Homebuyers’ confidence in mortgage brokers continues to grow. More than 31% of Canadians sought the advice of a mortgage broker in 2006, according to a recent survey by the Canadian Institute of Mortgage Brokers and Lenders (CIMBL). This figure shows a definite upward trend compared to last year’s 25%.
Looking back further, in 1999, only 14% of all purchasers used a mortgage broker, according to the Canadian Mortgage and Housing Corp.
“The traditional lending model is being turned on its head. Today’s homebuyers are increasingly embracing mortgage brokers,” said Invis president and CEO Andrew Moor, in a news release. “Mortgage brokers can offer valuable advice throughout the financing process as well as provide access to mortgage options and services many homebuyers don’t even know exist, choices that open the door for more people to become home owners.”
Invis has seen first-hand the positive response of homebuyers to the value and advice offered by mortgage brokers. Invis has grown over 300% since 2001 in terms of mortgage origination volume, and is now the largest mortgage brokerage firm in Canada. The company offers mortgage solutions from more than 50 different financial institutions to get the best rate and features for each client.
In its report, CIMBL says that Canadians are going to mortgage brokers to take out new mortgages, or renewing or refinancing an existing mortgage. A separate study conducted last year showed that consumers using the services of a mortgage broker are generally very satisfied with the experience and significantly happier than those using traditional approaches to source a mortgage. “We are growing our business because our customers are referring their friends and neighbours to us,” said Moor. “A business can grow fast when their customers are their advocates in the community. The future looks bright for mortgage brokers.”
CIMBL’s survey also showed outstanding mortgages on residential real estate are expected to be $808 billion by the end of 2007.
Next week, mortgage experts will converge on Montreal for CIMBL’s Annual National Mortgage Conference and Expo Nov. 12-14. With more than 2,200 delegates expected, this is the largest gathering of mortgage professionals in Canadian history.
More Canadians using mortgage brokers: survey
Consumers using a mortgage broker are significantly happier than those using traditional approaches
- By: IE Staff
- November 10, 2006 November 10, 2006
- 10:30