Refinancing activity has reached the highest level since 2017, according to the latest AFG Index Data for the final quarter of the 2023 financial year.

According to AFG, refinancers are up to 33%, the highest level since the third quarter of 2017 financial year.

AFG CEO David Bailey said this came as the weight of interest rate increases bears down on borrowers.

“These customers are also historically more likely to use a non-major lender, with market share for the non-majors amongst refinancers at 40.7% for the quarter,” he said.

Salvest managing director Anthony Ferrero said non-bank lenders can offer financing alternatives to borrowers who may not meet the rigorous criteria set by traditional banks, particularly in the context of refinancing.

“Non-bank lenders provide more flexible lending terms, quicker approvals, and a willingness to consider projects that might be deemed higher risk by traditional lenders,” he said in a recent story from Infochoice.