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The Reserve Bank of Australia's decision to cut the official cash rate by 25 basis points in both November and December is helping to buoy broker volumes.
Speaking to The Adviser, Mortgage Choice broker Tony Wills said in his 11 years as a broker, he had never been so busy over the Christmas period.
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"I am going to settle just over $7 million myself this month," he said.
"I would put this down to the recent rate cuts. I have definitely seen an increase in people seeking finance since November. Traditionally lower interest rates spark the market and with the banks passing on the rate cut before Christmas, it has given a much needed confidence boost."
Mr Wills said the majority of his business was coming from investor clients followed by upgraders.
"While the number of first home buyer enquiries has also gone up, investors are really dominating the market at the moment.
"I can confidently say we have had a 30 per cent increase in people looking for loans."
Citibank's head of broker distribution, mortgages Aaron Milburn said Mr Wills wasn't alone, as many brokers are currently enjoying a surge in activity.
"The brokers I have spoken to have all said they saw a jump in activity over the Christmas period. In fact, many said that they are just as busy now as any time of the year," he said.
AFG's Mark Hewitt agreed.
"At AFG things have continued on in December as they left off in November - our members look like being 15 to 20 per cent up on December 2010," he said.
