Mortgage Force to merge with Smartline

One of Western Australia's oldest brokers, Mortgage Force, has agreed to merge with Sydney-headquartered Smartline to create an entity with a loan portfolio worth more than $10 billion.

Below is the announcement:

Mortgage broking groups Smartline and Mortgage Force have announced their intention to merge, creating one of Australia's largest franchised broking companies.

To be effective 1 July 2009, the merged company will consist of 220 franchises throughout Australia, servicing more than 100,000 clients.

Annual volumes will total in excess of $3 billion per year and the company's loan portfolio will be worth more than $10 billion.

Smartline, established in 1999, is a market leading mortgage broker group with more than 140 successful franchise businesses nationally and a strong industry profile for best practice systems and client care.

Mortgage Force is one of Australia's oldest and most respected mortgage broking groups, having been established in 1991. Known for its well established and loyal team, and strong presence in the West Australian market, Mortgage Force has a great reputation with both its customers and lending partners.

The Mortgage Force brand will be retained in WA, with the Smartline brand adopted across the rest of the country, Smartline Managing Director, Chris Acret, said both companies had very similar values, providing a good cultural fit.

"We believe this merger is a great outcome for our franchise owners and consultants," Mr Acret said. " It will give us greater capacity to provide our advisers with industry best systems, marketing and support, as well as strengthening our position with our lender partners".

Mortgage Force Managing Director, Neil Pinner, said the merged entity would provide a powerful franchise model that would benefit all.

"This merger is a great outcome for our clients, our consultants and our lender partners," Mr Pinner said. "Together, Mortgage Force and Smartline will be able to offer market leading solutions while maintaining the highest levels of quality, support and service".

Mr Acret said that at a time of great change in the financial services industry, the creation of a single entity would see the group well positioned for future growth. "Our new and existing franchise owners will benefit from market leading systems and a proven model that works. We are able to offer an extensive support infrastructure, which will be so critical to success in the future".