03 March 2021|2 minute read
Demand from first home buyers has lifted the total settled loan volume of Australia’s leading mortgage broker, Aussie, in Western Australia by around 17 per cent, to over $546 million in the year to the end of January 2021.
Aussie posted an 8 per cent lift in loans during 2020 for first home buyers, who are driving growth in the WA market off the back of continuing historically low interest rates and the range of Federal and West Australian Government measures to support them.
Refinancing activity made up around 25 per cent of the volumes and should continue, with Aussie’s 2020 research of more than 1,000 mortgage holders finding 70 per cent believed the market conditions represented a good time to refinance their home loans.
Aussie is riding the property recovery in the state, with CoreLogic figures in the year to January 2021, showing annual property sales volumes have grown over 23 per cent in Perth and almost 40 per cent in regional areas, while housing values over the past 3 months to January have grown 3.8 per cent in Perth and 4.3 per cent in regional Western Australia.
CEO of Aussie James Symond said, “The West Australian loan market is being dominated by very heavy competition amongst lenders, especially in their fixed rate products, and this should continue as both fixed and variable interest rates continue to be sharpened.
“We are very confident that Aussie’s loan volumes will continue to grow in the state, amid a stronger property market and despite the ongoing economic and social pressures caused by the COVID-19 pandemic.
“Mortgage brokers, who provide more than 60 per cent of home loans in Australia, are proving their worth in Western Australia at this time as they are helping borrowers navigate their way through the abundance of products and government schemes currently available, as well as the often daunting task of securing a mortgage.
“We are seeing confidence of consumers return in the state’s property market and I believe the comeback for the West Australian property market will continue for some time, especially with the continuation of government schemes to help first home buyers enter the property market.
“Many of our brokers are currently working around the clock to help customers with their loan applications, with appointments up almost 30 per cent over the last year and we are expanding the number of brokers and stores to meet the demand for assistance,” he concluded.
Aussie was founded in 1992 by John Symond and was widely credited for bringing competition to the Australian home lending industry. For nearly 30 years, Aussie Brokers have put progress within reach of more Australians, helping 1.5 million customers with their home loan. Today, Aussie has the largest retail footprint of any mortgage broker brand in Australia.