Originators can give a leg up the ladder

BOND originators entered the South African mortgage industry in 1999 and, by 2001, after only two years, originators accounted for approximately 40% of total mortgages granted, says Mandy Waddington, head of marketing at ooba Group.

“Currently, about 60% of all buyers are using a home loans comparison service, such as ooba, to secure finance for their property transaction.”

Shaun Rademeyer, chief executive of MultiNET Home Loans says about 50% of the bond business in South Africa is procured through originators.

“It has been stable over the past few years with the banks’ share of the market being concentrated in the private banking space and origination focused on first-time buyers.”

Kevin Mountjoy, director of Bond Gallery, adds: “Mortgage origination is a mature industry, having been established more than 20 years ago, and has evolved over the years to the extent that mortgage origination accounts for over 60% of all loans registered by the banks.”

The majority of home loans registered by the banks come through bond originators. PICTURE: KINDEL MEDIA/PEXELS