FY22: What does it mean for mortgage brokers?

If we think back to March last year, there was a lot of fear and a huge level of uncertainty on what the pandemic means for the finance sector. We have proven that we’re really resilient. Brokers have been kicking goals and earning over 60 per cent share in the market. 

As we’re closing this chapter and entering the next financial year, it’s imperative to be aware of the market and changing customer needs to stay relevant as well as find your balance between hard work and downtime. 

Let’s get straight into it!

Changes in the property market 

All the government stimulus has really helped to hold the businesses and the market up. A wave of cash has flown into the property market resulting in soaring house prices. But is this growth sustainable? 

The Governor of the Reserve Bank of Australia Phil Lowe noted that this year if people continue to load themselves up with larger mortgages, there would be policy measures taken by financial regulators. The Australian Prudential Regulation Authority will come under growing pressure to impose tight restrictions on loans more than 80 per cent of the value of the property that the banks can write. 

It’s such a confusing time for property buyers right now and brokers will be needed more than ever to help the average person wade through the endless changes and jargon. 

BID will also be a top priority and a selling point for brokers to build customer trust and reinforce their commitment to acting in the best interest of customers. 

Technology continues to transform financial services

It’s a different paradigm shift. The world is changing whether you’re with it or not. Everyone wants convenience nowadays. People want to be able to do things on their phone, and still get personalised advice, to talk about their goals and objectives and consider whether they’re realistic or not. 

This is putting pressure on the financial service sector to step out of the comfort zone and embrace change. Brokers will have to adapt quickly, leverage the right technology and the right support structure to see their businesses grow, and help them work smarter not harder. 

Great tech such as lead or customer relationship management platforms allow brokers to introduce their assistants into the business, seamlessly handover deals, allow customers to upload documents directly into the system, show the loan details and application status,...etc.

Finding balance

As many brokers can attest, in the past 12 months, life has basically become an amalgamation of deadlines, paperwork, waiting on hold, the late nights, the sweat and doubt taunting you while you sleep. Brokers ended up spreading themselves too thin over too many things.

Goal number one for the next financial year is to focus on work-life balance. We believe it’s 100 per cent possible. Success is not just based on scale but also on your happiness. The balance of the business rests heavily on you being happy doing the work everyday. Remind yourself why you’re doing what you do and find yourself moments of joy. That way you can sustainably grow the business in a way that doesn’t cause stress and still get your bills paid. 

If you’re deeply involved in the day-to-day running of your business, how about letting go a bit more and delegating tasks to your staff? Taking a step back and spending more time with your family would be a nice change. 

We hope this article has injected a bit of hope and fighting spirit into your souls as you slog another day at work. Take your time to set proper goals for the next financial year, consider investing in a software that lets you work more efficiently and take inspiration wherever you find it.