Non-bank lenders gain ground
“A competitive alternative” – new Homeloans research shows
Confidence in Australia’s non-bank lenders continues to grow, the latest research from mortgage provider Homeloans Ltd shows. Of the 518 mortgage brokers who were surveyed, 82 per cent said that non-bank lenders are a competitive alternative to the major banks.
“This clearly reflects the market’s confidence in the sector,” says Tony Carn, Homeloans’ general manager of third party distribution. “Rather than being amongst a minority of specialist lenders, companies such as Homeloans are now perceived as being a very real alternative to the banks. And in the past 12 months we’ve been focused on changing how we are positioned in the market to capitalise on this sentiment.”
The Homeloans research also found that 80 per cent of mortgage brokers believe a recognised and reputable brand is important in a mortgage provider, with 33 per cent admitting they would find it difficult to recommend a provider that a client was not familiar with.
“Overall, these findings really ratify Homeloans’ current objective of building our brand nationally. We have made significant investment into elevating our brand awareness via a range of mediums – particularly through the internet. But we still have more work to do on growing our brand presence,” Carn says.
“Over the past 18 months additional Homeloans market research has also identified some key qualities of the Homeloans brand that clearly resonate with borrowers. These include having been established for more than 25 years, having a national presence, and being the recipient of MFAA Excellence Awards in 2009 and 2010.
“Knowing that such elements help borrowers easily connect with Homeloans as a lender, it is now important that we elevate our brand awareness to further promote the great products, price and services we have to offer.”
Flexibility is also vital, adds Carn. “Our research showed that of brokers who have written Homeloans loans previously, 68 per cent believe Homeloans is flexible, with 57 per cent saying that we are innovative.
“It means that a core focus for Homeloans is to continue to provide flexible and innovative solutions to the broker market. This includes a range of credit policies to enable the mortgage provider to accommodate a wide range of applications. In addition, we are constantly seeking new propositions for our customers and brokers.
“We have also introduced a customer benefits program, whereby Homeloans customers can receive discounts and exclusive deals on a range of goods and services, including groceries, fuel, insurance, broadband, dining, and entertainment.”