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Borrowers look to smaller lenders

More Australians are considering a switch to a smaller lender, a new survey has revealed.

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In a poll of 1,475 Australians by realestateview.com, an online property listing site, 57.5 per cent of respondents agreed that the majors’ out of cycle rate rise would make them consider switching to another lender.

“We definitely don’t see this changing anytime soon, especially if the big four break rank with the RBA again and raise mortgage rates this month,” the general manager of realestateVIEW.com.au, Petra Sprekos, said in relation to the annual Appetite to Buy survey.

Additionally, 41.3 per cent of respondents believe further interest rate rises will keep buyers out of the market this year.

22.6 per cent of participants claimed they had plans to buy this year until last month’s shock decision by the big four to raise interest rates.

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Interest rates and housing affordability continue to unsettle potential home buyers, the survey found.

“Our survey shows that while interest rates are a key concern for buyers, there are other factors such as household expenses and job security influencing their ability to purchase,” Ms Sprekos said.

“Consequently, we’re finding most are adopting a ‘wait and see’ approach.

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