Why Use a Broker Over a Bank?

If there was still any remaining doubt, it’s now clear as day that mortgage brokers are who the majority of Australians turn to when looking for a home loan.

Highlighting the quality service and support mortgage brokers provide, a recent report commissioned by the Mortgage and Finance Association of Australia (MFAA) found that more than 7 out of 10 Australians trusted mortgage brokers to write their home loans between the months of July and September 2023. This 71.5% market share figure is a significant 4.3 percentage point increase on the previous quarter, and the second highest mortgage broker market share the industry has recorded. This result comes off the back of the news that 11% of Australian bank branches have shut their doors in the year to June 30 2023, indicating a transition towards digital banking and a move away from in-person service.

So how are brokers breaking through the noise? Several factors can be attributed to the growing popularity of brokers, including the fact that they provide education, choice and are legally obligated to act in their clients’ best interests. Plus, the in-person and tailored service they provide sits in stark contrast to some banks and lenders who are adopting an online and automated approach to customer service. More and more, Australians are engaging brokers to assist them with their home loan needs.

“It’s not surprising that mortgage brokers wrote 7 out of 10 home loans during this quarter,” Gerry Pennell shared, co-owner and director of MoneyQuest Essendon. “This can be attributed to our ability to provide borrowers with increased accessibility, and a personalised approach.”

Ms. Pennell also believes the growing market share is due to the variety of services brokers can offer. “Mortgage brokers not only provide borrowers with a variety of home loan

options, but we can cater to a diverse range of financial needs, from investment loans and commercial finance, through to asset finance and debt consolidation. We can also assist those who may not meet the stringent criteria of traditional banks,” Ms. Pennell said.

Without allegiance to any one bank, lender, or financial organisation, brokers are focused on finding the right loan for each client. MoneyQuest brokers have access to dozens of home loan products, giving clients the variety and flexibility they need to achieve their finance goals.

With Australians increasingly relying on brokers, the market share is poised for continuous growth. If you’re in search of a home loan, join the 7 in 10 Australians who trust mortgage brokers to guide them throughout the home buying journey. Contact your local MoneyQuest broker today for personalised and professional credit advice.

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