MFAA Report 2025: The Value of Mortgage and Finance Broking

Landmark report reveals how brokers have shaped the economy

The peak body for the mortgage and finance broking industry has released groundbreaking research detailing the substantial contribution that brokers make to the Australian economy.

The Value of Mortgage and Finance Broking 2025 Report, prepared by Deloitte with the support of industry partners, provides a detailed overview of the industry, building on the insights of the 2018 “Value of Mortgage Broking” report.

To capture the industry's growth and impact, the 2025 report surveyed nearly 900 brokers and also included interviews with brokers, aggregators and lenders.

MFAA CEO Anja Pannek said the Value of Mortgage and Finance Broking Report was the result of extensive collaboration with industry, and it would form the cornerstone of the MFAA’s advocacy and engagement activities in the years ahead.

“This crucial piece of research paints a complete picture of the evolving mortgage and finance broking industry and its contribution to the Australian economy,” Ms Pannek said.

“It shows that the industry has responded well to a raft of regulatory reforms, in particular the changes arising out of the Banking Royal Commission. The mortgage broker best interests duty (BID), introduced in 2021, has only strengthened the trusted relationships brokers have built with their clients. We see this through the increasing size of the industry and mortgage broker market share.

“More recently, in the midst of a heightened interest rate environment and cost-of-living pressures, brokers have helped borrowers navigate their options – for the better,” said Ms Pannek.

“Brokers are helping millions of Australians achieve their goals of owning a home or running a business. It’s clear the value they create for consumers through education and breaking down barriers to access the property market.

“Brokers are also demonstrating value to lenders by working closely with clients, taking the time to get them ‘finance ready’. This can be seen in the way brokers align customers’ needs and objectives with the right lenders, in terms of their offerings, systems and services.”

Deloitte partners John O’Mahony and James Hickey, who led this research, highlighted some of the other key findings.

Mr O’Mahony said there were three key insights that set the 2025 report apart from the 2018 research – foremost being the industry’s response to BID, which had improved trust in the sector, according to 56% of surveyed brokers.

“Secondly, mortgage brokers have increased their role in the Australian market, with 75% of all new Australian residential loans arranged by brokers in 2024, up 18 percentage points from 2017,” Mr O’Mahony said.

“Thirdly, the broking industry has grown to encompass 22,031 mortgage brokers at the end of March 2024, up 29% since 2017. Most importantly for Australian consumers, growth is correlated with improved competition in the banking sector and reduced mortgage interest rates.”

Mr Hickey said the report provided clear, objective evidence of the value brokers delivered to consumers by building relationships and guiding them through a complex marketplace, including by investing 11% of their time upfront in client education, providing an average of three product options to consumers and achieving an average reduction in interest rates of 0.35% where clients were successfully repriced.

Mr Hickey also highlighted brokers' significant impact on first home buyers and regional Australians.

“Our survey finds 45% of brokers’ owner-occupier customers are first home buyers, compared to around 25% in the overall market, and one in four mortgages arranged by brokers are for customers located in regional and rural areas.”

While residential lending remains the core of most broking businesses, 13% of brokers who responded to our survey were active in commercial lending, writing 25% or more of their settlements as commercial loans in FY23/24.

Mr Hickey said commercial and asset finance is an emerging growth area. Those brokers who specialise in this segment broaden the role of the broker in the community by supporting the many small business owners across Australia.

“One of the most valuable insights for brokers is to focus on relationships. Relationships with customers fostered through proactive and personalised communications are everything,” Mr Hickey said.

“Brokers in our survey responded that repeat customers (44%) and referrals (28%) were by far and away the key leads for generating broker business.”

He also urged brokers to keep up with technology to remain competitive.

“Brokers now conduct three times more communication on a digital platform during the broking process since the 2018 report, enabling them to reach a wider customer base,” Mr Hickey said.

The report also reveals the extent of the industry’s impact on the economy – contributing $4.1 billion in economic activity in 2023/24 and supporting the employment of 37,349 workers. The economic contribution is 14% higher than the previous report, when adjusted for inflation.

Mr O’Mahony said the increasing number of brokers, higher market share, continuing high demand for housing, and the revolutionising impact of technology on broking were key factors contributing to the higher economic activity.

Ms Pannek emphasised the unique position of the mortgage and finance broking industry, in which self-regulation and regulation worked together to deliver strong outcomes for Australians.

“This report provides clear evidence of a thriving industry that delivers real value to consumers and increasingly so for business owners,” Ms Pannek said.

“While the sector continues to grow, there is still more to do. We will use this research extensively in the advocacy efforts, to safeguard consumer protections, encourage competition, and ensure our members’ businesses continue to thrive.”

Key report findings

• BID has raised the professionalism of the industry – brokers view BID as having a positive impact on their businesses

• 22,031 brokers as of March 2024 – up 29% from 2018

• 75% of all new residential loans arranged by brokers – up 18 percentage points from 2017

• Choice and competition – industry growth aligns with interest savings for home loan borrowers and greater competition in banking

• Growth in commercial and asset finance – aggregators note annual volume growth of 20% or more

• Industry generates $4.1 billion in total economic activity

• 37,349 jobs supported through broking activity

• Brokers spend 11% of their time educating customers

• 85% hold qualifications equal to or above diploma level

• Repeat customers (44%) and referrals (28%) are key leads for generating broker business

• 45% of brokers’ owner-occupier customers are FHBs

• 0.35% average savings on interest rates for clients who repriced

You can read the full Value of Mortgage and Finance Broking 2025 Report and Infographic here.