“Complexity in borrowers’ financials is no longer the exception, it’s the norm,” said Aaron Taylor (pictured right), head of non-standard lending at Bluestone. “Brokers who are supported to navigate these scenarios by lenders that take a more flexible, real-world view of income and credit are the ones best positioned to grow.”
The report identified self-employed borrowers as the segment most underserved by major lenders. It said 1.1 million Australians fall into this category, while 42% of brokers ranked self-employed clients as their hardest cases to place.
Bluestone said the findings also challenge common views on pricing. Only 29% of brokers named rates as the main barrier to placing complex loans, with credit policy and incomplete lending solutions seen as larger issues.
“Rate is often a smokescreen, the real issue is policy,” Taylor said. “When lenders can assess the full picture rather than just tick boxes, more deals get done and better outcomes are achieved for their clients.”
The report also pointed to a skills gap in the broker market. It found that 68% of brokers want to write more specialist loans, but 46% said they lack confidence in doing so.