Australia’s largest mortgage broking group is reporting record-high loan activity, attributing the rise to improved consumer confidence, stable economic conditions and expectations of interest rate cuts. With housing supply remaining tight and household incomes recovering, more homebuyers are turning to brokers who already handle 77% of residential loan activity and may soon reach 80%.
Home loan approvals hit a record high of $63 billion for the 2025 financial year, marking a 15% increase compared to the previous year. The group managing these loans saw a 21% rise in net profit to $35 million and declared a 9.1¢ fully franked dividend per share. The trend is continuing, with July loan submissions reaching $10 billion. This momentum is being driven by the company’s 4200-strong broker network and the extension of services into commercial lending, leasing and asset finance, now worth more than $8.5 billion in total.
The ongoing effect of low property listings appears to be influencing home values, which rose by 1.4% in the June quarter following a 0.9% increase earlier this year. While property price growth benefits mortgage brokers through higher loan values, it may put further strain on housing affordability. Meanwhile, the group’s wholesale-funded lending division has expanded its loan book to $5.5 billion, showing that more borrowers are seeking alternatives to traditional banks.
Despite pressure from banks promoting direct online lending, most Australian borrowers continue to prefer mortgage brokers who often secure better deals, with average interest savings of 0.35% based on industry figures. As broker distribution becomes more important in a low-interest economic cycle, industry stakeholders are aiming to maintain their competitive edge even while regulatory resistance slows efforts to boost third-party lending through public support.
