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Connective Home Loans (CHL) has reported 25 per cent growth in its white label home loan portfolio for 2022, totalling $5.5 billion. Its loan book also grew by 25 per cent and finished off the year at $10.9 billion across the portfolio.
Additionally, total applications for CHL during the same period were at $7.8 billion, which according to the group was a “consistent result in comparison to 2021”.
The group attributes the prioritisation of broker education on quality applications and access to decision-makers as a driving force of success, which resulted in the April-June quarter generation of $1.74 billion in settlements, up 65 per cent on the previous corresponding period.
In March 2022, CHL reported $1.05 billion in applications and $572 million in settlements, revealing a rise of 47 per cent and 100 per cent, respectively, when compared to March 2021.
Head of CHL, Michael Goerner, said the exponential growth had been driven by a strong pipeline of applications in addition to the right team and excellent relationships with lender partners making the process easy for brokers.
“Last year a big focus for us at CHL was broker education which resulted in excellent quality applications and strengthened client relationships — and that translated to strong business results for our brokers,” Mr Goerner said.
“Our conversion rate significantly jumped in 2022, closing out the year at above 70 per cent in conversions of applications to settlements — a testament to the success of our brokers.”
Mr Goerner added that CHL provided its brokers with the tools to “cater [to] the moving needs of clients during uncertain economic periods”.
“Credit isn’t the same as it was 12 months ago — what was a prime loan in 2021 might not have been approved in 2022,” Mr Goerner said.
“So, we focused beyond prime to alternatives like near prime, specialist, or SMSF solutions. This enabled our brokers to diversify their offering and cater to more clients in a unique lending environment.
“We’ve focused on ensuring we have the right people in the right roles, with our national support team growing in 2022 with three new BDM roles created.”
He concluded by stating that 2023 will be the year of evolving and extending broker support while ensuring the right mix of products were available at competitive prices.
“Already this year we’re seeing so many cashback offers popping up to entice borrowers and we expect this to remain constant throughout the year,” Mr Goerner concluded.
“It’s important brokers educate their clients on what is in the best [interests] for them long term — and often getting a great deal with a low rate will save clients a lot more money in the long run.”
[RELATED: CHL achieves record growth in FY22]