According to the Mortgage Finance Association of Australia, mortgage brokers contributed 71.8% of the overall market share of all new home loans for the December quarter ended 2023. Mortgage brokers or aggregators are essential in the Australian real estate market.
The Australian housing market is booming due to lower interest rates and the government’s responsible lending reforms to protect the interests of borrowers and brokers. This has directly benefited mortgage brokers and aggregators, as the volume of loan applications is consistently increasing.
To survive in this highly combative real estate market, each broker or aggregator must have a competitive edge over others.
How can they achieve it?
Do you know that a mortgage broker or an aggregator with robust support can work efficiently and quickly process loans?
It is true. What support do brokers and aggregators need for faster loan closure?
We will discuss and arrive at answers to all these questions in this post.
Moreover, we will explore the different supports required for a mortgage broker and an aggregator to work productively.
• Operational support
• Technical support
• Training and development support and
• Customer support is the critical support required.
However, the complex and dynamic nature of the industry prevents mortgage brokers and aggregators from being productive. The challenges involved will include
· Regulatory complexity—The highly regulated mortgage industry must be closely monitored for
changes in rules or regulations.
· Time-consuming processes- Repetitive tasks like loan processing, credit
checks and document verification are time-consuming.
· Technological barriers—Brokers and aggregators must thoroughly understand Advanced tools for
automation, data analytics, and risk assessment before they can implement them.
· Customer satisfaction—Swift response and service are the utmost expectations of any customer.
Only then can brokers or aggregators expand their business.
· Cost management—maintaining an in-house administrative team is an ordeal for small or
medium firms. Brokers are prone to pricing pressure, especially in the highly
competitive industry.
So, what is
the strategy to overcome the challenges?
We have discussed in detail the strategy for
the effective working of mortgage brokers and aggregators.
Sundaram Business Services is a business process outsourcing company with offices in Australia, India and the UK. With over 20 years’ experience in the Australian market in providing outsourced teams to Australian businesses across Accountancy, Portfolio Management, Self-Managed Super Funds, and Mortgage Broker Support, our business becomes an extension of yours.
