New report ranks small and large lenders
Macquarie Bank has ranked first for home loans across metrics like credit growth and mortgage broker experience, while ANZ is trailing its competitors, according to a new report.
Jarden’s Mortgage Competition Tracker analysed lenders’ three-month annualised credit growth, home loan pricing and broker experience, according to The Australian. The report then ranked large and small lenders according to their scores. The report was led by Carlos Cacho, Jarden’s chief economist.
“We find among the larger lenders that Macquarie is the clear standout, while among the smaller lenders Bendigo and Adelaide Bank is performing the best,” the report said. “ANZ remains the laggard, dragged down by below-average rankings in all categories.”
The report noted that ANZ’s turnaround times had improved. However, the bank ranked fifth behind its big four competitors and Macquarie for credit growth, and fourth for broker experience and pricing.
National Australia Bank ranked fifth in pricing, while Westpac took fifth for broker experience, The Australian reported.
Macquarie took first for credit growth and broker experience, while Westpac had the top score for pricing.
Commonwealth Bank came in second overall, ranking second in broker experience and third in pricing and credit growth.
The report also predicted that competition in the mortgage market would heat up as $500 billion in fixed rate loans neared their expiration, according to The Australian.
Jarden said that competition “remains intense” among regional lenders.
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Suncorp ranked second among regional lenders behind Bendigo and Adelaide Bank. ING and AMP were third and fourth, respectively, while Bank of Queensland brought up the rear in the fifth spot.
Jarden had a positive outlook for the upcoming profit season for some of the banking sector with rising interest rates boosting net margins. However, the broker was still cautious with its outlook, The Australian reported.
“We continue to have an underweight view on the sector, and expect the accelerating housing correction to weigh on performance,” Cacho said.
