Thankfully, Canadian borrowers have access to an excellent resource — mortgage brokers and agents — who will not only assist in finding the best rate, but who will also educate borrowers on the best mortgage terms for their individual financial situations. The overall emphasis for consumers is that agents and brokers are a total solutions approach to a borrower’s mortgage financing needs.

Getting a mortgage

A mortgage is the largest debt the average Canadian will take on in their lifetime. So why is it that less than 50 percent of Canadians in 2013 sought out the expertise of a mortgage broker to facilitate the mortgage process?

"A mortgage is the largest debt the average Canadian will take on in their lifetime."

The face of the mortgage industry is ever-evolving. Regulation changes have become commonplace, and for some borrowers, qualifying has become more difficult. This is one of the many reasons why it is becoming rather important to consult a mortgage broker or agent when purchasing a home, upgrading, moving, or renewing or refinancing a mortgage.

Low mortgage rates

For most Canadians, a low rate is the most important factor in their choice of mortgage. While rates are important, there are many other factors that should be evaluated to ensure that the needs of each borrower’s unique financial situation are met. Not all mortgages are created equal.  The penalty to break a mortgage can differ widely from lender to lender. Some mortgages are portable from one property to another, while others are not; lenders use different criteria to qualify clients, such as requiring clients to qualify at a higher “benchmark” rate in order to obtain a variable rate; and, some mortgages offer better prepayment privileges than do others — these are just a few of the things borrowers should know before committing to a particular mortgage.

Not only does a mortgage broker have a more detailed knowledge of the mortgage market, but they also have access to alternative lenders and mortgage solutions that can assist clients who may not qualify through traditional means. Many mortgage brokers have access to specialized programs available for clients who may have difficulty qualifying traditionally.  

Know your mortgage options

Mortgage brokering, in the end, all comes down to educating and advising clients on their options. While a borrower may have a general understanding of the mortgage process and the regulations, they may not always clearly understand the impact on their own personal financial situation.

Home ownership should be achievable for every Canadian, and with access to professionals with industry expertise, no one should feel like they are going through the process alone.