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Brokers remain “ideally placed” to give people a pathway to “financial choice and freedom” amid the APRA investor lending crackdown and ongoing lending curbs, members of the industry have suggested.
Speaking to The Adviser, several brokers have emphasised that, a year on from APRA’s changes to investor lending, the industry remains – and will always remain – best placed to help customers achieve their financial goals.
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Debbie Whiting, director of Utopia Financial Services commented: “Markets change but people will always need to borrow. Ninety-six per cent of Australians retire in need of some sort of government assistance, which is completely unsustainable.
“Borrowing for investment gives people a pathway to financial choice and freedom and brokers are ideally placed to change that statistic and increase the number of self-funded retirees,” Ms Whiting said, adding: “That is a golden opportunity.”
Ms Whiting continued that although “the rate of change” in the industry is increasing, “the important thing is not to panic”.
“We need to be early adopters of new processes and technology. We adapt to change,” she said.
CFC Finance’s George Kanellis echoed this sentiment, predicting that in the midst of lending restrictions and other industry changes, such as the increasing role of fintechs, “the market share of brokers will become increasingly important as consumers continue to understand the value of qualified, experienced independent advice”.
Effie Nie of Ayers Home Loans agreed that the ongoing flux in the industry has made brokers “much more adaptive and resilient”.
“Through our practice we have come to form in-depth relationships with clients by adding value throughout [the] entire transaction line, proactively exploring diversification opportunities to enhance overall service propositions, pursuing quality clientele rather than quantity and undertaking comprehensive training to be better equipped,” she said.
“The lending landscape is changing rapidly. As always the great tide washes out the sand and leaves the gold on the shore.”
[Related: APRA crackdown on investors drives unexpected volumes for brokers]
