Mortgage Brokerage Services Market Expected to Reach $74.3 Billion by 2033

According to a new report published by Allied Market Research, titled, “Mortgage Brokerage Services Market," The mortgage brokerage services market was valued at $36.5 billion in 2023, and is estimated to reach $74.3 billion by 2033, growing at a CAGR of 7.3% from 2024 to 2033.

The mortgage brokerage services market trends are shaping the landscape. There is a noticeable surge in the adoption of digital technology and automation. Mortgage brokers are increasingly leveraging advanced software and digital platforms to streamline the application process, making it more efficient and convenient for both brokers and clients. This trend is not only improving the speed of transactions but also enhancing the overall customer experience. In addition, with the growing complexity of mortgage products and the diverse needs of borrowers, brokers are focusing on providing tailored advice and solutions. They are taking the time to understand each client's unique financial situation and goals, ensuring that they receive the most suitable mortgage options. Moreover, sustainability and eco-friendly financing options are gaining traction in the mortgage brokerage services market opportunity. As environmental awareness grows, there is an increasing demand for green mortgages and energy-efficient home financing solutions. Brokers are aligning themselves with mortgage lenders offering these sustainable options, catering to the preferences of environmentally conscious borrowers. In addition, regulatory compliance and adherence to industry standards are becoming important. Brokers are investing in rigorous training and professional development to stay updated with the latest regulations and ensure that they provide ethical and transparent services to their clients. This commitment to compliance helps build trust and credibility in an industry where integrity is highly valued.

Furthermore, major players in the market are entering into partnership to cater to the changing consumer preferences and offer more enhanced services to their customers. For instance, on October 20, 2023, Mortgage brokerage Resolve Finance and Funding.com.au (Funding) announced a new partnership to enhance opportunities for brokers and their clients, allowing Resolve Finance’s brokers to access Funding’s suite of bridging, business and building loan products. Funding specializes in short-term loans secured by property, which can allow borrowers to benefit from same-day approval and settlements within 48 hours. According to Funding, its state-based business development managers (BDMs) and Gold Coast-based credit team work closely with brokers to present flexible offerings while its proprietary built software platform allows for efficient credit underwriting.

Furthermore, on April 18, 2023, RESAAS Services Inc., a leading provider of technology solutions for the Real Estate Industry, announced a preliminary partnership with Rocket Mortgage Canada. Rocket Mortgage Canada is a digital mortgage broker, using technology to deliver a revolutionized mortgage process. The partnership introduces a unique way for real estate agents to add value to clients by offering access to a simplified mortgage process through Rocket Mortgage Canada. Thus, such strategies adopted by players in the mortgage brokerage services industry will enhance the mortgage brokerage services market growth across the globe and it will further increase the adoption of mortgage brokerage services policies in the upcoming years.

On the basis of end user, the individuals segment is the highest growing segment. This is because more and more people want to buy homes for themselves and their families. This growing desire for home ownership is likely to lead to an increase in the need for mortgage brokerage services for individuals. They will seek brokers to help them find the right mortgage options that fit their budgets and financial situations, making the individuals segment the fastest growing in the mortgage brokerage services market. However, the businesses segment is expected to be the fastest growing segment during the forecast period. This is because many companies need loans to buy or improve their places of work, like offices or stores. These loans are usually bigger and can be more complex, so businesses often seek help from mortgage brokers to find the best deals.

North America has secured the largest share in the mortgage brokerage services market in 2023 because it has a well-established and highly developed real estate market. Many people in North America look to buy homes or invest in properties, and this high demand for mortgages creates a thriving market for brokerage services. In addition, North America has a strong financial infrastructure, making it easier for people to access mortgage loans. On the other hand, Asia-Pacific is expected to experience the fastest growth in the mortgage brokerage services market. This is because countries in this region, such as India, China, and others, have a rapidly growing middle class and increasing urbanization. As more people in Asia-Pacific achieve better economic stability, they become more interested in buying homes or investing in properties. This surge in demand for mortgage consulting drives the need for brokerage services, making the Asia-Pacific region the fastest-growing segment in the market.

Key findings of the study

• By application, the residential property loans segment led the mortgage brokerage services market in terms of revenue in 2023.
• By interest rate, the fixed rate segment accounted for the highest mortgage brokerage services market in 2023.
• By distribution channel, the offline segment accounted for the highest mortgage brokerage services market share in 2023.
• By end user, the individuals segment accounted for the highest share in the mortgage brokerage services market size in 2023.
• By region, North America generated the highest revenue in 2023.

The report profiles the key players operating in the mortgage brokerage services market analysis such as Bank of America, Flagstar Bank, Guild Mortgage Company, HDFC Bank Ltd., loanDepot.com, LLC, Meridian Capital Group, LLC, Mortgage Choice Pty Limited, Rocket Mortgage, United Wholesale Mortgage, Better Mortgage Corporation, Fairway Independent Mortgage Corporation, NerdWallet, Inc., Aussie Home Loans, Habito, Trussle, Freedom Mortgage Corporation, Redfin Mortgage, CrossCountry Mortgage, LLC, Guaranteed Rate Inc., and Wells Fargo. These players have adopted various strategies to increase their market penetration and strengthen their position in the mortgage brokerage services market.