Mortgages in Australia - Market Research Report

Mortgages industry trends (2014-2019)

poll Average industry growth 2014–2019: -0.5%

The Mortgages industry has declined over the past five years due to low interest rates, falling housing prices since the middle of 2017-18 and tighter lending restrictions. While a lower cash rate typically benefits the industry through greater demand for mortgages and growth in housing prices, these benefits have been offset by declining interest income for lenders and the recent slowdown in property market. The RBA cut the cash rate two consecutive months in June 2019 and July 2019 to a historic low of 1.0%, which has driven revenue declines over the past five years. Industry revenue is expected to decrease at an annualised 1.1% over the five years through 2019-20, to $85.6 billion. This decline has been driven by mounting pressure on major mortgag...
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Mortgages industry outlook (2019-2024)

poll Average industry growth 2019-2024: x.xlockPurchase this report or a membership to unlock the average company profit margin for this industry.

The Mortgages industry is forecast to recover over the next five years. A larger asset base and a forecast rise in the cash rate are anticipated to boost revenue over the period. Profitability is also projected to rise, as operators capitalise on increased assets and wages decline as a share of revenue. The industry is forecast to consolidate slightly, as building societies and credit unions merge or get taken over by larger banks. While some new foreign subsidiary banks are anticipated to enter the industry, enterprise numbers are projected to decline over the next five years. Stronger growth Interest rate fluctuations will likely determine revenue growth over the next five years. The industry has significantly increased its asset base over the pa...
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Mortgages industry statistics

  • attach_money Market Size: $86bn
  • business Number of Businesses: 5,587
  • poll Average Industry Profit Margin: x.x%
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  • supervisor_account Industry Employment: 167,812

Biggest companies in the Mortgages industry

The companies holding the largest market share in the Mortgages in Australia industry include Commonwealth Bank of Australia, Westpac Banking Corporation, Australia and New Zealand Banking Group Limited and National Australia Bank Limited.

  • pie_chart Commonwealth Bank of Australia Market Share: x.x%
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  • pie_chart Westpac Banking Corporation Market Share: x.x%
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  • pie_chart Australia and New Zealand Banking Group Limited Market Share: x.x%
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  • pie_chart National Australia Bank Limited Market Share: x.x%
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What is Mortgages industry?

Industry Definition

The Mortgages industry comprises the mortgage lending activities of authorised deposit-taking institutions (ADIs). ADIs include banks, building societies and credit unions. Industry revenue is generated through interest repayments and fees charged on mortgages. The industry does not include mortgage brokers.

Industry Products and Services

  • Standard variable loans
  • Basic variable loans
  • Fixed-rate loans
  • Line of credit
  • Other loans

Industry Activities

  • Mortgage origination
  • Mortgage refinancing

Market research report - table of contents

Industry Definition

The Mortgages industry comprises the mortgage lending activities of authorised deposit-taking institutions (ADIs). ADIs include banks, building societies and credit unions. Industry revenue is generated through interest repayments and fees charged on mortgages. The industry does not include mortgage brokers.

Main Activities

  • Mortgage origination
  • Mortgage refinancing

Similar Industries

Additional Resources

Industry Statistics Snapshot

Industry Structure

Executive Summary

Key External Drivers

Higher interest rates typically allow lenders to generate more interest on mortgages issued, supporting industry revenue growth. However, rising interest ...
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Residential housing loan rates
Mortgage affordability
Ratio of interest payments to disposable income
Residential property yields

Current Performance

Financial Services Royal Commission
Stronger competition
Capital requirements
 Chart: Revenue Growth

Industry Outlook

First-home buyers versus investors
APRA and monetary policy
 Table: Mortgages in Australia - Market Research Report Industry Revenue Outlook

Industry Life Cycle

Life Cycle Reasons
 Chart: Benchmarking - Mortgages in Australia - Market Research Report Industry Lifecycle vs The Economy

Supply Chain

Key Buying Industries

Residential Property Operators in Australia
Consumers





Key Selling Industries

Financial and Insurance Services
Mortgage Brokers in Australia
Consumers




Products & Services

The Mortgages industry is largely made up of two major mortgage types: fixed-rate loans and variable-rate loans. The variable-rate loan market is far more...
Residential investors
Commercial investors




Demand Determinants

Demand for products in the Mortgages industry depends on several factors. These factors include interest rates on mortgages, which represents the pricing ...
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Major Markets

Residential investors
Commercial investors





 Chart: Major Market Segmentation for the Mortgages in Australia - Market Research Report Industry

International Trade

Business Locations

Chart: Business Locations by State Chart: Business Locations by State

Market Share Concentration

The Mortgages industry displays a high level of market share concentration, with the four largest players accounting for over 80% of industry assets. The ...
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Key Success Factors

Cost Structure Benchmarks

Profit, Purchases, Wages, Other Costs
 Chart: Cost Structure Benchmarking – Sector vs Mortgages in Australia - Market Research Report

Basis of Competition

Internal competition
External competition

Barriers to Entry

 Table: Barriers to Entry Checklist for the Mortgages in Australia - Market Research Report Industry

Industry Globalization

The Commonwealth Bank of Australia (CBA) is a publicly-listed financial institution. CBA was listed on the ASX in September 1991, following the selldown o...
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Commonwealth Bank

 Table: Commonwealth Bank - financial performance

Westpac

 Table: Westpac - financial performance

ANZ Banking Group

 Table: ANZ Banking Group - financial performance

NAB

 Table: NAB - financial performance

Capital Intensity

The Mortgages industry exhibits low capital intensity, due to firms' high focus on customer service. For every dollar spent on wages, an estimated $0.04 i...
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 Chart: Level of Capital Intensity for the Mortgages in Australia - Market Research Report Industry
 Chart: Tools of the Trade: Growth Strategies for Success

Technology & Systems

Revenue Volatility

Chart: Volatility vs Industry Growth Chart: Volatility vs Industry Growth

Regulation & Policy

Industry Assistance

Table: Industry data Table: Industry Data for the Mortgages in Australia Industry

Industry Revenue (2008-2026)
Industry Gross Product (2008-2026)
Establishments (2008-2026)
Businesses (2008-2026)
Employment (2008-2026)
Exports (2008-2026)
Imports (2008-2026)
Wages (2008-2026)
Domestic Demand (2008-2026)

Table: Annual Percentage Change for Key Industry Data Table: Annual Percentage Change for Key Industry Data

Table: Key Ratios for Industry Key Dat Table: Key Ratios for Industry Key Data

Table: Industry Financial Ratios Table: Industry Financial Ratios

Liquidity Ratios
Coverage Ratios
Leverage Ratios
Operating Ratios
Cash Flow & Debt Service Ratios (% of Sales)
Assets, %
Liabilities, %

CASH RATE

FOUR PILLARS POLICY

SECURITISATION

TIER 1 CAPITAL

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Included in Report

  • Industry Financial Ratios
    Industry Financial Ratios
  • Revenue Forecasts
    Revenue Forecasts
  • Historical and Forecast Growth
    Historical and Forecast Growth
  • Industry Market Size
    Industry Market Size
  • Industry Major Players
    Industry Major Players
  • Profitability Analysis
    Profitability Analysis
  • SWOT Analysis
    SWOT Analysis
  • Industry Trends
    Industry Trends
  • Industry Operating Conditions
    Industry Operating Conditions
  • Porter's 5 Forces Analysis
    Porter's 5 Forces Analysis

Why buy this report on the Mortgages industry?

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This report on Mortgages in Australia:

  • Provides Market Size information to assist with planning and strategic decisions.
  • Includes the necessary information to perform SWOT, PEST and STEER analysis.
  • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
  • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.

The Mortgages in Australia market research report includes:

  • Historical data and analysis for the key drivers of this industry
  • A five-year forecast of the market and noted trends
  • Detailed research and segmentation for the main products and markets
  • An assessment of the competitive landscape and market shares for major companies
  • And of course, much more

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