The Australian Finance Group (AFG) yesterday released its Competition Index for May 2012, which signalled further gains in market share by non-major lenders.
According to the report, non-major lenders 12-months ago accounted for around 22% to 23% of AFG mortgages each month, but this share has risen by 25% to 29% most recently (see below tables).
Of the big four lenders, CBA, ANZ and Westpac appear to be more focused on maintaining profitability than boosting market share, and are therefore moving away from offering large discounts to individual loans, instead focusing more on maintaining the margin in their overall loan books.
As shown by the below graphic, CBA (26.2% share, including Bankwest) has by far the most active in the embattled Queensland housing market, whereas Westpac (29.0%, including Bank of Melbourne) has grabbed the largest share in the past twelve months of Victoria’s toppy housing market. ANZ also has significant exposures to both markets (16.3% and 20.3% respectively in the past year).
The full AFG report is provided below.
