Growth driven by strong broker network and diverse product offering
Connective Home Loans (CHL) reported strong growth for the financial year ending June 2024, with a 15% increase in settlements totalling $4.5 billion.
The white-label home loan portfolio, part of aggregator Connective, also saw an 8% rise in applications lodged, reaching $6.22 billion. A record 54% of Connective brokers used Connective Home Loans in FY24, a 4% increase from the previous year.
Michael Goerner (pictured), head of Connective Home Loans, attributed the success to the portfolio’s broad offering and focus on service quality, which he said met the needs of a growing number of clients.
“The past financial year was marked by a complex lending environment due to persistent inflation and rising interest rates,” Goerner said. “It’s our breadth of lending solutions and expert team that are driving our growth. We are providing brokers with the tools they need to efficiently serve clients and identify and access solutions across multiple lenders more quickly.”
CHL also reported that near prime lending doubled as a proportion of all transactions, now constituting 50% of all deals, compared to 25% in previous years.
“We’re providing viable solutions for over 95% of all client transactions, accommodating every customer type - from those looking for a straightforward home loan, to those needing specialist finance such as self-managed super fund (SMSF) and commercial lending,” Goerner said.
He also highlighted the importance of product education for the CHL business development team and Connective brokers, which has led to improved customer experience and a higher application-to-settlement conversion rate. As of June 2024, this rate reached 72%, up from 67% the previous year.
“Our goal is to match borrowers’ financial goals with the right loan product – and we want our brokers to be able to identify suitable lending solutions easily and confidently for their clients,” Goerner added. “By providing brokers with the tools, knowledge, and dedicated support, we have enabled them to deliver exceptional outcomes for their clients and grow their businesses during a challenging time.”
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