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Brokers help Firstmac hit $8bn milestone

The Brisbane based non-bank lender has grown its loan book to more than $8 billion in mortgages under management.

Firstmac announced the milestone today with founder Kim Cannon attributing the growth to competitive products and a “strong” relationship with brokers.

The lender places “great value” on its relationship with brokers, Mr Cannon said, adding that this relationship “underpinned” the lender’s success.

“Brokers play a key role in our business and it is only getting stronger as shown by the record number of Firstmac loans written by brokers in May.”

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Mr Cannon also predicted that Firstmac would reach $10 billion under management “in the near future”.

In a statement, Firstmac said breaking the $8 billion number leads it to becoming the 14th largest residential mortgage lender and strengthens its title as Australia’s largest non-bank lender.

Currently, the lender has $9.3 billion in loan facilities and since December 2016 has issued $2.7 billion in Residential Mortgage-Backed Securities to both domestic and international investors. Of the loan facilities, $1.3 billion is held in undrawn, redrawable offset facilities.

Mr Cannon said: “Firstmac has grown over the past 38 years by bringing simple, affordable, and competitive products to consumers, providing them with a real choice outside the banks.”

“This has been achieved while maintaining a premium-quality loan book with a rate of arrears much lower than the big four.”

[Related: Specialist lender issues $650m in RMBS in 12 months]

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