Mortgage aggregator AFG suffered a big fall in business in January with the $1.3 billion in mortgages written by its brokers 40 per cent below the average monthly figure for 2010.AFG brokers wrote 3583 mortgages in January, compared with 5472 in December and 6619 in November. The value of those loans was A$2.1 billion in December and A$2.5 billion in November.AFG executive director Kevin Matthews put the decline down to the Queensland floods. Queensland was the state that recorded the biggest fall in business - down 49 per cent from December.But business was down across the board, with month-on-month falls of 40 per cent in Victoria, 34 per cent in South Australia, 32 per cent in New South Wales, and 29 per cent in Western Australia.Matthews said another factor in the slump was uncertainty about the direction of the housing market, with buyers spooked by commentators saying that Australia has a residential housing market bubble.He dismissed suggestions that the figures are an indication AFG is losing market share and not the overall market trend.He said: "I made some calls on this and our brokers tell us they are holding share. I'm confident you will see the Australian Bureau of Statistics' figures support what we are reporting."Matthews also dismissed the suggestion that borrowers are holding off refinancing until July, when they could get into a new loan with no exit fees."I would be surprised if anyone had thought much about it," he said.The report shows a continuing gain in market share by non-bank lenders. Non-bank share has climbed from a low of 7.5 per cent in the first quarter of 2009 to the current level of 13 per cent.Matthews said some of the smaller lenders picking up share include Suncorp, AMP Bank and ING Direct.He said AFG's own brand, which is funded principally by National Australia Bank, is also doing well.