Powered by MOMENTUM MEDIA
Powered by MOMENTUM MEDIA
subscribe to our newsletter
subscribe to our newsletter

Majors lose mortgage market share

Fresh figures from the prudential regulator reveal two big banks lost market share over the 12 months to March.

Released yesterday, the latest APRA banking statistics show the total value of owner-occupied loans in March 2015 was $867.47 billion, increasing by over $60 billion from $806.53 billion in March 2014.

The total value of investment loans in March 2015 was $469.41 billion, increasing by over $49 billion from $419.95 billion in March 2014.

Advertisement
Advertisement

Finder.com.au spokesperson Michelle Hutchison said that while CBA holds the greatest market share (26.9 per cent) in the owner-occupied loan market out of all banks monitored by APRA, it lost the most market share of the big four banks in the past year, down 0.7 percentage points (it was 27.6 per cent in March 2014).

“Westpac had the greatest market share (31.7 per cent) in the investment home loan category, maintaining their position of market leader in March 2015 although dropping slightly (then 32 per cent),” Ms Hutchison said.

CBA had the biggest drop in market share in the investment home loan category, dropping 0.6 percentage points to claim 26.6 per cent market share in March.

Ms Hutchison said: “It’s not surprising Commonwealth Bank is losing market share, as its current standard variable interest rate is the third highest of the big four banks, sitting at 5.65 per cent, compared to the lower (5.63 per cent) rate being offered by both NAB and ANZ.”

More borrowers are clearly comparing home loans and switching to cheaper deals where they can save potentially a significant amount of money, she said. 

“For instance, for every 0.25 percentage points for a $300,000 home loan, you could save about $50 per month.”

Majors lose mortgage market share
mortgagebusiness

Latest News

Liberal senator for WA, Dean Smith, is calling on lenders to convert principal and interest home loans for investors into interest-only repa...

Expectations of an increase in margin pressures and a “significant deterioration” in asset quality have prompted Moody’s to downgrade ...

The central bank of New Zealand has frozen the distribution of dividends on ordinary shares across all banks in the New Zealand market, aff...

FROM THE WEB
podcast

LATEST PODCAST: Managing the influx of COVID-19-related loans

Do you expect COVID-19 to reduce or increase your business flows?

Why we’ll keep delivering for our communities in the face of COVID-19

alex

As Australia tries to keep pace with a rapidly changing business and social landscape in the wake of COVID-19, Momentum Media is leading the way delivering essential content to our communities, writes Alex Whitlock, director of Mortgage Business.

Read more

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.