Best non-bank mortgage lenders as chosen by brokers
Despite a tough mortgage market and aggressive competition from banks, non-bank lenders are holding their own and continue to capitalise on close partnerships with mortgage brokers.
While non-banks may not be able to compete on interest rates as well as their big bank counterparts, where they do have an advantage is their ability to embrace customers not favoured by banks, such as self-employed borrowers, and take a solutions-based approach to their finance needs.
Working closely with brokers, who many of the non-banks rely on to funnel customers their way, has been even more important for non-bank lenders in the last 12 months as mortgage-holders struggled with ongoing interest rate increases and a cost of living crisis.
Now MPA Brokers on Non-Banks 2023 can reveal just exactly what hundreds of brokers across Australia thought of non-banks’ product offering, services and support.
For the Brokers on Non-Banks survey, brokers were asked to rank non-banks across 10 categories:
- BDM support
- Brand recognition
- Commission structure
- Communications, training and development
- Credit policy
- Interest rates
- Online platform and services
- Product diversification opportunities
- Product range
- Turnaround times
Out of these findings, only those non-banks which achieved a response rate of least 10% of brokers were included in the final list.
The survey also noted brokers’ non-bank preferences in these areas – specialist lending, first home buyers, property investors, commercial, alt doc, SMSF lending and foreign non-residents.
MPA also asked brokers a series of other questions relating to their business with non-bank lenders – for example, top five reasons why they would pick a non-bank lender over a bank, but these did not affect the overall score.
Asked what brokers wanted from non-banks, the No.1 priority was turnaround times, followed by communications, training and development, product range, and brand recognition – all tied for second place.
Industry experts who shared their views on non-banks for the 2023 report included Chris Slater, head of sales and distribution at AFG, FBAA managing director Peter White, and Blake Buchanan, general manager at SFG.
MPA can now reveal that Liberty took out the No.1 spot in 2023 Brokers on Non-Banks, making it the champion for the second year in a row. Pepper Money achieved second place, while Bluestone improved from sixth in 2022 to win the bronze medal this year.
To discover how all the non-banks rated and what brokers said about them, you can read the full 2023 Brokers on Non-Banks report.
