Natasha Shaw

Independent brokers are fully licensed and work for either an independent mortgage brokerage company or have their own independent companies. Brokers access the entire mortgage market to get the best mortgage for the client. Being independent means brokers will recommend mortgage products based on the individual needs of the client, not the needs of the bank.

Myth: All mortgage brokers are created equally

There are many kinds of people that process mortgages. Bank representatives work in-house at the bank and sell only bank mortgage products. They are generally unlicensed and have to go through many channels to get approval. They tend to rotate their positions in the bank system and may not always stay at the same branch, which requires clients to re-establish relationships. Bank brokers are "mobile" mortgage arrangers. The majority of the time they only sell their own bank’s products. Brokers that are licensed, but work for companies that are owned by banks, have access to all mortgage products on the market. However, they tend to lean towards selling products that support their bank. Independent brokers are fully licensed and able to access the widest range of mortgage products to get clients the best lending vehicle at the most competitive rate.

Myth: Brokers are middle men

Independent brokers work directly with trust companies, banks and other lenders. They have very strong relationships with underwriters who have approval capabilities to get your mortgage approved fast!

Myth: You pay brokers

Independent brokers are paid by the lender they place the mortgage with, not the client in the vast majority of cases. The pay is based on the size of the mortgage, not the rate. They work hard to get their clients the very best mortgage at the very best rate.

Myth: You only deal with a broker if you are credit-challenged

1 in 4 Canadians (and growing) understand the benefits of using a broker to source the best mortgage on their behalf. These people are primarily educated professionals with high-paying careers, excellent credit, and growing personal wealth.

Myth: Brokers sell other products like investments and credit cards

Unlike bank representatives, independent brokers only arrange mortgages. They are specialists in their fields. With vast lending products - over 400 on the market today - each with different features and benefits, independent brokers are committed to understanding the various products and matching those with the needs of their clients.