Banks win back mortgage market share
The major banks are continuing to domiante the home lending space, according to new data released by mortgage broker, AFG.
AFG said the number of new home loans processed by major lenders had increased 6.7 per cent since December 2014 on the back of growing competition.
The latest data by AFG found 74.4 per cent of new home loans processed by AFG were from major lenders with Commonwealth Bank gaining the largest market share of 20.8 per cent in April.
This was followed by ANZ (17.2 per cent), and Westpac (12.1 per cent). Among non-majors the largest market share held in April was Macquarie Bank (5.6 per cent), followed by ING (2.8 per cent), and Suncorp (2.7 per cent).
"We're seeing a keener and more diversified market than ever before. Many borrowers are well aware of this and are increasingly using brokers to help them find the best deal," Mark Hewitt, AFG general manager of sales and operations, said.
"The growth of white label products is starting to become a competitive factor, and we expect this trend to grow in coming months."
However, the major lenders performance in some sectors were more successful than others as their share of refinancing loans increased to 69.3 per cent from 58.6 per cent in December 2014. Fixed rate loans processed for non-majors continued to perform strongly with their market share of 38.7 per cent in December 2014 rising to 46.6 per cent last month.
Among first home buyers, more loans were processed for Commonwealth Bank at 24.5 per cent, followed by Westpac (13.5 per cent), ANZ (10.5 per cent), and Keystart (9.1 per cent).
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