MPA Leaders Live: Non-Banks Banks Panel 2019

MPA Leaders Live: Non-Banks Banks Panel 2019

The annual live-streamed MPA Non-Banks panel will be held on Wednesday 30th of October 2019 at 12:30pm AEDT

Panel features:

  • – La Trobe Financial – Cory Bannister
  • – Liberty Financial – John Monacheff
  • – Resimac – Daniel Carde
  • – Pepper – Aaron Milburn
  • – Mortgage Ezy – Joanna James
  • – Loanworks – Yotta Agamemnonos
  • – Ondeck – Michael Burke

Keeping the Australian dream alive

 

Joanna James of Mortgage Ezy discusses the company’s commitment to filling gaps in the Australian housing marketFinding home loan solutions for a diverse group of people – regardless of race, religion or style of living – is at the heart of Mortgage Ezy’s business mantra. Unwilling to pursue a cookie-cutter approach to loans, the company instead strives to embrace a variety of brokers and potential mortgagors who may not meet a bank’s preferred profile.

According to Joanna James, general manager at Mortgage Ezy, the egalitarian nature of Australian society has created a long-standing goal for most Australians to be able to buy and eventually own their own home outright.

“If we move to a situation where all borrowers are not able to access finance and it is simply provided to the elite, the Australian dream will be shattered,” says James. “This will create a class of renters for life, which I don’t think anyone wants to aspire to.”

James believes that renting up until retirement age would be a major disadvantage for the individual, as rents tend to increase year-on-year. By contrast, mortgage rates are comparatively stable and should only reflect interest rates of the day.

“The biggest gap in the market comes when borrowers whose first language isn’t English are unable to communicate their needs and wants” Joanna James, Mortgage Ezy

It’s an approach to homeownership that’s reflected in the company’s loaning philosophy, for both existing citizens and new Australians. Though there has been a broader trend of banks avoiding issuing loans to non-residents, alt-doc borrowers and self-managed super clients, Mortgage Ezy has continued lending to this class of borrowers. So much so, James notes, that those who are self-employed can also qualify for low-prime rates, putting down as little as a 20% deposit on a home loan.

“Australia’s greatness has been based on its immigrants,” says James. “Contrary to some people’s beliefs, immigrants support the general overall economy and often start up small businesses that create more job opportunities for Australians.”

James is quick to point out that non-residents frequently buy property prior to moving to Australia, or to provide their children with a home when they attend university. Others who purchase investment properties offer much-needed stock for permanent rentals.

“As the Foreign Investment Review Board prevents non-residents from buying established properties, the impact on the current housing market is minimal,” says James. “Non-residents provide valuable stimulus to the construction industry instead.”

Mortgage Ezy has also taken great strides towards providing discounted rates to all clientele regardless of their situation.

“People don’t need to request a large loan or be in the top income bracket to receive a rate cut.”

As an added bonus, borrowers are also excused from paying a monthly or annual fee on the life of their loan. Loan fees, James notes, are a major bugbear for modern borrowers. When they were first implemented just over 20 years ago, they averaged around $2/month. By contrast, today many sit at around $30/month, amounting to hundreds of dollars a year.

“The longer the loan runs, the greater the percentage of the loan cost the fees end up accounting for,” says James. “So a fee-free loan is a huge advantage for borrowers seeking security for the actual cost of finance.”

“Australia’s greatness has been based on its immigrants. Contrary to some people’s beliefs, immigrants support the general overall economy” Joanna James, Mortgage Ezy

According to James, the key to helping a diverse range of borrowers is to be understanding and open to differences that are important to them. It’s not just a diverse customer base that is at the heart of Mortgage Ezy’s operations; the company also promotes inclusion within its workforce in order to elevate its services when catering to people from different backgrounds.

“As far as possible, one’s workforce should reflect cultural differences and the tolerance needed to respectfully deal with each and every Australian,” she says. “We have several programs that cater to different communities – these range from sharia loans right through to non-resident loans.”

James notes that a number of Mortgage Ezy staff can speak Mandarin, Indonesian and Vietnamese, among other languages. It’s something she sees as vital for the present and future success of the organisation.

“The biggest gap in the market comes when borrowers whose first language isn’t English are unable to communicate their needs and wants,” says James.

While Mortgage Ezy’s credentials in the Asian community have long been established among customers and brokers alike, James hopes to attract brokers who are exploring other niches that the banks do not cater to.

“We must remember especially as we move further into the age of technological innovation that we are in the business of serving people,” says James. “At Mortgage Ezy, we strive to promote a culture that embodies the very essence of this, creating diverse and inclusive solutions for all of our team and the people that we serve.”

In Focus: How the health of homes will impact the mortgage market

In this episode of In Focus, host Annie Kane is joined by Joanna James, general manager of Mortgage Ezy, to discuss how the health of homes may impact mortgage lending. 

As well as managing non-bank mortgage lender Mortgage Ezy, Joanna is also passionate about property from an architectural, building and building biology point of view. To help brokers learn more about this growing field of interest, Joanna joins In Focus to reveal how buildings may be affecting our health, the ins and outs of building biology, and why she believes mortgage brokers need to be aware of its potential impact on the mortgage market.

In this episode, tune in to find out:
  • What building biology is and why it is important
  • How Building Biology can be a unique value add for your clients.
  • How Building Biology could affect lending and investment in the future

 

And plenty more!
morgage-professinal-australia

The non-banks on a new era of lending

Industry news as published in MPA Magazine – Otiena Ellwand | 05 December 2018

 

Industry news as published in MPA Magazine – Otiena Ellwand | 05 December 2018

Eight leaders discuss the royal commission, broker remuneration and the opportunities emerging from change.

Confusion and complexity have defined this year’s lending environment for both brokers and borrowers. With added compliance pressures and a contraction in credit, brokers have had to lift their game, explore new opportunities and seek solutions elsewhere. These headwinds have motivated them to begin adapting and evolving – actions that will strengthen their businesses to withstand future challenges. And maybe it was time for this awakening.

Read the full article here

 

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