The Financial Review reported rumours that Commonwealth Bank is seeking to increase its one third stake in Aussie Home Loans. CBA paid A$71 million for the stake in late 2008.
Aussie is primarily a broker acting for around 30 lenders but also funds loans under its own name.
Earlier this year Aussie acquired National Mortgage Brokers, a smaller home loan aggregator.
At the time Aussie puts its home loan book (on which it earns commission) at more than $50 billion. It put its monthly volumes at $1.2 billion.
One rationale for a increased investment in Aussie is to give the bank access to a well-known alternative brand through which the bank can originate more home loans than the bank can under its two present bank brands (CBA and also Bankwest).
This might help CBA better compete with National Australia Bank and Westpac, both of which have invested in one or more alternative lending brands.
Should CBA be considering an investment in further home loan origination capacity there may be other willing vendors.
The owners of Australian Finance Group (the largest aggregator in the home loan broking sector) are usually scouting for a buyer. The last time rumours swirled on talks involving AFG a year ago Commonwealth Bank was the supposed buyer on that occasion.