Vincent Turner
12th October 2022
Once again the RBA cash rate has remained unchanged at 1.5%
In all of the noise, it’s hard to see what this even means anymore.
- Business profits are up
- Wage growth is slow
- Interest only loans are a thing of the past (maybe, but not just yet)
- Smaller lenders are cheaper than larger lenders – or are they??
Rather than adding to the noise, let’s look at some solid data we’ve gathered after 1 year in operation. (yay – happy birthday UNO…)
- 74% of mortgages found through unohomeloans.com.au settled with non-major lenders. This means there are deals out there that the big banks can’t compete with, especially while APRA continues to tighten the screws. The really interesting thing about this is that it’s the complete polar opposite to the market where 82.7% of home loans are signed by the big banks. Which, if you think about it, is super-scary because it means a lot of people could be getting a much better deal…
- We estimate that only 3% of the mortgage market originates digitally right now (consider yourself a savvy early adopter who knows a good deal when you see one) but a research report from Deloitte², commissioned by the Mortgage & Finance Association of Australia (2016), found that 27% of broker customers and 3% of direct-to-lender customers would consider an online mortgage application so there are a lot of people still missing out on the deals the digital revolution is delivering…
- Our biggest learning over the past 12 months is that we need to make it a lot clearer that a digital mortgage service (UNO) does not equal self-service…
Our 76 hour a week service levels provided by expert, qualified mortgage advisers with 5 -10 years of mortgage experience is at the centre of the value we deliver.
This availability is higher than what people are experiencing via traditional bank or broker relationships.
Busy people like you love this high touch digital assistance. They don’t have time for the traditional methods.
Higher availability of service, teamed with quality advice, isn’t being provided anywhere else and is an expectation from consumers in a digital economy.
In short, chances are that if consumers are not using a digital service to find a mortgage, then they’re probably paying too much…
E.g. would you have known about this cracking 3 year fixed rate deal we have available right now for just 3.79%* (4.48% comp. rate)¹ if you weren’t part of the digital revolution??
Maybe, but only with a lot of legwork on your end…
“It’s clear to us that within 5 – 10 years the majority of home loans will be sourced through digital mortgage platforms – and we absolutely intend to lead that category.” Vincent Turner CEO UNO.
*Purchase or refinance, owner occupied only. Lender rates and products may change. We cannot recommend a product until we have double checked that the home loan is suitable for you. 1 WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. The comparison rate is calculated on the basis of a loan of $150,000 over a term of 25 years. 2 KPMG analysis into Big Four Banks, November 2016.
