CBA is leading this shift, with only 32% of its home loans broker-originated in 2025, compared to higher figures at other banks like Westpac (67.5%) and ANZ (67%). To counter shrinking net interest margins—which averaged just 1.8% in 2025—banks plan to hire more lenders and bolster in-house lending efforts. Proprietary channels yield 20–30% higher returns than broker-originated loans, allowing banks to avoid broker commissions and deepen customer relationships.
Despite a 4.5% drop in combined annual cash earnings to A$30 billion, the banks are expanding their mortgage portfolios. CBA grew its mortgage book by 6% to A$664.7 billion, while others saw growth of about 5%. Retail banking now accounts for approximately 45% of profits for these institutions.
For borrowers, particularly those with limited or poor credit histories, this strategic shift may impact the availability and terms of home loans. It's essential to stay informed about these changes and consider alternative financing options, such as no credit check loans, which can offer more accessible pathways to homeownership. However, borrowers should carefully assess the terms and conditions of such loans to ensure they align with their financial goals and capabilities.
