more choice than ever and it’s clear they’re overwhelmingly putting their trust in mortgage brokers.

“It never ceases to amaze me that some banks view brokers as competitors, given the volume of loans brokers originate for them.”