|Reports of a residential property market downturn is not being reflected in figures released by BetterBond this week. The mortgage originator has reported an 18 percent increase in national home loan grants for the second quarter over the first quarter of this year.|
BetterBond’s second quarter grants were 28 percent higher than for the same period of last year.
Kevin Lancaster, CEO of BetterBond, noted that although most of the company’s estate agent partners had reported the market flattening out this was not reflected in mortgage leads supplied to BetterBond. The first quarter adjustments in transfer duties had a marginal impact on lending.
Average loan size handled by BetterBond had increased marginally. In spite of possible future interest rate increases, Lancaster said the group had not seen a noticeable increase in consumer demand for fixed rate interest products. “We have had a number of queries, but after careful consideration most borrowers have elected to remain with the variable rate option.”
Although some “nervousness” had been detected among developers, BetterBond was still involved in a number of new development launches while new units continued to sell well.