Login
ISCOVER
Brokers have settled more than $2 billion in Mortgage Choice Freedom loans – funded by Athena Home Loans – in two years.
Major brokerage Mortgage Choice has revealed that it has achieved $2 billion in settlements for its white label product, Mortgage Choice Freedom, funded by non-bank lender Athena Home Loans (of which REA Group, which owns Mortgage Choice, now owns a 19.9 per cent stake).
The Mortgage Choice Freedom product suite was first launched in June 2023, with a variable rate, fixed rate, and split loan product.
The products aimed to tackle the ‘loyalty tax’ faced by back-book customers by ensuring that existing customers never pay more than new customers on a like-for-like variable loan.
Instead, as customers pay down their balance, interest rates automatically drop as borrowers move to the next loan-to-value ratio (LVR) tier.
Further evolution of the product suite, which passed $1 billion in settlements in less than 12 months, saw the introduction of a range of specialised lending solutions for borrowers.
Anthony Waldron, the CEO of Mortgage Choice, said the major brokerage was thrilled with the success of the product suite so far.
“The market was hungry for innovation in the home loan industry and a product that directly addressed the ‘loyalty tax’ that was affecting so many borrowers,” Waldron said.
“Our brokers continue to play a vital role in shaping the Mortgage Choice Freedom products and service proposition, which plays a big part in why they continue to resonate with borrowers.”
Meanwhile, Nathan Walsh, Athena Home Loans co-founder and CEO, said the lender was proud of how the products had performed.
“Bringing fair home loans to Aussies has been Athena’s mission since day one. Reaching this significant milestone with Mortgage Choice Freedom means we are achieving just that,” Walsh said.
“Our partnership with the Mortgage Choice team and brokers allows us to drive real change in the industry and put the power back in borrowers’ hands.”
Further expansion
Speaking on The Adviser’s In Focus podcast last year, Walsh said brokers played a crucial role in the distribution of its white label products.
“We see white label products as an opportunity to understand the critical role of brokers, the value and expertise they bring to the table – and that’s expertise around product, around process, all those other components – and then actively partner with them … It’s that close alignment with a partner who’s so clearly centred on a consumer’s best interest[s] that is super exciting to us,” Walsh said.
“We believe that by listening to the network, we can deliver exceptional broker and borrower experiences at each stage of the journey and create powerful proof points for their franchise brand.”
Waldron also commented on the benefits of the white label approach.
“With white label products, we don’t get the channel conflict that you get with other lenders, which allows the broker to truly own that relationship, which is important,” Waldron said.
“Plus, the ability to get close to the lender, give feedback, and make change is important. It really has been a story about listening to brokers at every stage of that journey. And that honest feedback has been such a beautiful part of how we get better day by day, week by week.
“Service levels have also been absolutely outstanding … We’re talking about hours, not days.”
Athena Home Loans also has a white label partnership with aggregation and brokerage group Loan Market Group called Apollo.
[Related: Lender settles $1bn in first year of broker partnership]
JOIN THE DISCUSSION