A mortgage broker is a licensed professional who can secure financing for clients. Their role is to act as an intermediary between a client and a lender. Their services don’t cost anything for a client, since they run on referral fees paid by the lender after a mortgage closes. At the same time, they generally have access to much lower interest rates than banks, since they work with a multitude of mortgage lending institutions with much lower overhead.

Access to Lenders

Mortgage brokers are a one-stop-shop for clients. They have many potential lenders available with only one credit inquiry affecting your score. Because of the wide range of lenders, they could access financing that would otherwise be difficult for certain clients to qualify for. They can also generally qualify clients for much lower rates.

Flexibility

Mortgage brokers are often very flexible with meetings and communication. Many are available after business hours, on evenings and weekends, and are willing to communicate through text, email, or video calls. E-signatures are almost universally accepted now, so if the client wishes, the whole mortgage process could be completed without even stepping foot in the office!

Higher Chance of Getting Financed

Under more complex financial circumstances, mortgage brokers can work with less traditional loan sources, such as B-lenders and private lenders. They can structure deals with details of each unique case, rather than relying on numbers alone. Alternative financing may come with higher interest rates or additional fees and terms, but it can also be a stop-gap until a client qualifies for A-lender financing.

Above all, mortgage brokers are specialists, licensed and regulated to operate in your best interest. With the benefit that comes with choosing a broker over the bank, it’s no wonder why they’re gaining an increasing share of the market in Canada.