The Internet has changed mortgage shopping forever. Yet, some mortgage originators still don't put much thought into it. Many are content to simply put up a website and hope for visitors.
That doesn't cut it if you truly want to cultivate mortgage business online. Fortunately, however, there’s still time to act, says industry pioneer and Kanetix CEO Yousry Bissada. Online mortgage origination is “still in the early adopter’s stage,” he said on Monday, “But it’s coming.”
Speaking at VERICO’s annual conference in Las Vegas, his message was essentially this: “If customers can’t find you online, you don’t exist to them.”
Continue reading "Online Mortgage Marketing" »
Residential lending may have slowed, but commercial lending is going strong. Commercial mortgage balances grew 8% last year versus 2012, according to lender CMLS Financial. Commercial origination was up roughly 18%.
If you want to follow the commercial lending market, two solid sources are CBRE Capital Markets and CMLS. Here’s the latest market update from each of them…
Continue reading "Commercial Mortgage Market Update" »
“I think this is the real thing. This is the end of extremely low interest rates. They’re simply unsustainable.” – Economist Benjamin Tal, August 2013
Benny Tal is one of the sharpest economic analysts on the block. For him to go out on a limb like this shows how convincing the rate-hike thesis was last summer.
Since that time, the unsustainable has proven quite sustainable.
Continue reading "Sustainably Unsustainable" »
By Dustan Woodhouse, Special to CMT
Despite industry hype surrounding rate discounter websites, the reality is that most mortgage clients still embrace a higher level of service, if it’s priced fairly.
The majority reject less service at a lower rate because, even for a skilled broker, the task of sorting through a myriad of mortgage products, policies and guidelines is daunting. The overabundance of online mortgage information only heightens demand for professional guidance. Case in point was Investors Group’s just-announced 1.99% offering. Confusion about its binding restrictions necessitated clear explanation, quantification and suitability analysis.
Continue reading "Mortgages: ‘Big Box’ Brokers vs. 'Boutique' Experts" »
When people deal with mortgage brokers they want to know that they’re competent. But it’s hard to assess that if you don’t know a broker well.
That’s where industry accreditations come in. A credible industry designation shows that a broker has met minimum standards of proficiency and professionalism.
Canada’s most common mortgage designation is the Accredited Mortgage Professional (AMP), established by CAAMP in 2004. In the opinion of many, however, (including this author) the bar for getting those three letters behind your name has never been high enough.
That’s about to change.
Continue reading "AMP 3.0" »
Investors Group’s 1.99% variable-rate special is already making life harder for competitors. Clients are contacting their bankers and brokers and asking, “Is this mortgage right for me?” and “Can you match this rate?”
Mortgage advisers are actively, and in many cases rightfully, selling against this mortgage. The fine print speaks for itself, albeit it’s still a spectacular deal.
We asked ourselves (and answered ourselves) the following questions.
Continue reading "IG’s 1.99%. Some Odds of Note" »
Congratulations to the entire lineup of nominees and winners at last night’s CMP Canadian Mortgage Awards.
The people and companies named this year were recognized for elevating their craft beyond the typical industry professional. As mortgage practitioners, we can learn something from every name on this list to make ourselves better.
Continue reading "2014 Canadian Mortgage Awards" »
Gary Mauris, Special to CMT
Life is funny. As I sit here and write this column, I scratch my head and ponder the irony of an article like this.
After all, it was only a handful of weeks ago that I was publically calling out CAAMP about the purchase of Canadian Mortgage Trends.
Continue reading "A New Path for Broker Associations" »
CMHC is safer and better managed than it has been for years. But it nonetheless continues to pare back its mortgage insurance business at the Finance Department’s urging.
That’s triggering a host of side effects for lenders, who are forced to pass along higher costs and reduced mortgage availability to consumers.
Continue reading "CMHC’s Annual Report Documents its Contraction" »
CMHC surprised the market last week by eliminating its insured second home and stated income programs. Many believed that the Department of Finance (DoF) had something to do with it.
We asked the DoF directly. Here’s what they told us:
Continue reading "Updates on Stated Income & Second Home Programs" »
The automakers run employee pricing campaigns seemingly every year. So why not try it as a bank?
This is precisely the basis for RBC’s latest mortgage promotion. The nation’s biggest bank is giving employee pricing to anyone who qualifies for its 4- and 5-year fixed terms. The offer applies to applications submitted from April 28 through June 6, 2014.
As for the rate, Vinita Savani, Director, Home Equity Financing says:
Continue reading "Employee Pricing on RBC Mortgages" »
Canada’s new anti-spam law has been called the most onerous legislation of its kind in the world.
It takes effect July 1, 2014, and penalties for non-compliance are severe (up to $1 million per violation).
If you’re a mortgage professional who wants to keep on the right side of the law, here are some useful resources:
Continue reading "Anti-Spam Rules: Prep Now" »
Since 2008 the nation’s largest mortgage default insurer has been on a mission to reduce its risk exposure. Yesterday that mission continued with CMHC announcing that it would stop insuring both second homes and self-employed borrowers without traditional proof of income.
Canadians have used these two programs for the last nine and seven years respectively.
But these are not the only adjustments CMHC has in store. It put the market on notice that “This is the first set of changes” we should expect, as a result of its internal insurance business review.
Thankfully, at least one private insurer is not making knee-jerk changes because of this news.
Continue reading "CMHC Sends Another Message" »
It's been a while since our last lender market share update. In this instalment we've included non-broker channel lenders as well, courtesy of data from David McVay and McVay and Associates.
As you'll see, the last 12 months have been a boon to some lenders and rather punishing to others.
Continue reading "Mortgage Market Share - Q4" »