John Symond retires as chairman of Aussie Home Loans

He became a household name in property, but now ‘Aussie’ John Symond is retiring as chair of the home loans firm he founded.

John Symond has retired as chairman of Aussie Home Loans.

“Aussie” John Symond has retired as chairman of Aussie Home Loans, 28 years after he founded the business and revolutionised the home loan market.

Mr Symond, 73, who founded Aussie Home Loans in 1992, announced his exit from the mortgage broker on the same day the Reserve Bank dropped the official cash rate to 0.1 per cent in a move that could give another bump to the housing market.

“My retirement from the role comes at a very good time for Aussie as it is posting record loan settlements, despite the pandemic, and has a very strong management team in place, led by my nephew James,” Mr Symond said.

“I have had a long and rewarding journey with Aussie, which now has a team of over 1000 people — covering staff, mortgage brokers and franchisees in over 200 stores across Australia.

“I am most proud of leading the revolution that has helped millions of Australian consumers by lowering their costs through increased competition among the major lenders in providing cheaper interest rates and better customer service,” he said.

Establishing Aussie Home Loans in the wake of the 1990 recession, Mr Symond upended the home loan market by offering loans at a significantly cheaper rate than the big banks.

The broker’s iconic slogan, “We’ll save you”, used in adverts in the 1990s, established both Aussie and Mr Symond as a household name across Australia.

After years of disrupting the banks, Mr Symond between 2008 and 2017 progressively sold the business to the Commonwealth Bank for about $660m in stock and cash.

Last year Mr Symond expressed an interest in buying the business back from CBA if it went ahead with its plans to divest Aussie. CBA this year said it was still exploring its options in relation to the business.

Aussie CEO and Mr Symond’s nephew, James Symond, said his uncle had been a guiding force for both the business and for him personally.

“We congratulate him on a long and successful career as a pioneer of the non-bank and mortgage broking sectors. John leaves a huge legacy, but the future of Aussie remains strong and the business is forging ahead with its ambitious growth plans.”

Geoff Austin will replace Mr Symond as chairman of Aussie. Mr Austin is currently chairman of Commonwealth Insurance and a director of Colonial Mutual Assurance and AIA Australia.

Hours after Mr Symond’s announcement, the RBA slashed the official cash rate to an all-time low of 0.1 per cent in a bid to ignite the economic recovery from the nation’s first recession in nearly 30 years.

Treasurer Josh Frydenberg immediately urged lenders to pass on the cuts to both mortgage holders and small businesses.

“Today’s announcement by the Reserve Bank will reduce the cost of borrowing and is good news for households (and) good news for small businesses,” Mr Frydenberg said.

The rate cut comes as the government prepares to abolish responsible lending obligations to free up lending.

It also comes as house prices in major capital cities across the nation continue to rise, defying the gloomy forecasts that predicted steep price drops when the pandemic hit earlier this year.