Mortgage brokers secure higher home loan market share: MFAA

The market share of new residential home loans originated by brokers and aggregators increased to 53.7 percent in the first quarter this year, according to a new report by the Mortgage & Finance Association of Australia (MFAA).

This was an increase of 1.9 percent from the previous quarter and represented an average growth rate of 21.5 percent over the prior three years.

But the total value of broker-originated loans across the country dropped by 1.5 percent to just over $92 billion in the six months prior to the end of March 2016.

The Australian Broker website also reported the size of the broker community grew by 6 percent to 14,379 from September 2015 to March 2016, based on information gained by the MFAA from Australia’s 13 biggest aggregators.

The 13 aggregator groups make up 95 percent of the industry, making around 15,000 brokers in Australia.

NSW accounted for 42 percent of all new lending originating from brokers despite only having 35 percent of the total national broker population.