Large City Mortgage Brokers

Ruby Anderson, Taupo mortgage broker at

Most of the demand for mortgage brokers in New Zealand comes from the small handful of large size where most of the property transactions are taking place. In these large cities the competition for mortgage brokers is intense, and none more so than in the area of Google search on Internet. Some years ago a very small handful of large mortgage broking companies worked out that Internet search was going to become the dominant marketing tool for mortgage brokers simply because that was the dominant trend for people searching for products and services. These companies invested a very large amount of money to make certain that they were well positioned in this market.

At the time the companies that made this investments may not have been large but they were certainly very ambitious and in some cases individual mortgage brokers took out a mortgage on their house and their parents house for example in order to fund their business start up. They would have spent a lot of money on hiring very good mortgage brokers but they would have also spent a very large amount of money on marketing, and particularly on developing their website and optimising it for Google search. At the time this would have taken a great leap of faith, because the actual performance of Google search was and still is only truly understood by a small proportion of the market (check out for more details).

The truth is that for Google search the only results that matter are those websites that end up in the top three positions, as these three websites will collectively attract over 65% of all the Google search traffic for any particular search term, and the remaining 35% will be distributed among everybody else, which could be many dozens of other websites. Anybody understanding that very important fact realises that nothing is more important than making sure their website ranks in the top three for all the major search terms of mortgage brokers in New Zealand. The importance of this dwarfs anything else in terms of how they structure their company, because they simply attract so much new business to their website.

In the New Zealand market the small handful of countries that have understood this and made the necessary very significant investment are doing very nicely, as even in quiet times they have a steady stream of new clients coming in through the door everyday. This actually skews the market somewhat, as these large companies get so much new business that they can afford to be fairly brutal in filtering out the customers before they fire them on to the mortgage brokers. These large broking companies tend to dominate the easy clients that are going to be straightforward with their applications, and they leave the rest of the independent and smaller brokers to handle all the remaining clients who have difficulties and so will not be guaranteed to get a mortgage.

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