Australian borrowers need advice
Mortgage Choice has discovered that more than one-third of Australia’s property loan borrowers have no idea about the loan process, with a further 18.8 per cent purchasing property before organising a loan.
A recent survey of the mortgage broker’s nationwide loan consultant network revealed that only 24.7 per cent of those looking to buy property were considered to be well-informed about the home loan process.
Of the national total, Queensland had the most borrowers with no idea, at 41.3 per cent, while Victoria boasted the most well-informed, at 33.8 per cent.
The survey also found that first homeowner numbers had increased by an average 6.1 per cent since last year.
Investor borrowing had improved in the eyes of the majority of Mortgage Choice’s loan consultants, with 30.6 per cent believing there had been an increase — a great improvement on the 63.8 per cent seeing a decrease last year.
Demand from owner-occupiers was also stronger, with that borrowing group having increased for 64.5 per cent of respondents (38.7 per cent last year) and decreased for a mere 3.3 per cent (33.4 per cent last year).
These results reinforce statistics released by ING, in which 27 per cent of consumers considered it important for their financial planner to offer them advice in regards to buying a home.
Mortgage Choice national manager of corporate affairs Warren O’Rourke said the results reflected the emerging trends brokers saw through daily contact with a vast number and variety of customers.
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