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CONTENTS
48
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10
UPFRONT 04 Editorial
What can brokers learn from the coronavirus fallout?
06 Statistics
The latest consumer sentiment shows brokers eclipsing banks among first-time buyers UPFRONT
NEWS ANALYSIS Economists and industry players react to the Bank of Canada’s rapid-fire rate cuts
08 Head to head
Is the mortgage industry still behind the curve on technology?
12 Alternative lending update
One alternative lender reveals its plans to weather the COVID-19 storm
14 Broker update
FEATURES
ETHICS AND MORALITY IN PRIVATE LENDING How to find a private lender that will put your clients’ interests first
PEOPLE
INDUSTRY ICON DLC’s Dr. Sherry Cooper finds joy in making economics more engaging for brokers and homebuyers
18
How Sabeena Bubber rallied fellow brokers to give back through 100 Brokers Who Care
50
16 Opinion
WORKING SMARTER, NOT HARDER
PEOPLE
It’s time for the mortgage industry to step up its efforts to improve gender equality
PEOPLE
D’Arcy Henneberry reveals the recipe behind MortgagePal’s success: solid systems
52
After a brief foray into politics, Leslie Penney realized the mortgage industry was the right fit
56 Other life
Decades after joining, Gerard Buckley is still committed to the Cadets
FEATURES
RUN SUCCESSFUL VIRTUAL MEETINGS Tips for making remote meetings more engaging and effective
2
55 Career path
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UPFRONT
EDITORIAL
Lessons from the coronavirus
A
s this issue of CMP goes to press, there are varying degrees of panic in global stock markets and among economists and politicians because of the outbreak of the novel coronavirus (also known as COVID-19). There’s even talk of potentially cancelling the Tokyo Olympics in July. Mortgage professionals should look at the anxiety surrounding the possible economic impacts of coronavirus and take away some important lessons for running a business. For starters, China began to slow many of its exports due to the coronavirus, raising fears of international shortages on items from antibiotics to mobile devices to pet food. A number of economic commentators and politicians pointed to that situation to argue that putting too much emphasis on a single source for products might not have been a good idea. Transfer that to the mortgage world: What could happen if your business put too much emphasis on a single lending source, a single product or a single demographic – especially if the economy suddenly turns sour? Diversification in one’s business outreach isn’t necessarily a bad thing.
The history books await the coronavirus, and fixating on doom and gloom is never a good strategy In addition, many countries were caught off-guard in abruptly dealing with a possible pandemic – which seems odd when one recalls the SARS, MERS and Ebola crises of the past two decades. There are unexpected crises in the mortgage world, too. How are your disaster recovery procedures? Emergency preparedness for businesses should not be an afterthought, especially when companies lose millions each year due to damage to their physical assets. Finally, always remember that there’s no such thing as a permanent crisis. Jennifer Hunt, vice-president of research at the Real Estate Investment Network, perhaps put it best. “It’s still premature to predict how the coronavirus outbreak will be resolved, but data suggests that panic will only worsen the country’s economic situation,” she said. “There is reason to be alert, but there’s absolutely no reason to further raise alarm and cause more public fear. In fact, as a Canadian real estate investor, this may represent a buying opportunity for investors with a likely future positive lift in rental and housing markets.” The history books await the coronavirus, and fixating on doom and gloom is never a good strategy. The team at Canadian Mortgage Professional
www.mortgagebrokernews.ca ISSUE 15.03 EDITORIAL
SALES & MARKETING
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Vice-President, Sales John Mackenzie
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ART & PRODUCTION Designer Joenel Salvador Production Manager Alicia Chin Production Coordinator Kim Kandravy Advertising Coordinator Ella Dayandante
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UPFRONT
STATISTICS
What’s down goes up
BROKERS ON TOP … UNTIL RENEWAL
When it comes to wooing first-time buyers, brokers are well placed MORTGAGE BROKERS were the most popular choice for almost half of all Canadians who sought out a mortgage last year. In fact, according to the latest mortgage market survey from Mortgage Professionals Canada, brokers just edged out the other main option: bank mortgage representatives. That wasn’t true at renewal time, however, when only 27% of those shopping for a mortgage chose to use a broker, compared to the
91%
of homeowners say they’re happy with their decision to buy
95%
of homeowners in Atlantic Canada are happy with their decision (the most out of all regions)
In 2019, the proportion of consumers obtaining mortgages through a broker (45%) was considerably higher than in 2018 (28%). But on the whole, brokers didn’t do so well at retaining those customers; only 27% of consumers sought out a broker at renewal time. Still, that represents a slight uptick over 2018, when only 23% of consumers went to a broker to renew or refinance their mortgage.
65% who went to a bank. Would-be buyers flocking to brokers to purchase their first home are mindful of the crucial nature of their down payment – today, more than half of all buyers are putting down at least 20% when purchasing a home, and the number of buyers relying on gifts from parents or other family members to fund their down payment has risen considerably over the last two decades.
3%
of Canadian homeowners say they regret their decision to buy a home
Bank Broker Credit union Life insurance or trust company Other
6%
of homeowners are unhappy with the specific property they bought
Source: Annual State of the Residential Mortgage Market in Canada, MPC, 2020
DOWN PAYMENTS ON THE RISE
WHERE DOWN PAYMENTS COME FROM
The percentage of buyers putting down less than 20% has dropped considerably in recent years, likely due to factors that have made insured mortgages less attractive – including the stress test.
First-time buyers today use an average of 1.8 sources to scrape together a down payment. Personal savings still make up the lion’s share of the funds, but gifts from family have become increasingly important – 40% of all buyers relied on such gifts between 2015 and 2019, compared to 22% in the 1990s.
Average down payment
Buyers with down payment of less than 20%
70%
Personal savings or co-buyer’s personal savings 88%
60%
Gift from parents/other family members 40%
50%
Withdrawal from RRSP (including Home Buyers’ Plan) 32%
40%
Loan from parents/other family members 20%
30%
Loan from a financial institution 26%
20%
Loan from my employer 6%
10% 0%
DOWN PAYMENT SOURCES, 2015–2019
20% 65%
22% 63%
18% 68%
20% 68%
23% 60%
24% 49%
Before 1990 1990-1999 2000-2004 2005-2009 2010-2014
2015-2019
Other 4% Source: Annual State of the Residential Mortgage Market in Canada, MPC, 2020
Source: Annual State of the Residential Mortgage Market in Canada, MPC, 2020
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2% 2%
2% 5%
TYPE OF MORTGAGE REPRESENTATIVE USED
4%
HOMEOWNERS WHO PURCHASED IN 2019
10% ALL MORTGAGE HOLDERS
44% 32% 1%
45%
54%
1%
7% HOMEOWNERS WHO RENEWED OR REFINANCED IN 2019
27%
65%
Source: Annual State of the Residential Mortgage Market in Canada, MPC, 2020
TAKING LONGER TO SAVE
PRIMED TO PURCHASE
As housing prices have risen, so has the number of weeks’ pay the average Canadian would have to set aside to amass a 20% down payment on the average house price – although that figure has dipped slightly in recent years.
The likelihood that consumers will purchase a house in the next 12 months rose slightly from 2018 to 2019 – often a good indicator of sales in the coming year (although MPC’s survey was done before COVID-19 decimated the global economy).
WEEKS OF PAY FOR A 20% DOWN PAYMENT
HOW LIKELY ARE YOU TO PURCHASE A HOME IN THE NEXT 12 MONTHS?
110
2019
3.05
100
2018
2.91
90
2017
2.89
80
2016
2.98
2015
3.04
2014
3.10
70 50 40 30
1985
1993
2001
2009
2017
Source: Annual State of the Residential Mortgage Market in Canada, MPC, 2020
1 Unlikely
2
3
4
5
6
7
8
9
10 Very likely
Source: Annual State of the Residential Mortgage Market in Canada, MPC, 2020
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UPFRONT
HEAD TO HEAD
Is there enough mortgage tech to satisfy consumers? In an increasingly online world, does the industry need to step up its efforts in this area?
Jill Moellering Mortgage planner Mortgage Architects
Leslie Penney Owner/broker East Coast Mortgage Brokers
Krista Zingel Business development manager HomeEquity Bank
“Fintech will revolutionize the lending space, streamline processes and eliminate double handling of documents in the application for both consumers and brokers/lenders; however, the consumer trend in other areas shows a preference for the personal touch. Grassroots shops, artisan cheeses, craft beers and everyone’s distaste for self-checkouts are notable examples. We are seeing a resurgence in the desire to connect with others, and personal financial advice is no different. Success will come from using tech to drive efficiency while supporting a real live broker. Consumers want efficiency but crave reassurance, and that’s something no app can provide.”
“Technology is quickly adjusting to the shift from boomers to millennials, and it’s part of everyday life now. As brokers, we have to adapt to the ways in which people want to connect and process transactions; the necessity of this change is apparent in the amount of resources our networks invest in developing fintech to make us more competitive. Traditional banks wouldn’t be pumping all this capital into fintech if they didn’t think it was the future. However, I feel that it’s a face-toface transaction for most, and we are still far from artificial intelligence replacing human interaction and professional advice.”
“Overall, Canada has been slower to adopt fintechs, particularly in the lending space. Technology can help create new relationships and provide insights into clients’ needs, but this needs to be paired with the social and contextual nuances of the lending space. Our clients are expecting a holistic financing experience that combines convenience with personalized advice and human connection. Canadians are increasingly techsavvy and will continue to be empowered in the digital space. A fully digitalized mortgage is coming; however, I strongly believe that there is a need to ensure the online transaction is complemented with the human-to-human experience.”
MOVING MORTGAGES ONLINE? As of 2017, more than 40% of mortgage applicants began the process online. This is a beneficial shift for lenders, given that 70¢ of every dollar of mortgage processing costs are spent on human labour. However, industry experts have been quick to point out that technology is unlikely to supplant the broker’s role entirely. “[Customers want] a humanized digital experience, where the broker complements the technology and the technology complements the broker,” said André Boisvert, chief technology officer at M3. “Consumers expect that, and a younger generation expects that more and more.”
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OUR COMMITTMENT TO YOU During this unprecedented time of uncertainty, we want to offer XMC Clients a measure of confidence and peace of mind. We are here with solutions designed to help ease financial burden in the face of economic hardships caused by loss of income due to COVID-19. We take our responsibility to XMC Clients and Partners very seriously. XMC Clients may skip or hold payments at any time, subject to the terms of your mortgage. We will waive all associated fees and have ceased reporting to credit agencies to avoid any unnecessary future stress for Clients who may take advantage of this new enhanced policy. For details please contact XMC Client Services Team. You are an important part of the XMC Family. We are all in this together. (877) 775-2970 xmc@lenderservices.ca
HELPING CANADIANS MOVE FORWARD
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UPFRONT
NEWS ANALYSIS
The BoC’s virus-fuelled rate cut The central bank cited the coronavirus as the impetus for its first rate reduction since 2015, but were there additional issues that brought about the policy shift?
IT’S NOT every day that the Bank of Canada lowers its overnight rate. In fact, until March, the central bank hadn’t cut the rate in five years. The bank’s March 4 announcement of a rate drop from 1.75% to 1.25% (which was swiftly followed by another cut to 0.75%) was widely seen as both reactive and proactive. On one hand, the action appears to be a prudent response to a global health crisis that has left no corner of the globe untouched (except for the icy realm of Antarctica). But some industry experts viewed the BoC’s move as an attempt to reanimate an economy that would have required assistance even if the ongoing viral
of scheduled meetings – the last time that occurred was during the 2008 financial crisis – but the chaotic tumble of the Dow based on coronavirus-fuelled anxiety was seen by Fed Chairman Jerome Powell as a call to action. “We saw the risk to the outlook to the economy and chose to act,” said Powell, who also insisted the US economy remained fundamentally strong. Over in Ottawa, the BoC appeared to borrow Powell’s strategy. “While Canada’s economy has been operating close to potential with inflation on target, the COVID-19 virus is a material negative shock to the Canadian and
“Even ignoring the virus shock, domestic conditions were beginning to look less favourable” Brian DePratto, TD pandemic had not transpired. What was unmistakable was the sense of follow-the-leader in the BoC’s actions. Its rate cut came the day after the US Federal Reserve caught most observers off-guard by dropping its benchmark interest rate by half a percentage point. The Fed rarely moves on rate cuts outside
10
global outlooks, and monetary and fiscal authorities are responding,” the BoC said in a statement, noting that the outbreak had disrupted supply chains, pulled down commodity prices and weakened the Canadian dollar. “It is likely that as the virus spreads, business and consumer confidence will deteriorate, further depressing
activity,” the BoC added. The mortgage industry’s initial reaction to the BoC’s first rate cut was mixed. James Laird, co-founder of Ratehub.ca and president of CanWise Financial, said he expected additional rate cuts during the year. “Consumers who currently have a variable rate will see their mortgage payments drop once Canadian mortgage lenders adjust their prime rates,” he said. “The expectation is that prime rates will drop by the full 50 basis points, although there have been times when lenders have not passed along the full savings to their customers.” DLC chief economist Dr. Sherry Cooper acknowledged that the cut didn’t come easily, noting that BoC Governor Stephen Poloz “has long been bucking the tide of monetary easing by more than 30 central banks around the world.” She also predicted that the rate cut could boost housing demand via lower
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THE STATE OF RATES The Bank of Canada cut its overnight rate to 1.25% on March 4, then again to 0.75% on March 13. Here’s a look at the current interest rates for other major central banks around the globe: US: 0.25% Australia: 0.5% China: 4.05% Europe: 0% India: 5.15% Israel: 0.25% Japan: -0.1% Russia: 6% South Korea: 0.75% UK: 0.1% Source: Global-Rates.com
interest rates, although she admitted that “reduced travel from China might crimp sales in Vancouver.” But not everyone was convinced the cut was purely spurred by the potential economic
conditions were beginning to look less favourable,” he said. “The bank notes that firstquarter growth will likely disappoint their prior 1.3% growth expectation and that business investment has not met their expectations
“We’re putting a shock into the global economy at a time when Canada desperately was looking for momentum” Avery Shenfeld, CIBC Capital Markets disruptions created by the coronavirus. TD Economics director Brian DePratto noted that while the BoC announcement heavily emphasized the risks related to the coronavirus outbreak, there were additional issues that helped fuel its decision. “Even ignoring the virus shock, domestic
of recovery in the wake of positive trade policy developments. With no mention of household indebtedness or financial stability risks more broadly, this is clearly an organization focused on managing the near-term risks to economic growth.” DePratto also suggested the coronavirus
might be an overplayed excuse for this cut. “The bank sent an unequivocally dovish signal today, focused almost entirely on risks and with no mention of household indebtedness,” he said. “Perhaps most telling is the statement that they ‘stand ready’ to adjust further should conditions warrant and are focused on ensuring liquidity remains ample.” Avery Shenfeld, chief economist at CIBC Capital Markets, told the Ottawa Citizen that a rate cut was long overdue. “The Canadian economy was barely growing in the last quarter of 2019, so we’re putting a shock into the global economy at a time when Canada desperately was looking for momentum,” he said. But Norman Levine, managing director of Portfolio Management Corporation, bluntly questioned whether the timing of the rate cut made good business sense. “A huge mistake by Stephen Poloz and the Bank of Canada,” he wrote on Twitter. “Should have been 1/4 at most. Using up firepower that could have been used when really needed in the future. Interest rate cuts because of a virus and blockades. Really?”
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UPFRONT
ALTERNATIVE LENDING UPDATE NEWS BRIEFS Alternative mortgages enjoyed an 11-year boom
Recent data from Statistics Canada indicates that the value of Canada’s non-bank residential mortgages swelled by 924.2% between 2007 and 2018. This far outpaced the growth observed in residential house prices, which rose by 81.8% during the same timeframe, according to the Canadian Real Estate Association. Taylor Little, CEO of alternative lender Neighbourhood Holdings, attributed the growth to the increasingly tight mortgage regulatory regime since the financial crisis.
Duo Bank of Canada to acquire major non-bank lender
Duo Bank of Canada has agreed to purchase all outstanding shares of Fairstone Financial Holdings, which specializes in personal loans for nearprime borrowers. The transaction is expected to close in the second quarter of 2020 and includes all of Fairstone’s operations and its 1,400-plus employees. “Duo Bank’s mission is to provide valuedriven financial products that are clear and simple, enabling Canadians to focus on what matters to them,” said Duo Bank chairman Stephen Smith. “Fairstone’s close to 100-year history of providing near-prime borrowers with access to responsible credit is perfectly aligned with this mission.”
Major banks remain king of Canada’s mortgage market
Despite qualification difficulties for borrowers, major banks still hold a majority share of the market. RBC, currently the nation’s largest mortgage lender, posted an average balance of $271.8 billion for its domestic book
during the fiscal first quarter, rising by 8.6% year-over-year. RBC’s strong growth was fuelled by record-high housing prices in major urban markets such as Toronto, which pushed the bank’s share of the Canadian mortgage market up to 27.4%, considerably outstripping the mortgage business of other institutional lenders.
Brokers to benefit from CMI’s new tech integrations
When Filogix opened its platform to private lenders earlier this year, Canadian Mortgages Inc. (CMI) wasted no time jumping on board. This move eliminated the tedious process of brokers having to manually send documentation, which often contained sensitive information, to CMI. The result has been a much more efficient process for broker partners and faster approval times. “It’s important for us to be early adopters of the new technology and remain up to date with the leading edge of the market,” said Blue McClellan, chief technology officer at CMI.
Household debt-to-income ratio declines in fourth quarter
The ratio of household debt to disposable income declined in the fourth quarter of 2019, according to Statistics Canada. Total household debt in Canada fell by $400 million to $26.2 billion on a seasonally adjusted basis. This roughly translates to $1.76 worth of household debt for every dollar of disposable income. However, the household debt service ratio, which measures how much income goes toward paying interest, rose by 14.98% during the fourth quarter. Mortgage demand also rose to $18.4 billion during Q4, while consumer credit and non-mortgage borrowing dipped to $7.8 billion.
Taking on the COVID-19 challenge How one alternative lender is responding to the unfolding crisis At a time when concerns over the spread of COVID-19 are starting to paralyze broad sections of the economy, Vancouver-based alternative lender Neighbourhood Holdings isn’t letting the pandemic disrupt its operations. “Our portfolio is performing very, very well,” says CEO Taylor Little. “We wouldn’t expect to see any major changes at this point. We have yet to see massive amounts of unemployment or business failure, which would lead to loan default. But it’s a situation we’re monitoring very carefully, and we are the process of starting a new committee to make sure we’re vigilant. We are monitoring the portfolio and identifying potential changes through the data that we have.” That’s not to say it’s business as usual at Neighbourhood Holdings. For starters, the office is much less populated nowadays. “We have started requiring people to work remotely,” Little says. “To the extent that some people need to be in the office, we are making sure there’s not more than just a few in the office at any given time.” Little acknowledges that he would prefer not to have to take this precaution. “I like working together, and I love our team,” he says. “But we have a lot of team members who do work from home, either on a regular or ad-hoc basis. So, when it came time to move the whole office remote, it was a pretty easy transition.” The telecommuting setup isn’t putting a crimp on Neighbourhood Holdings’ customer outreach; Little says the company is “still oper-
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ating business as usual in terms of existing commitments. We are still closing deals, and we’re still committing on new deals.” Nonetheless, there have been some unexpected hiccups. “There are a few things that we’ve identified today that need some consideration, such as closing mechanics,” Little says. “If we are using a solicitor who isn’t in their office, how are they going to accommodate signatures? We are making sure that our service providers also have good remote work environments, including electronic signatures.”
“We have to be able to absorb the shock and keep things moving” Little also points out that working with appraisers will likely become an issue, as they need to be out in the field. However, he notes that “some appraisal groups have already implemented plans to adapt to COVID restrictions,” and he is monitoring how that aspect of the origination process will play out. So how long can this situation work? “Well, that’s probably the billion-dollar question,” Little says, noting that the end of the crisis is predicated on stopping the virus’s spread and the government remaining proactive to ensure economic viability. “We’re not in an underlying credit crisis. Today, we’re in a scenario that’s much closer to 9/11. We have to be able to absorb the shock and keep things moving.”
Q&A
Ed Karthaus Executive vicepresident, sales and marketing HOME TRUST
Years in the industry 35+ Fast fact Karthaus has served as a director of CMBA Ontario and is a member of the organization’s Hall of Fame
From strength to strength Overall, how was 2019 for Home Trust? It was a very good year for Home Trust. We saw solid loan growth in our Classic alternative product, we relaunched our Accelerator prime product in Q3 to a positive response from our broker partners, and we launched a new version of our broker portal, Loft, which is fully mobile and responsive. Overall, it was an exciting and productive year, and our results are indicative of our efforts.
What milestones are you most proud of? There were many proud milestone moments for me, so I will highlight a few. First, being named Bank Lender of the Year at the Mortgage Awards of Excellence was a very proud moment for Home. That industry recognition was truly the result of a team effort across the organization. Next, the closing of our cross-border RMBS placement, backed by our near-prime, uninsured residential mortgages – this type of innovation in the market has been good for Home Trust, but also for our industry as whole. The third thing is seeing our commitment to our digital transformation paying off. Our service levels continue to improve, and our customer satisfaction survey results reflected this. Our people were also recognized throughout the year, including two of my colleagues who were named to CMP’s Women of Influence list – that was a highlight for me. Overall, the feedback we are receiving coast to coast from our broker partners has been very positive, and we are proud to work alongside them to make homeownership dreams come true.
What market factors contributed to the growth of your business during the year? In 2019, LTVs were healthy, and single-family clients were accessing capital to reinvest in their homes instead of moving. In the second half of the year, we saw that homebuyers with strong credit, good net worth and strong down payments have moved back into the marketplace.
What are you most excited for in 2020? What should brokers look forward to from Home Trust? I believe 2020 will be another exciting year. From a market perspective, strong employment and immigration numbers will continue to fuel core markets, and other factors, such as the continued growth in the business-for-self segment, are positives for us. Another interesting thing to watch is immigration growth. The Canadian population is growing faster predominantly due to immigration, which will affect housing supply in urban markets. This may have an impact on higher rents and an increase in housing prices.
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UPFRONT
BROKER UPDATE
Bringing support to Canadians in need Through 100 Brokers Who Care, brokers are making a difference in the lives of people across the country
quarter. Those funds are channelled into quarterly financial gifts of $10,000 to a household or a cause in need of monetary assistance. For the first quarter of this year, 100 Brokers Who Care provided a $10,000 gift to a 22-month-old girl fighting Stage 4 neuroblastoma cancer, and $2,000 to a Vancouver resident raising three young children following the death of his wife. Bubber’s work on behalf of 100 Brokers Who Care culminated last year in a Canadian Mortgage Award; she is nominated again for this year’s awards.
“It’s all of us coming together as a community and showing people how much mortgage brokers actually do care”
Five years ago, Xeva Mortgage broker Sabeena Bubber learned that a friend was experiencing a life-altering tragedy after her ex-husband and their daughter drowned during a weekend camping trip. “I started a GoFundMe page to help her with some of her funeral expenses and to cover her rent,” Bubber says. Within three weeks, she had raised $35,000 – $7,000 of which came from the broker community. “That was a huge impact for me to see that somebody I care about was given that kind
NEWS BRIEFS
of money from people who didn’t know her,” Bubber says. “And I thought, ‘OK, if I can make that impact for somebody that I care about, maybe I should take this one step further.’” Three years later, Bubber teamed with likeminded mortgage professionals to launch 100 Brokers Who Care, a nonprofit that unites Canada’s mortgage broker community into a philanthropic force. And while the group has outgrown its name – Bubber says it currently has 150 members – it has retained the focus of asking each member to donate $100 per
DLC sets goal to increase volume by $10 billion
In a conference call at the end of 2019, DLC co-founder and CEO Gary Mauris said that while acquisitions are on the table for the network in 2020, it’s looking to achieve its ambitious targets by focusing on better training and building existing networks to help each DLC broker close an extra six deals per year. “We’re not going to do the same ol’ same ol’,” Mauris said. “We made a commitment to have an additional $10 billion in origination over the next 18 months and double the size of origination in the next five years.”
Looking forward, Bubber hopes to encourage corporate matching for the group’s funds. She’s also seeking to create regional chapters in Eastern and Western Canada and concentrating on making the general public aware that mortgage professionals have more on their minds than real estate. “It doesn’t matter which firm you’re with, whether you’re a mortgage broker, a lender, working for a lender, anything along those lines,” she says. “It’s all of us coming together as a community and showing people in our own communities how much mortgage brokers actually do care and that we want to make a difference.”
M3 Mortgage Group pledges further evolution
According to M3 head Luc Bernard, the network plans to announce more partnerships and improvements in 2020 that will enhance broker efficiency and the customer experience. “The faster we can advance the industry in terms of digitization, [it] benefits the consumers, the lenders and makes the ecosystem that much stronger,” said Dino DiPancrazio, M3’s EVP of strategy and innovation. “We’re going to be spending money to advance something that’s going to help our competitors as well. But we want to be at the forefront of that.”
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Q&A
Dustan Woodhouse
Building connections between brokers
President MORTGAGE ARCHITECTS
Years in the industry 12 Fast fact Woodhouse is the author of the bestselling Be the Better Broker book series
How was 2019 for Mortgage Architects? It was a fantastic year by all measures. In 2019, our volume grew by 22% on an annual basis. We had a record-setting number of agents join us, along with record-setting overall production. More importantly, we are experiencing the same level of growth through 2020. There wasn’t one defining moment for 2019; it was simply consistency, month in and month out, week in and week out. That’s what really paid off for us last year, and our reliability had the greatest influence upon our continuous growth. Compared to the years before that, 2019 wasn’t so much a year of challenge as it was of adaptation. The 2016–2018 period brought significant changes upon us, but by 2019, our clients and brokers had adapted to the obstacles put in place over the previous years.
What does Mortgage Architects bring to the table that puts it ahead of the competition? I would have to say broker engagement. Our head office staff are probably the most engaged of any office in the industry. We’re constantly holding one training event after another, and we’re constantly looking for ways to make our brokers’ lives easier – not just trying to deliver them new apps, but also sitting down in roundtable discussions with groups of brokers across the country multiple times a year. Most importantly, we help our brokers work with one another in creating effective solutions that will ultimately benefit our clients. The tools, the apps, the technology – it all matters. But at the end of the day, what Mortgage Architects is
Brokers must be armed with knowledge
Access to the latest tech tools is vital, but brokers need sustained training and education to remain truly competitive, according to Capital Lending Centre president and CEO Shubha Dasgupta. “The mortgage industry is ever-evolving, and its dynamic nature makes it critical for stakeholders to stay up-to-date and relevant throughout their careers,” Dasgupta said, adding that in addition to an in-depth understanding of finance, economics and the market, brokers must also focus on self-improvement and mental health.
about is bringing people together and talking with one another so that they can share what truly works.
What advice do you have for new brokers who are looking to join a network? I’d say the number-one thing for new brokers to keep in mind is that they are not interviewing for a job themselves. Rather, they are the ones conducting the interview. They need to go into any conversation with a brokerage understanding that they are in the driver’s seat and that they are the ones who are actually going to be paying us. Of course we’re going to help them earn, but ultimately, they are the ones in control, and they need to be able to ask the hard questions. New agents need to look closely at the level and quality of support that a network provides: What kind of training is offered? How is it offered, via webinar or in person? How often is it available? When a broker has questions, especially when they’re in a middle of a client file, would support from the network be immediately available?
What should your members be excited about? The fact that we’ve just had two years of record-setting inbound immigration into Canada. The fact that we live in a country that opens its arms and invites hundreds of thousands of people from around the world is a gift, both to those coming into the country and to us in the industry. Everyone needs housing, and we are a part of that dream coming true for thousands every year.
REMIC to offer online classes in light of COVID-19
The Real Estate and Mortgage Institute of Canada (REMIC) has revealed several measures it will undertake in response to the growing COVID-19 pandemic. As of March 23, students taking any of REMIC’s mortgage agent and life insurance licensing courses who wish to stay home will have access to a livestream of the class. Additionally, REMIC said it will extend course enrolment free of charge for any student who is ill, in quarantine or who doesn’t feel comfortable attending an in-person class or examination.
Re/Max to work with brokers during COVID-19
Re/Max has announced that, as of mid-March, it will remain open for business during the COVID-19 pandemic and will continue to work with mortgage brokers. However, the real estate network will be taking several precautions in line with recommendations from various health agencies and the federal government, including reducing office hours and limiting contact with brokers by using alternative means of communication – texts, phone calls and emails – wherever possible.
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UPFRONT
OPINION
GOT AN OPINION THAT COUNTS? Email mortgagebrokernews@kmimedia.ca
The battle of the sexes It’s time for the mortgage industry to do more than just pay lip service to gender equality, writes Laura Martin IT SEEMS to be a common misconception that the financial services industry has achieved gender equality. While it’s true that 50% of all employees in the global financial services industry are women, according to the 2017 Catalyst Women in Finance Report, the status quo of male-dominated leadership positions and media attention, along with frat-house culture, still prevails. In my 12 years of mortgage brokering, I’ve been to more conferences, workshops and trade shows than I can count – but one thing that was clear is that men always owned the stage. If there was a group of panelists, there might be one woman at the discussion. You almost never see women as more than 30% or 40% of the presenters at a conference, and the same goes for cultural diversity. The thing that struck me as the most glaringly obvious gap in thought leadership was that in CMP’s very own Head to Head section, three men are featured frequently, but never has there been more than one woman featured in this section. Here’s a random sample of women’s representation in thought leadership and media. At the MPC 2019 National Mortgage Conference, two of the six keynote speakers were women. Seven of the 50 MPC Hall of Fame inductees were women, and 21 of the Mortgage Global 100 list were women. In a random sample of 12 CMP issues, three of 36 Head to Head spots were given to women. Why is this happening? Because until now, nobody has demanded anything different. Most organizations, quite by accident, have been going along with the status quo: asking
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the same people, who have had their spotlight for decades in some cases, for input. Those at the top need to start questioning the status quo because not doing so actively stifles innovation. If you’re always getting the same people, or the same kinds of people, to provide input, how can you expect a culture shift? The Catalyst Women in Finance Report revealed that despite making up 50% of the financial services industry, women are representative of only 15% of C-suite or board
and 34% better at working out compromises. These sound like good leadership skills, no? The problem is, we can’t benefit from them unless the men in positions of power become allied with this cause and start sponsoring women by providing them with opportunities for growth and advancement. This starts with changing the corporate culture. The microaggressions women face are real: getting cut off in meetings, being excluded from growth opportunities, being appraised more on their appearance than their work, and having to prove their point and face ritual opposition from men over any ideas they bring to the table. Full-on assault, too, happens far more often than anyone would like to admit – the horror stories of being groped and grabbed, unsolicited backrubs, and passes from co-workers and men in positions of power all point to the fact that frat-house culture is alive and well. Going to industry events after work hours requires women to fend off advances or, in some cases, leave early or forgo attending altogether because it becomes unsafe to participate. Imagine feeling unsafe
“If you’re always getting the same people, or the same kinds of people, to provide input, how can you expect a culture shift?” positions across the industry. Male-to-male promotions accounted for nearly 40% of the gender pay gap. That’s right – all those golf and fishing trips, smoke breaks, and moments of bonding over sports, which women are generally excluded from, have real impacts when it comes time to climb the ladder. In a lot of cases, women aren’t even told of promotional opportunities before they see yet another colleague with mediocre performance and a large ego sail ahead of them. If you aren’t moved by this fact, then consider the mountain of research on the benefits of women in leadership positions. According to the Pew Research Center, women are 34% more likely to be honest and ethical, 27% more likely to outperform peers in the long term, 25% better at mentoring
at a professional event because booze-fuelled and ego-driven brokers lose the thin façade of respect after a few free drinks and relegate women to objects of their desire. We need to start speaking up when we witness misogynistic tendencies and sponsor women for leadership positions to create a more balanced work environment. This is not a fight between men and women. This is a fight against a small sub-group of men whom society has allowed to interfere with people’s ability to show up and do what they signed up for: work. Laura Martin is the COO of Matrix Mortgage Global, one of Canada’s fastest-growing companies. She will be a featured panelist at the CMBA Conference & Trade Show in October.
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PEOPLE
INDUSTRY ICON
IT’S ALL ABOUT THE ECONOMICS Most people know Dr. Sherry Cooper as DLC’s chief economist, but she’s also an author, a speaker and an advisor who continues to learn from her audiences both here in Canada and south of the border
THE PHRASE ‘celebrity economist’ might seem like an oxymoron, but Dr. Sherry Cooper has accepted the title in the same way she moves through life – in stride and with grace. Cooper strives to connect with audiences and help make the world of economics more accessible, and one of the things that makes her proud is when people approach her and say they understood everything. “The whole idea is to be understandable and to be able to communicate what is very complex and often volatile that none of us can truly predict, to give people the fundamentals and make them think that they’ve learned something, but they also have been entertained,” she says. Cooper has an MA and a PhD in economics from the University of Pittsburgh. She began her career at the Federal Reserve Board in Washington, DC, and subsequently moved to Fannie Mae as director of financial economics. She joined BMO Financial Group in 1994 when it acquired Burns Fry, where she had served as chief economist, co-head of fixed income and the first female director of a Bay Street investment firm. For the past five years, Cooper has been the chief economist of Dominion Lending Centres, and her experience there has differed greatly from her previous role as chief econo-
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mist and executive vice-president at BMO. “It’s a much smaller company – it’s a lot more entrepreneurial, far less bureaucratic, very grassroots-oriented and with a very flat management structure,” she says. “I get to talk directly to the brokers, both in terms of my written work as well as meeting them, speaking to large and small groups, and engaging with them and the issues that matter most to their customer base.”
in the United States was highly developed. That wasn’t the case here, particularly with private mortgage-backed securities, the market for which continues to be very thin (although she acknowledges that it’s “a double-edged sword” following the financial crisis). Perhaps the most interesting difference, however, is that regulation in Canada is principles-based, not rules-based. “In the US, because it’s rules-based, a lot
“Housing has always been a passion of mine because it is the most interest-sensitive of all sectors, and that means it’s the most economically sensitive of all sectors” In doing so, Cooper has developed a keen understanding of the questions Canadians have around homeownership – questions that differ somewhat from those homeowners have in the United States, where Cooper spent the first part of her career. One difference, she notes, is the strong history of industry innovation south of the border. By the time she came to Canada in 1983, the mortgage-backed securities market
of very smart people – investment bankers and lawyers – devote their lives to finding loopholes, whereas that’s not the case in Canada because it’s based on a principle, not just the actual stated rule,” Cooper says. “And I think that’s a good thing.”
Connecting with consumers Throughout her career, Cooper has always enjoyed working with consumers. She accepts
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PROFILE Name: Dr. Sherry Cooper Title: Chief economist Company: Dominion Lending Centres Years in the financial industry: 43 Currently reading: Why We’re Polarized by Ezra Klein
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PEOPLE
INDUSTRY ICON
plenty of speaking engagements and consultative work with governments, corporations and other institutions, but working with the people at DLC who service homeowners is exciting, she says. “Housing has always been a passion of mine because it is the most interest-sensitive of all sectors, and that means it’s the most economically sensitive of all sectors,” she says. “It’s always been a very important part of the work that I do as a financial economist, and it’s particularly interesting in the last five years, of course, because we went from a booming housing market, where virtually [all] forms of media were talking about housing bubbles,
Financial education Speaking with students and young people has also been a highlight of Cooper’s career. Most people don’t learn economic fundamentals in school, and many don’t know what monetary and fiscal policy does, how it varies from region to region, and how systems work differently across the US-Canadian border. But everyone is impacted by these dynamics to a certain extent, and Cooper takes it upon herself to act as an interpreter of that information. “What I like about economics is that it’s very rigorous,” she says. “It’s certainly mathematical and complex, but it’s also a social science and heavily impacted by psychology.
“Customer service is the name of the game because the very reason that anyone would talk to a broker is because they need advice. Mortgages are not a do-it-yourself endeavour” to a series of never-ending steps by all levels of government and the regulators to slow the housing market.” Today, plenty of factors continue to keep interest rates low, and although Cooper says there’s obviously a limit to how low rates can go, she admits they’ve been saying the same thing for years, and the low rate environment has persisted. Any upward pressure on rates, she adds, will likely be muted for the foreseeable future. In her current role at DLC, Cooper’s analysis helps brokers navigate the economic landscape and plan for that foreseeable future. The priority for today’s brokers, she says, is to stay on top of financial and digital innovations and to focus on customer service. “Let’s face it – customer service is the name of the game because the very reason that anyone would talk to a broker is because they need advice,” she says. “Mortgages are not a doit-yourself endeavour.”
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As a woman, we tend to shy away from mathematics and finance – at least my generation.” She adds that at even at an early age, girls can back away from numbers and gravitate to the language arts instead, but “everyone needs to be financially literate. I really feel sorry for people who are clueless because they can be taken advantage of. No one can rely on another individual for their financial well-being. We all need to be cognizant of how it works.” Despite the sheer number of presentations Cooper has done over the years, she still delights in explaining the subject and fighting misinformation in all its forms, continuing to find satisfaction in connecting with people over economics – or despite it. Economic data can be boring and dry, but presentation matters – and when it’s engaging, it surprises a lot of people, Cooper says. “I love it,” she says. “I find it very ener- gizing because it stretches me. I like being engaged.”
DR. SHERRY COOPER’S BESTSELLERS
2001 Ride the Wave: Take Control in the Acceleration Age
2002 The Cooper Files: How Canadians Can Profit and Prosper in the New Economy
2008 The New Retirement: How It Will Change Our Future
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2020-02-20 9:19 24/03/2020 3:51:47 AMAM
SPECIAL REPORT
TOP 75 BROKERS
TOP 20 20
BROKERS From diligently courting clients to staying up to date on regulations, this year’s Top 75 Brokers share the secrets to their success METHODOLOGY To qualify as a Top 75 Broker, applicants had to be employed and licensed as a mortgage broker in 2019, and had to have personally initiated all the residential deals/volume submitted. Brokers also had to provide a breakdown of their deals with verifiable lender contact information. All deals were residential, and while back-office support in processing the loans was acceptable, no other parties could receive commissions on these deals. To shine a spotlight on brokers pulling in impressive volumes in more limited markets, CMP also rounded up the Top 20 Small Market Brokers – those working in markets where the population is less than 250,000.
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BY THE NUMBERS
12
291
Average number of years in the business
Average number of deals in 2019
$118.8 million Average funded volume in 2019
THE TOP 75 BY PROVINCE
42
Ontario
24
British Columbia
3
Alberta Nova Scotia
2
Quebec
2
Manitoba
1
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CANADA’S BEST BROKERS and agents excelled last year, increasing their average funded volume by $15 million over 2018 and taking the time to learn the intricacies of new policies and pass along those insights to their clients and colleagues. This year’s Top 75 Brokers all funded at least $69 million in volume last year – $10 million more than last year’s threshold. Many said they achieved this by focusing on their core businesses and not stressing about things out of their control, as well as investing in continued education and going the extra mile to ensure a top-notch customer experience. With Canada’s housing market in recovery mode as of the end of 2019 and firmer property values emerging in many areas, the cost of homeownership is likely to rise in 2020. Even so, this year’s Top 75 Brokers remain dedicated to finding a way to turn clients’ dreams of owning a home into a reality. They share their strategies for doing so, as well as their predictions for the state of the mortgage industry in 2020, on the following pages.
75 TODD PAYZANT
73 ROB CAGNIN
Company: Neighbourhood Dominion Lending Centres
Company: Mortgage Architects
Location: Ontario
Location: Ontario
Total volume: $69.6 million
Total volume: $71.5 million
Loans funded: 247
Loans funded: 212
CMP: What was your primary strategy for growing your business in 2019? Todd Payzant: I continued to call renewals and work top-end referral sources. CMP: How do you think the industry needs to change to better serve both brokers and consumers? TP: The new rule of taking spousal support as a payment instead of a deduction of income is really going to hurt the person paying the support, yet CRA gives the customer a tax deduction on his income. So the higher-earning spouse is now not going to qualify, but the lower earner is. It makes no sense.
74 RAKHI MADAN Company: Key Mortgage Partners Location: Ontario
19,281
$8.91 billion
$7.71 billion
Total funded volume
21,819
Total number of deals
2019
2018
2019
2018
CMP: How did you navigate regulatory changes in 2019? Rob Cagnin: By keeping in touch with clients and continuing to offer solutions to meet their needs. When clients reach out and need help, responsiveness is very important. CMP: What can lenders do to help brokers achieve even higher volumes? RC: Continue to innovate and bring programs for self-employed borrowers and clients with net worth. CMP: What are the biggest challenges currently facing brokers? RC: Rising house prices, tight mortgage regulations and many potential buyers continuing to be priced out of the market.
72 BRAD UNRAU
Total volume: $71 million
Company: Maximum Mortgage Solutions
Loans funded: 142
Location: British Columbia
CMP: What was your primary strategy for growing your business in 2019? RM: My primary strategy for 2019 was to reduce the noise, focus on my core business and not worry about things beyond my control, such as B-20. I continued doing the same high-value activities that drove my business in previous years, but was laser-focused on my processes to ensure the ultimate customer experience. CMP: How did you navigate regulatory changes in 2019? Rakhi Madan: The only way I know how to navigate anything is with a compass. My compass in 2019 was my ability to truly understand new policies and lender guidelines. That took time and diligence on my part, but it eliminated the stress.
Total volume: $72 million Loans funded: 166
CMP: How did you navigate regulatory changes in 2019? Brad Unrau: We never looked back – we learned the new rules, accepted them and moved forward. Change only spurs on media attention, conversation and consumer inquiries, so we welcomed the changes and got ready to deal with the incoming questions. Alongside consumer education, we also spent more time with our clients to help them achieve their goals. CMP: What was your primary strategy for growing your business in 2019? BU: We improved internal systems, from staff to technology, as well as more consistent client communication and followup. Also, we took care of our staff members and made sure there is work-life balance.
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SPECIAL REPORT
TOP 75 BROKERS 70 DEB WHITE Company: DLC White House Mortgages Location: British Columbia Total volume: $73.6 million Loans funded: 233
CMP: How do you think the industry needs to change to better serve both brokers and consumers? Deb White: In the past few years, I have witnessed a huge curve in the awareness of brokers. Gone are the days that we are loan sharks – thank goodness. Through the associations in each province, consumers are becoming more and more educated on how a broker can be of great service to them. As long as we as brokers keep the awareness up, we will succeed. CMP: What’s your prediction for the state of the mortgage industry this year? DW: My belief is that the mortgage industry will stay strong and increase! The consumers are loving the personal touch that they receive when working with a broker and the hours that we work. With technology these days, we are answering calls and approving mortgages at 9 p.m. You don’t get that with the financial institutions.
69 JASON ANBARA Company: Mortgage Alliance Location: Quebec Total volume: $73.7 million Loans funded: 217
71 SHAWNA MACDONALD Company: The Mortgage Associates EST Location: Saskatchewan Total volume: $72.5 million Loans funded: 249
CMP: What was your primary strategy for growing your business in 2019? Shawna MacDonald: In 2019, the mortgage industry continued to see numerous changes, and communication with clients and lenders has never been more important. Although the most common client question is regarding rate, the answer is much more complicated than in the past. Today, a lot of effort is placed on understanding the client’s situation to determine the best rate, term, lender, and product and educating them on the mortgage process. However, often through this process, a strong relationship and appreciation of the mortgage broker is established. Client follow-up also is critical in maintaining these relationships, and as such, I typically try to contact my clients four times a year.
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CMP: What can lenders do to help brokers achieve even higher volumes in 2020? Jason Anbara: For lenders to achieve higher volumes, it’s important that they stay on top of rates and guidelines. You want your lenders and BDMs to know exactly what they offer. Give the agent a reason to send you business. It’s better to be the lender that bombards with information versus the lender people forget about because they rarely showcase their products. CMP: What’s your strategy to continue growing your business in 2020? JA: My strategy for 2020 is continuous education. You can never learn enough in this everchanging and rapidly moving industry. Habitual learning is going to be my key to growing this year. On top of education, I plan on pursuing my branding and taking it to a new level. A client has many options when it comes to brokers; I need to show them why I’m their best solution.
68 SUSIE INGLIS Company: DLC Mortgage Evolution West Location: British Columbia Total volume: $73.79 million Loans funded: 158
CMP: How did you navigate regulatory changes in 2019? Susie Inglis: More alternative lending. CMP: What can lenders do to help brokers achieve even higher volumes in 2020? SI: Faster turnarounds and allowing for our own appraisal contacts. The third-party appraisal system is too slow and expensive. CMP: What are the biggest challenges currently facing brokers? SI: B-20 and new provincial regulations.
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66 GERT MARTENS Company: DLC HT Mortgage Group Location: Alberta Total volume: $74.02 million Loans funded: 264
CMP: What was your primary strategy for growing your business in 2019? Gert Martens: Hiring a third assistant and more touches with past clients. CMP: How did you navigate regulatory changes in 2019? GM: I’ve been active in lobbying the federal government to make changes to existing policies. CMP: How do you think the industry needs to change to better serve both brokers and consumers? GM: Using advanced technology and becoming more digital.
65 JOSH PEREZ Company: Synergy Mortgage Group Location: Ontario Total volume: $74.52 million Loans funded: 180
67 CECILIA RAMOS Company: Ultimate Mortgage and Finance Solutions Location: Ontario Total volume: $73.82 million Loans funded: 181
CMP: Do you think consolidation will be a significant factor in the mortgage industry this year? Cecilia Ramos: Yes. As small brokerages struggle to keep afloat in the midst of tightened mortgage rules and lenders’ continued insistence on working with only producing and efficient agents and brokers, I think it will help the industry send a strong message to consumers that we are the most effective mortgage-originating channel of choice. CMP: What’s your prediction for the state of the mortgage industry this year? CR: I think more consumers are now realizing the real challenges of having to go through the current mortgage guidelines and are therefore becoming more open to other solutions that they may not have considered in the past, such as going through alternative financing companies with higher rates and fees. The most experienced and diligent brokers will continue to thrive, [but] the new and part-time agents will continue to face big challenges unless they are fully trained, mentored and supported by their brokerage.
CMP: How do you think the industry needs to change to better serve both brokers and consumers? Josh Perez: I think that by really taking the time to prepare clients on what is likely the biggest purchase and debt of their life, brokers will secure more committed clients from their competition. With more brokers taking this approach, consumers will be much more educated around this important financial milestone. In addition to rate, more value will be placed on our advice and things like breakage and penalty exposure, which have a direct impact on the total cost of a mortgage. This helps everyone in the circle.
64 CHAD OYHENART Company: The Collective Mortgage Group Location: British Columbia Total volume: $74.68 million Loans funded: 153
CMP: What can lenders do to help brokers achieve even higher volumes in 2020? Chad Oyhenart: Lenders and insurers both can help brokers continue to achieve higher volumes by innovating to make new mortgage products available to consumers and by finding creative ways to help consumers qualify on existing products. Self-employed individuals are one particular group where the industry as a whole could use some further creative solutions. CMP: What’s your strategy to continue growing your business in 2020? CO: My strategy has always been to find a way to deliver a balance of strong, personalized service while utilizing technology. While the two may seem divergent in theory, the advantage we have as mortgage brokers is to deliver an educated and superior experience to consumers, and technology plays a huge role in that. But the use of technology to deliver an experience to the consumer without personalized service is where we will lead to our own demise.
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SPECIAL REPORT
TOP 75 BROKERS 20 20
63 SUSANNA PENNING Company: The Mortgage Advisors Location: Ontario Total volume: $75 million Loans funded: 220
CMP: How did you navigate regulatory changes in 2019? Susanna Penning: I receive every change as an opportunity to show our value as an industry to our clients. Now more than ever, we are critical to the mortgage process. CMP: What’s your strategy to continue growing your business in 2020? SP: Maintaining unparalleled service and expert advice to create a solid base of thrilled clients who repeat and refer. CMP: What are the biggest challenges currently facing brokers? SP: Sadly, unethical industry members who commit fraud, overcharge in fees and generally tarnish our collective reputation.
62 CHRISTIAN AMURAO Company: CME Open Doors Mortgage Team Location: British Columbia Total volume: $75.5 million Loans funded: 173
CMP: How did you navigate regulatory changes in 2019? Christian Amurao: By educating our referral partners and database. CMP: What can lenders do to help brokers achieve even higher volumes in 2020? CA: Lenders can help brokers achieve higher volumes in 2020 by providing some more flexibility with their guidelines and innovating products to serve our growing market. CMP: What’s your strategy to continue growing your business in 2020? CA: Improve our marketing and be more present in the social media space. CMP: What are the biggest challenges currently facing brokers? CA: The ongoing changes in the market.
61 DION BEG Company: Butler Mortgage Location: Ontario Total volume: $76.5 million Loans funded: 175
CMP: What was your primary strategy for growing your business in 2019? Dion Beg: Assisting my Realtor partners in converting their existing homeowners into property investors. CMP: How did you navigate regulatory
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60 KEN LANKIN Company: The Mortgage Centre – Your Mortgage Professionals Location: Ontario Total volume: $76.6 million Loans funded: 330
CMP: How do you think the industry needs to change to better serve both brokers and consumers? Ken Lankin: Public awareness is still the key. Many referral sources battle the fact that a client has their own lender, yet loyalty will no longer win them over due to regulatory demands. People shop for cars – why not mortgages? We see many broken promises from branch network lenders; we won’t break the promise, as we do all the work upfront. CMP: What’s your prediction for the state of the mortgage industry this year? KL: The government needs to modify their previous changes. Not remove – just modify. They are taking the youth out of the marketplace and any chance for homeownership. Without the bank of Mom and Dad, the young ones – and some older – will never have their dream come true. I also believe the government should crack down on unsecured debt.
changes in 2019? DB: Setting client expectations early and explaining the changing landscape, including increased documentation requirements, so their personal goals could be achieved in the new framework. CMP: How do you think the industry needs to change to better serve both brokers and consumers? DB: I’m very happy with what our lender partners are providing. I believe the review of the stress test from a common-sense perspective is a smart move.
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SPECIAL REPORT
TOP 75 BROKERS 59 KEVIN LIDDIARD Company: DLC Easy Street Mortgages Location: Ontario Total volume: $77.4 million Loans funded: 232
CMP: How did you navigate regulatory changes in 2019? Kevin Liddiard: Simply put, you must stay informed and adapt accordingly. Tighter policies around mortgage qualification did result in a sizeable increase in the amount of alternative/private lending conducted throughout the year. CMP: How do you think the industry needs to change to better serve both brokers and consumers? KL: Get rid of the stress test and bring back 35-year amortizations. Eliminating or greatly overhauling the current federal stress test regulations will provide greater purchasing power to those who are struggling to get into the market for the first time, as well as open up more options for those who are at or nearing maturity in their term. More emphasis on consumer relations/best interests will improve relationships overall. Any relief we can provide to those currently being bogged down by these regulations is a step in the right direction.
58 SERGUEI TOTROV Company: DLC Your Mortgage Choice Location: Ontario
56 PHILIPPE BREAULT Company: CanWise Financial Location: Quebec Total volume: $79.4 million Loans funded: 237
CMP: What can lenders do to help brokers achieve even higher volumes? Philippe Breault: Better broker/ underwriter communication and relationships.
Total volume: $77.8 million Loans funded: 208
CMP: What was your primary strategy for growing your business in 2019? Serguei Totrov: I focused on working with my existing clientele. I try to provide good service, and people trust me and return to me with their new mortgages.
CMP: What was your primary strategy for growing your business in 2019? PB: Giving my clients good advice to structure their financial needs long-term while providing the most competitive rates and conditions on the market.
CMP: What are the biggest challenges currently facing brokers? ST: Banks have different rates and standards for lending through branches and through brokers.
57 ROB VELLINGA Company: DLC YBM Group Location: Ontario Total volume: $78.9 million Loans funded: 237
CMP: What was your primary strategy for growing your business in 2019? Rob Vellinga: My primary strategy was to work my existing database and reach out to past clients and referral sources. CMP: How do you think the industry needs to change to better serve both brokers and consumers? RV: In order for the industry to serve brokers and consumers better, there need to be more options for investors and for those purchasing rental properties. We need more commonsense policies and underwriting for those clients with high net worth and large portfolios. We need lenders to develop more rental programs so that there are more options for clients.
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55 DILMOHAN ANEJA Company: Truwest Mortgage Location: British Columbia Total volume: $80 million Loans funded: 101
CMP: What’s your strategy to continue growing your business in 2020? Dilmohan Aneja: Just be client-focused.
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54 JEFF ATTWOOLL Company: Verico Equity Care Mortgages Location: Ontario Total volume: $80.36 million Loans funded: 230
CMP: What can lenders do to help brokers achieve even higher volumes in 2020? Jeff Attwooll: Provide consistent underwriting conditions. Lenders and brokers get dragged down by files when there is a lack of communication. When the lender is consistent on what is required and communication is clearly indicated to the broker on what is needed in a timely manner, brokers can be more efficient to complete files quickly. This in turn will help boost broker volume. CMP: What are the biggest challenges currently facing brokers? JA: The biggest challenge facing brokers is keeping pace with the advanced technology that will continue to shape how a mortgage gets originated in the future. Banks are investing large amounts of capital to make the mortgage process quick and efficient without the help of a broker. Brokers must continue to add value to the mortgage process, which will beat the potential efficiency of technology from the bank. Brokers cannot relax in this environment, as we must come up with ways to win the client over.
53 ANGELA CALLA Company: Angela Calla Mortgage Team Location: British Columbia Total volume: $80.8 million Loans funded: 297
CMP: What was your primary strategy for growing your business in 2019? Angela Calla: My priority is education. Being in this industry for 16 years, the clearest demonstration of value that we have is with the access we have, and we can never educate people enough. Collaborating on how to educate people on the grassroots level is what I look to accomplish. You can never educate people enough, and you need to look at every opportunity to continue educating. CMP: How do you think the industry needs to change to better serve both brokers and consumers? AC: It seems to me that everybody is always taking steps in that direction. As we navigate between the digital immigrants and the digital natives, we’ll always be restrategizing how we can help people in the most effective manner possible. While we have technology to help us in our jobs, we also need to remember to take the time to learn about people and reinforce the value that we have to offer them and create interactions that are meaningful – removing stress and improving the health of our clients.
52 LENA OHANJANIANS Company: Ultimate Mortgage and Finance Solutions Location: Ontario Total volume: $81.4 million Loans funded: 154
CMP: What was your primary strategy for growing your business in 2019? Lena Ohanjanians: As a team, we believe in building long-term relationships with our clients to help them achieve their financial goals. Our strategy for 2019 was to maintain ongoing contact with our clients and enhance their customer experience. CMP: What’s your strategy to continue growing your business in 2020? LO: We will grow our business by expanding our team with experienced members who share in our vision and team culture. This will enable us to connect with more new clients while maintaining and growing our relationships with our existing clients.
www.mortgagebrokernews.ca
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24/03/2020 3:52:56 AM
SPECIAL REPORT
TOP 75 BROKERS 51 MAX AFZALIMEHR Company: Syndicate Mortgages Location: Ontario Total volume: $82.1 million Loans funded: 105
CMP: What was your primary strategy for growing your business in 2019? Max Afzalimehr: Today’s lending environment is complex, especially for brokers. To compete in the coming year, we have digitized the loan life cycle to achieve greater efficiency and cost-effectiveness. CMP: How did you navigate regulatory changes in 2019? MA: We have moved a larger portion of our business to trust companies and credit unions, which are able to compete without many of the regulatory challenges placed on banks. CMP: How do you think the industry needs to change to better serve both brokers and consumers? MA: There should be a greater broker/lender partnership on mortgage renewals. Often, brokers have to compete with the lender that they once placed the mortgage with. CMP: What’s your prediction for the state of the mortgage industry this year? MA: Brokers will see a greater market share in the years to come, as we have more access to a variety of products than the branch channel.
50 RAJ SINGH Company: Mortgage Architects Location: Ontario Total volume: $82.9 million Loans funded: 210
CMP: What’s your strategy to continue growing your business in 2020? Raj Singh: My strategy is to expand the number of lenders I work with. I believe lenders will continue to adapt to regulatory changes and launch unique products and policies. Staying current with any changes will help me present more options to my clients, which will hopefully lead to more business. Secondly, as my business is driven strictly by a referral network, providing excellent service to both referral sources and clients will be the primary factor in increased business for 2020. CMP: What are the biggest challenges currently facing brokers? RS: The biggest challenge brokers have is a lack of product options. When the stress test was rolled out a few years ago, many lenders had to streamline their product lines, and now most lenders are competing over the same type business. Having access to more unique products and policies would allow brokers to provide more lending options to our clients.
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49 LUISA HOUGH Company: Xeva Mortgage Location: British Columbia Total volume: $80.9 million Loans funded: 161
CMP: How did you navigate regulatory changes in 2019? Luisa Hough: As brokers, these changes allowed us to stand out more than ever in our industry – not only to educate my clients and referral sources, but also to solidify the importance of using a broker who has the knowledge and experience in the business to deliver the best possible financial solution for the client now and in the future. CMP: What can lenders do to help brokers achieve even higher volumes? LH: Currently I believe that the lenders are doing their best to help us achieve higher volumes. Their dedication to the broker industry is amazing, and I am grateful for the relationships I have built. If I were to have an ask of them, it would be to keep providing us with innovative and unique products for 2020. CMP: What are the biggest challenges currently facing brokers? LH: I feel that one of the biggest challenges that brokers are facing is the undercutting of rates between banks and other brokers. There is enough business for all of us, and we should continue to support one another.
www.mortgagebrokernews.ca
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48 BARRY M. BABOOLAL Company: Dominion Lending Centres National Location: Ontario Total volume: $83.9 million Loans funded: 230
CMP: What was your primary strategy for growing your business in 2019? Barry Baboolal: ‘Back to the basics’ – I focused on contacting my referral sources and database. I reached out to my clients, keeping them informed of rate changes, renewal dates and mortgage products that would be helpful in servicing their needs. CMP: What’s your prediction for the state of the mortgage industry this year? BB: The mortgage industry will thrive in 2020. As the industry landscape and regulatory changes continue to affect homebuyers and homeowners, clients will need the assistance of mortgage professionals in achieving their mortgage financing goals and requirements.
47 JAMES LOEWEN Company: Loewen Group Mortgages Location: Ontario Total volume: $84.67 million Loans funded: 297
CMP: What was your primary strategy for growing your business in 2019? James Loewen: Technology advancement and online presence. We’re proud to relay that 2019 brought about some of the largest changes and implementations in technology we’ve done to date. CMP: Do you think consolidation will be a significant factor in the industry this year? JL: Yes. We’ve already seen a lot of brokerage houses purchased over the last couple years, with the many becoming the few. Quite simply, I see this as a trend for large brokerage houses seeking to increase their portfolio of volumes, and also as a means of controlling what platforms are being used to submit these volumes to lenders.
46 SHARNJIT SINGH GILL Company: Verico Superior Mortgage Location: British Columbia
45 KURT HENRY Company: The Mortgage Centre – Durhammortgage.com Location: Ontario Total volume: $87.95 million Loans funded: 274
CMP: How did you navigate regulatory changes in 2019? Kurt Henry: We focused on our value with our awesome clients and amazing referral partners.
Loans funded: 152
CMP: What can lenders do to help brokers achieve even higher volumes? KH: Just plain old good customer service.
CMP: How did you navigate regulatory changes in 2019? Sharnjit Singh Gill: It was a difficult time, but we still managed to achieve over $86 million in mortgage funding. We have a total portfolio of more than 2,700 existing clients and reached out to them, which has paid dividends.
CMP: What was your primary strategy for growing your business in 2019? KH: To be hyper-focused on bringing value to my colleagues, clients and referral partners.
CMP: What was your primary strategy for growing your business in 2019? SSG: Repeat clients staying loyal and referrals from our existing clients. Also, educating our clients and the whole community via a radio talk show on Red FM in Surrey.
CMP: What’s your strategy to continue growing your business in 2020? KH: To bring even more value to all of our stakeholders, including our staff, clients and referral partners.
Total volume: $86.98 million
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24/03/2020 3:53:03 AM
SPECIAL REPORT
TOP 75 BROKERS 44 HIREN PATEL Company: Affinity Mortgage Solutions Location: Ontario Total volume: $90 million Loans funded: 165
CMP: Do you think consolidation will be a significant factor in the industry this year? Hiren Patel: Yes, I do think a lot of small lenders will be consolidating to achieve economies of scale. CMP: How do you think the industry needs to change to better serve brokers and consumers? HP: More media coverage from industry leaders and associations on why customers should use knowledgeable brokers for their financial needs, and educating customers on financial knowledge. CMP: What’s your prediction for the state of the mortgage industry this year? HP: The industry will definitely grow by more than 7% to 8% market share compared to bank originations.
43 DEREK MACLEAN Company: Capital Mortgages Location: Ontario Total volume: $90.3 million Loans funded: 195
CMP: What was your primary strategy for growing your business in 2019? Derek MacLean: We’ve really put a drive on breaking out of the traditional mortgage broker mould. I find that too many brokers are stuck doing things the same way they’ve always done them. You need to adapt and find new ways of accomplishing your goals. I’ve gravitated toward hiring younger professionals with little experience in the industry in order to avoid the old ways of doing things. Adding fresh perspective and flexibility to our team has really helped us bring our team into 2020 and beyond. CMP: How did you navigate regulatory changes in 2019? DM: My theory for navigating regulatory changes is focused on providing as much information as possible to the client. The more informed they are about the realities of the lending environment, the easier it makes our position. Providing accurate and palatable information for the average consumer is paramount. CMP: How do you think the industry needs to change to better serve both brokers and consumers? DM: I think the industry needs to push for more efficient mobile services for both brokers and consumers.
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42 PEARL KWAN Company: DLC Origin Location: British Columbia Total volume: $91.56 million Loans funded: 195
CMP: What was your primary strategy for growing your business in 2019? Pearl Kwan: To always keep in contact with my former clients while looking for new clients. Former clients are one of the major sources of referrals. I never let them think I forgot about them after getting them mortgages. CMP: What’s your prediction for the state of the mortgage industry this year? PK: I think it’s going to be better than the last two years. The real estate market has been cruising for quite a while. Potential buyers are more or less ready to purchase. A lot of them have been actively looking for properties, and lending policies are not as tough as 2018 and early 2019. Interest rates remain fairly low. Those are factors contributing to the bright side of the mortgage industry in 2020.
www.mortgagebrokernews.ca
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41 JANNA DAWDY Company: JCMortgages.ca Location: Ontario Total volume: $91.92 million Loans funded: 132
CMP: What was your primary strategy for growing your business in 2019? Janna Dawdy: My primary strategy for growing my business in 2019 was continuing to nurture my client base and referral sources. This is something that has always been very important to me and crucial for the growth of my business since the beginning. CMP: How did you navigate regulatory changes in 2019? JD: I never focus on regulatory changes. I always look beyond the negative and try to find alternate options and resources to get the deal done for my clients. Focusing on things you can’t change will ultimately have a negative return on your business, so I choose to work with the grain and not against it.
40 VARAN KARUNANANTHAM Company: iConnect Mortgages Location: Ontario Total volume: $92.05 million Loans funded: 209
CMP: What was your primary strategy for growing your business in 2019? Varan Karunanantham: I sought to connect with as many Realtors and past clients as possible, and to provide sound financial advice with a quick turnaround time. CMP: How did you navigate regulatory changes in 2019? VK: Having access to multiple lenders allowed me to find solutions for our clients. CMP: How do you think the industry needs to change to better serve both brokers and consumers? VK: We need to have a better education system for brokers so they can service the client with better understanding and knowledge.
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24/03/2020 3:53:15 AM
SPECIAL REPORT
TOP 75 BROKERS 37 SKYE MCLEAN Company: Mortgage Connection Location: Alberta Total volume: $95.2 million Loans funded: 239
CMP: How did you navigate regulatory changes in 2019? Skye McLean: By educating clients on the new mortgage regulations and showing them how it affects their options and interest rates. This is important due to how complex rate quoting has become. CMP: What was your primary strategy for growing your business in 2019? SM: Customer service and efficiency are key to my business. My core business is from referrals and repeat clients. Due to more frequent regulatory changes, product knowledge and industry updates were also important, and I worked to increase my knowledge in the industry to provide advice to my clients.
39 SCOTT H. BENTLEY
38 NICK KAAKI Company: DLC The Mortgage Source Location: Ontario
Company: Premiere Mortgage Centre
Total volume: $94.99 million
Location: Nova Scotia
Loans funded: 304
Total volume: $94.17 million Loans funded: 322
CMP: What was your primary strategy for growing your business in 2019? Scott Bentley: In 2019, we introduced additional steps to enhance the client and partner end-to-end process, from the initial referral through to post-funding follow-up. We had concentrated efforts on our key referral partners, which includes a select group of Realtors, builders and financial planners. In addition to this, we had a solid focus on our existing clients in process, as well as staying in front of our past client database with relevant market information. CMP: What’s your strategy to continue growing your business in 2020? SB: In 2020, we will continue to evolve the client and partner experience. We continue to grow and operate a full-service, advicedriven mortgage practice that works closely with key partners and raving-fan clients, rather than online advertising or a mass direct-to-consumer approach.
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CMP: What was your primary strategy for growing your business in 2019? Nick Kaaki: Customer satisfaction is the number-one priority for us, so my team and I are constantly working to get clients exactly what they need to succeed as homeowners. Every year, it’s important to focus on maintaining the quality of service and level of professionalism that your clients expect of you, and in 2019 I was able to continue doing that by bringing my daughter, Maya, into the team. She and I worked to make some of our internal processes more efficient, which was important for our team as well as our clients. CMP: How did you navigate regulatory changes in 2019? NK: Regulatory changes can cause a lot of stress for everyone involved in the mortgage process, and the most important thing I can do as a broker is to learn as much as I can about the changes and how they will affect my business and my clients. Understanding the ins and outs of policies and regulations helps me keep my clients informed.
36 MATTHEW O’NEIL Company: Mortgage Intelligence Location: Ontario Total volume: $95.6 million Loans funded: 200
CMP: How did you navigate regulatory changes in 2019? Matthew O’Neil: I focused on mastering the policies of a few lenders and funnelled the majority of new business to their books. This streamlined our processing, as I became more efficient. CMP: What’s your strategy to continue growing your business in 2020? MO: Continue to focus on the development of real estate agents, as they are the backbone of my business.
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34 INAM QURESHI Company: Syndicate Lending Corporation Location: British Columbia Total volume: $99.05 million Loans funded: 102
CMP: What was your primary strategy for growing your business in 2019? Inam Qureshi: We focused on growing market share by aligning ourselves with the right centres of influence in the industry. CMP: How do you think the industry needs to change to better serve both brokers and consumers? IQ: The industry currently does a great job in serving both brokers and consumers, but lenders should invest heavily in broker education. There are a lot of missed opportunities for brokers. Educating brokers means educating consumers indirectly, which would definitely help lenders grow their market share.
35 RAKHEE DHINGRA Company: Mortgage Savvy Location: Ontario Total volume: $96 million Loans funded: 153
CMP: How did you navigate regulatory changes in 2019? Rakhee Dhingra: It all comes down to the power of relationships. We have evolved to ethically break the box and provide creative solutions to fit our clients’ unique needs, whether that be enlisting the help of co-signers or working in a co-ownership scenario. That deep understanding of the client’s background allows us to mitigate any concerns on the lender side and help our clients achieve their wildest financial dreams. CMP: What can lenders do to help brokers achieve even higher volumes? RD: Our industry often underestimates the value of education. Partnering with underwriters is key to building a relationship with lenders, but the true value comes from what they are able to teach us. That educational piece is what drives business and sets them apart from other lenders. CMP: What’s your strategy to continue growing your business in 2020? RD: If it isn’t broken, don’t try to fix it! We have found incredible success by genuinely investing in our relationships with clients. Business comes when you don’t force it. We are getting leads based on our knowledge, trustworthiness and our understanding of how to execute a deal other brokers can’t.
33 VIKTOR SCHAEFER Company: OneLink Mortgage & Financial Location: Manitoba Total volume: $101.82 million Loans funded: 354
CMP: What can lenders do to help brokers achieve even higher volumes in 2020? Viktor Schaefer: Lenders need to continue to offer niche products and programs to give clients options and give brokers tools to compete against the Big Five banks. CMP: What was your primary strategy for growing your business in 2019? VS: In 2019, my main strategy was to improve my social media presence to make sure people are learning information from me first.
32 CHRIS ALLARD Company: Smart Debt Mortgages Location: Ontario Total volume: $102.84 million Loans funded: 316
CMP: What was your primary strategy for growing your business in 2019? Chris Allard: My team and I focused on being organized and efficient. This helps liberate more time to communicate with our clients. Communication is the key to success. CMP: Do you think consolidation will be a significant factor in the industry this year? CA: More choice means more competition, which means better options for borrowers. I hope we don’t see much consolidation of lenders. CMP: What’s your prediction for the state of the mortgage industry in 2020? CA: Access to mortgage information has never been easier for borrowers, but it creates plenty of confusion. Therefore, I see opportunity for us as expert mortgage professionals; 2020 will bring another great year for the mortgage broker industry.
www.mortgagebrokernews.ca
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SPECIAL REPORT
TOP 75 BROKERS 31 DREW DONALDSON Company: Donaldson Capital Location: Ontario Total volume: $103.3 million Loans funded: 131
CMP: What can lenders do to help brokers achieve even higher volumes in 2020? Drew Donaldson: Efficient and fast underwriting. Top-notch service. Looking at all aspects of a deal to try to make it work, especially when dealing with long-standing relationships [with brokers] who understand what can fit and what doesn’t. CMP: What’s your strategy to continue growing your business in 2020? DD: Building Donaldson Capital to be a premier brand and raising the bar for client service. We want to ensure our valued clients have the absolute best experience, unlike anywhere else.
30 TRACY LUCIANI PRICE Company: DLC Forest City Funding Location: Ontario Total volume: $104.71 million Loans funded: 349
CMP: What’s your prediction for the state of the mortgage industry this year? Tracy Luciani Price: Rates are going to come down, and the stress test will be modified. The pent-up demand for homeownership will create more opportunities for mortgage brokers.
28 ALEX MCFADYEN Company: DLC Canadian Mortgage Experts Location: British Columbia Total volume: $106.37 million
29 BRANDON WOODWARD Company: Bold Mortgage Group Location: Ontario Total volume: $105 million Loans funded: 300
CMP: What can lenders do to help brokers achieve even higher volumes in 2020? Brandon Woodward: Urge BDMs to help build stronger relationships between underwriters and brokers. Knowing how our underwriter thinks and views a file allows us to present our deals more effectively, which will serve to increase efficiencies and improve turnaround times on deals. CMP: What’s your strategy to continue growing your business in 2020? BW: Staying in touch regularly with our database, encouraging discussion and education around investing in real estate as a tool to build wealth. We have also built a number of very strong relationships with Realtors, lawyers and other great people in the industry that we look to continue to develop stronger connections with to grow our businesses together.
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Loans funded: 258
CMP: What was your primary strategy for growing your business in 2019? Alex McFadyen: Partnerships within the industry and continued focus on our purchase market, even in a slow market. I realized quickly that our business has evolved so much, and in order to stay successful, we needed to focus on just being better all around when it comes to proper wealth planning. Additionally, we focused our energy on doubling down on our consumer education, which we believe strongly in. CMP: Do you think consolidation will be a significant factor in the industry this year? AM: Significant? No. Will it happen? Yes. CMP: How do you think the industry needs to change to better serve both brokers and consumers? AM: Continued focus on adapting to new technology, with a focus on what is actually best for consumers.
www.mortgagebrokernews.ca
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27 ASIM ALI Company: DLC Royalty Financial Location: British Columbia Total volume: $110.58 million Loans funded: 250
CMP: What was your primary strategy for growing your business in 2019? Asim Ali: Reaching out to my database in a systematic fashion and building a passionate mortgage team whose goal was to better serve the community. The team was given specific tasks and timelines to accomplish those tasks. We also tried and tested different game plans to grow our business and fine-tuned our existing methods. CMP: How do you think the industry needs to change to better serve both brokers and consumers? AA: I think the education requirement for branch specialists and mortgage brokers should be improved. There’s a lot of misinformation that floats around the industry among banks and brokers, and this is partly due to the fact that anyone can become a branch specialist or mortgage broker with little to no education at the moment.
26 ENZA VENUTO
25 KYLE GREEN
Company: Centum InTouch Mortgage Solutions
Company: Green Mortgage Team
Location: Ontario
Location: British Columbia
Total volume: $115 million
Total volume: $115.88 million
Loans funded: 232
Loans funded: 315
CMP: How did you navigate regulatory changes in 2019? Enza Venuto: Navigating changes can always be a challenge, but it can also create more opportunities for us in the mortgage industry. Understanding the rules and being able to apply them to each situation gives us a leading edge. Educating ourselves and the clients and providing solutions is the greatest asset we have as brokers. Understanding products and what suits the client has given us a very successful year. CMP: What’s your strategy to continue growing your business in 2020? EV: Being accessible and hands-on, as well as continuing to be visible to our referral sources and clients, and building strong relationships with our partners.
CMP: What was your primary strategy for growing your business in 2019? Kyle Green: We grew our team and focused on improving our systems and processes to enhance the customer experience. This has allowed us to maintain volumes while many other brokers saw a dip in volume. CMP: How do you think the industry needs to change to better serve both brokers and consumers? KG: The industry needs to do a better job of making the process smoother and faster for clients by improving the technology. CMP: What’s your prediction for the state of the mortgage industry this year? KG: I expect that volumes will increase between 10% and 20% in 2020 as the market in many urban centres rebounds.
24 JAMES HARRISON Company: Mortgages.ca Location: Ontario Total volume: $116.5 million Loans funded: 265
CMP: What was your primary strategy for growing your business in 2019? James Harrison: In 2019, my strategy for growth was to hire a new office manager to help day to day and screen calls and emails so I could focus on live deals and closings. This helped us create a process where clients had to complete an application and provide income documents prior to booking a call with me. I have also provided clients with a link to my calendar so they can book a time that works for both of us. Hiring a second fulfillment specialist helped me and my other assistant in document collection and review. CMP: What’s your strategy to continue growing your business in 2020? JH: In 2020, we want our clients to continue following our process and conforming to the way we do things so we can serve them in the most efficient way. This will help us continue an extremely high level of service so they can experience the wow factor of working with us. If I can have each client refer one person, we can double our business.
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SPECIAL REPORT
TOP 75 BROKERS 23 CLINTON WILKINS Company: Centum Home Lenders Location: Nova Scotia Total volume: $117.18 million Loans funded: 506
CMP: What was your primary strategy for growing your business in 2019? Clinton Wilkins: Our primary strategy for growth in 2019 was finding better ways to have conversations with our customers. We were able to improve our communication through more efficient use of paid media, local media placements, data enrichment and delivering the right message at the right time to the right customer. Building stronger relationships with our clients has given us a significant advantage in the rapidly changing mortgage broker space. CMP: What’s your strategy to continue growing your business in 2020? CW: Our focus in 2020 is a continuation of our groundwork over the past five years: getting closer to our target customers and supporting their journeys. We have built a content library covering many areas of the mortgage process, and we have started reworking and redistributing this content in creative ways to help educate our target customers. Business is shifting from a transactional model to a relationship model. We are not looking for the next deal; we want to build long-term relationships with members of our community.
20 TRACY VALKO Company: Valko Financial Location: Ontario Total volume: $127.3 million Loans funded: 353
22 PAUL MEREDITH Company: CityCan Financial Location: Ontario Total volume: $119.75 million Loans funded: 271
CMP: How do you think the industry needs to change to better serve brokers and consumers? Paul Meredith: The technology available to our industry is far behind where it needs to be. While there have been some significant advancements in the past year or two, technology within our industry still has a long way to go. CMP: What’s your prediction for the state of the mortgage industry this year? PM: Given the considerable uncertainty within the global economy, mortgage rates will remain low, which will in turn fuel real estate sales. The industry will remain strong through 2020.
21 EITAN PINSKY Company: DLC Origin Location: British Columbia Total volume: $121.33 million Loans funded: 242
CMP: What’s your strategy to continue growing your business in 2020? Eitan Pinsky: My team and I are going to focus on the core value that made our business grow for the past seven years: consistent great service that goes above and beyond the transaction. We get paid for completing a transaction, but we get referrals from clients and Realtors for
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CMP: What was your primary strategy for growing your business in 2019? Tracy Valko: As a team, we focused on client experience and making the journey of our customers with The Valko Team exceptional. Client referrals and a strong online presence made our volumes soar for 2019. CMP: What’s your prediction for the state of the mortgage industry this year? TV: It will do exceptionally well in Canada. With a housing shortage and a demand for homeownership, housing prices will continue to trend upwards. Consumers will continue to use a mortgage professional in the broker space as mortgage rules become more complex and home values continue to soar.
the extra value we give. Whether we are providing a strategy guide to help our clients navigate potential future ‘payment shock’ or introducing them to financial planning partners, every little bit extra we do goes a long way to help clients feel much better during the transaction. CMP: What are the biggest challenges currently facing brokers? EP: I think the biggest challenges are twofold. One, bank rates when broker-channel lenders are not willing to match the RBCs, CIBCs and HSBCs of the world. And two, fighting against discount brokerages – their models are actually quite smart and useful.
www.mortgagebrokernews.ca
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19 VIKRAM SRAN
17 DANIEL PATTON
Company: DLC Sandhu & Sran Mortgages
Company: Butler Mortgage
Location: British Columbia
Location: Ontario
Total volume: $138.9 million
Total volume: $145.3 million
Loans funded: 270
Loans funded: 397
CMP: What was your primary strategy for growing your business in 2019? Vikram Sran: Helping clients and trying to get referrals from existing clients; also, following up with Realtors and our friends. Most of our business is based on existing client referrals.
CMP: Do you think consolidation will be a significant factor in the industry this year? Daniel Patton: Some consolidation is definitely coming. It seems like you must have a niche as a broker to make it through possible tough years ahead, as the everyday broker continues to fight an uphill battle against banks and regulation.
CMP: What’s your prediction for the state of the mortgage industry this year? VS: The market in British Columbia will boom again since a lot of demand and supply issues happen in Fraser Valley. I think that will keep the market and mortgage industry moving. If the stress test will relax a bit, it will help consumers buy their first home in Canada.
CMP: What was your primary strategy for growing your business in 2019? DP: Focusing on the relationships we have and how to improve those referral sources. Whether it be system changes, service changes or whatever, we try to adapt to the deal and focus on growing through referrals. go shopping, and adding new lenders and products to our product mix.
18 DALIA BARSOUM Company: Streetwise Mortgages Location: Ontario Total volume: $140 million Loans funded: 320
CMP: How did you navigate regulatory changes in 2019? Dalia Barsoum: We adjusted to the new norms by educating clients regarding the changing lending landscape, helping them proactively plan their financing before they
CMP: How do you think the industry needs to change to better serve both brokers and consumers? DB: Continuing to expand the mortgage product offerings to capitalize on growing consumer trends, such as business-for-self products or LOC products, and enhancing the underwriting and deal-closing support to mortgage brokers, which helps brokers deliver a consistent service experience. CMP: What’s your prediction for the state of the mortgage industry this year? DB: I think 2020 will be a solid year for the broker channel and the real estate market. There is a shortage of housing supply with continued rising demand for housing, which will drive volume. Deals are getting more complicated, and therefore consumers will always benefit from trusted advice.
16 HARRY TOOR Company: Mortgage Wisdom Corporation Location: British Columbia Total volume: $146.84 million Loans funded: 226
CMP: What are the biggest challenges currently facing brokers? Harry Toor: It’s tough keeping up with rate competition and lending policies from banks not in the broker space, mainly on conventional mortgages. Regulatory changes, high real estate prices and stagnant incomes are collectively making it challenging year-over-year. CMP: What’s your strategy to continue growing your business in 2020? HT: Strengthening referral relationships, investing more time to source business from existing clients and increasing marketing efforts will be key areas to focus on in 2020.
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SPECIAL REPORT
TOP 75 BROKERS 14 PAUL GAZZOLA Company: Guelph Mortgage Architects Location: Ontario Total volume: $158.68 million Loans funded: 495
CMP: What was your primary strategy for growing your business in 2019? Paul Gazzola: It was important to familiarize ourselves with many different financial institutions, banks and credit unions. Understanding what each lender offers makes it easier to offer tailored solutions to our clients.
15 JASON FRIESEN Company: Outline Financial
CMP: What’s your prediction for the state of the mortgage industry this year? PG: I can see this year becoming more digital, as our company and other companies have made the move to become paperless. I can also see an increase in alternative lending, so it will be important to familiarize ourselves with our lenders and their products.
Location: Ontario Total volume: $147.8 million Loans funded: 238
CMP: What was your primary strategy for growing your business in 2019? Jason Friesen: We used our own service and advice to continue growing our business. Everything has been organic through word-of-mouth advertising from our clients and referral partners, based on the service we provide. We have the same intentions every single day – to provide value-added service, advice and competitive rates. CMP: What are the biggest challenges currently facing brokers? JF: We need to raise the bar for professional standards and educational requirements to have clients’ perception of us change from a second option to the first and best option when they think of securing a mortgage. I put my team’s collective skills and knowledge against any bank employee, but we still have to spend time to sell ourselves versus how consumers view banks. We need to do a better job, industry-wide, in setting a higher standard so that the public perception of our industry changes.
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13 DAVID GRIFFIN Company: DLC Griffin Financial Group Location: Ontario Total volume: $159.15 million Loans funded: 600
CMP: How do you think the industry needs to change to better serve both brokers and consumers? David Griffin: Consistency with documentation requirements needs to be further streamlined. Turnaround times need to improve on both deal approval and document review. CMP: Do you think consolidation will be a significant factor in the industry this year? DG: I think we will see further consolidation this year as the landscape becomes more competitive.
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12 SHAWN STILLMAN Company: Mortgage Outlet Location: Ontario Total volume: $172.71 million Loans funded: 380
CMP: How did you navigate regulatory changes in 2019? Shawn Stillman: Honestly, 2019 was a year of the status quo. There were a few changes that impacted our business – our alternative and private business increased to about 15% of our volume, from under 2% three years ago. CMP: How do you think the industry needs to change to better serve both brokers and consumers? SS: Eliminate fraud – the amount of fraud we see and catch has increased greatly. By strengthening reporting and getting documents from the CRA directly, this can turn the tide.
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SPECIAL REPORT
TOP 75 BROKERS 10 NICK L’ECUYER Company: Mortgage Wellness Location: Ontario Total volume: $192.62 million Loans funded: 522
CMP: Do you think consolidation will be a significant factor in the industry this year? Nick L’Ecuyer: I believe further consolidation will occur in 2020. This consolidation will mainly affect independents and those with low volumes who are not part of a team. They can benefit from the status and compensation benefits they could obtain from a large team’s pooling. CMP: What was your primary strategy for growing your business in 2019? NL: Our primary strategy was to nurture our core two sources of business: repeat clients and real estate partners. If we take care of them, they will take care of us by returning and referring.
9 LEV KESELMAN Company: Peak Mortgage Company
11 MACKENZIE GARTSIDE
Location: British Columbia
Company: Select Mortgage Group – Mackenzie Gartside & Associates
CMP: What was your primary strategy for growing your business in 2019? Mackenzie Gartside: Keep my head down, work all the hours, be kind, smile. Remember that it’s not about the buck – it’s about helping people achieve their goals and dreams of affordable homeownership.
CMP: How did you navigate regulatory changes in 2019? Lev Keselman: There have been changes every year since I began in this industry, and with them, increasing challenges. I have learned to take it as it comes and work within the confines of what is presented to us as brokers. I’ve always taken the approach of treating any individual case as a puzzle, to put the pieces together with the overall picture in mind as the final completed result.
CMP: How do you think the industry needs to change to better serve both brokers and consumers? MG: I don’t think the industry needs to serve consumers. I think consumers are already overwhelmed and confused with all of the regulatory changes. They require more guidance from well-trained, professional mortgage brokers. I think it would be wiser for the industry to raise the bar on their requirements for licensing, better and more relevant continuing education, and mentoring.
CMP: How do you think the industry needs to change to better serve both brokers and consumers? LK: I think communication could be improved – first, so that the public has a better understanding of how we function and what we can offer, and second, between lenders and our brokers, to have better transparency and clarity. Respect for all parties is essential in maintaining our services and to provide better options for our clients.
Location: British Columbia Total volume: $182.79 million Loans funded: 602
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Total volume: $195.2 million Loans funded: 386
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8 VU LE Company: Clear Trust Mortgages Location: British Columbia Total volume: $195.44 million Loans funded: 375
CMP: What was your primary strategy for growing your business in 2019? Vu Le: Going back to the basics – reaching out to current and former clients to provide them updates on current market conditions in the Greater Vancouver Area. CMP: Do you think consolidation will be a significant factor in the industry this year? VL: I believe consolidation won’t be an issue for high performers who have been in the industry for some time. It would be a harder road for someone new entering as a broker, but if they keep at it and provide excellent product knowledge and service, the rewards of their hard work will definitely come.
7 WIN LUI Company: Clear Trust Mortgages Location: British Columbia Total volume: $197.34 million Loans funded: 343
CMP: What was your primary strategy for growing your business in 2019? Win Lui: We concentrated on furthering our relationships with all of our referral sources. We never over-promised and under-delivered; we were always upfront with the clients if we felt that the deal might end up with a B lender or private lender.
5 SCOTT TRAVELBEA Company: DLC Travelbea & Associates Location: British Columbia Total volume: $233.32 million
fortunate to have access to numerous lender and product options that benefit our clients. We need to ensure that all brokers are aware and motivated to learn as much as possible to be perceived as professionals and the number-one choice for home financing advice. While it is slowly changing, many clients still perceive the broker channel as an alternative solution when they cannot be helped by their bank.
6 JOANNA LANG Company: Outline Financial Location: Ontario Total volume: $204.82 million Loans funded: 284
CMP: What are the biggest challenges currently facing brokers? Joanna Lang: As an industry, we are
CMP: What can lenders do to help brokers achieve even higher volumes in 2020? JL: I anticipate that banks will continue to compete for market share. Brokers have been a great source for new client origination, and banks that deal with the broker channel are doing a great job of franchising these new relationships. I hope that banks that are currently not dealing with the broker channel will look for creative or selective ways to enter this market to gain market share.
Loans funded: 522
CMP: What was your primary strategy for growing your business in 2019? Scott Travelbea: I always focus on ensuring my clients have an incredible customer experience – specifically, a customized borrowing plan and a service level that allows and encourages clients to refer their friends, family and co-workers back to us. CMP: What’s your prediction for the state of the mortgage industry this year? ST: I believe 2020 will be a strong market, as rates look to be stable and the new stress test levels have balanced our market. In a slowing market, we tend to do better, as clients want to work with a broker who will use their extensive experience and relationships to help them achieve their personal financial goals.
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SPECIAL REPORT
TOP 75 BROKERS
4 RAMIN NAZARADEH Company: Gold Capital Corp.
3 ELVIS HUI
Location: British Columbia
Company: DLC Guaranti Mortgages
Total volume: $254 million
Location: British Columbia
Loans funded: 250
Total volume: $260 million Loans funded: 469
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CMP: How do you think the industry needs to change to better serve both brokers and consumers? Ramin Nazaradeh: More mandatory product knowledge for brokers and trying to get more lenders into the broker channel.
CMP: What was your primary strategy for growing your business in 2019? Elvis Hui: Always seeing customer’s needs as priority.
CMP: What’s your prediction for the state of the mortgage industry this year? RN: It will be raised, as more immigrants and more inventory will be in the market.
CMP: What’s your prediction for the state of the mortgage industry this year? EH: I believe the market will be picking up in 2020, as the interest rate remains lower.
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1 DAVE BUTLER Company: Butler Mortgage Location: Ontario Total volume: $443.5 million Loans funded: 1,094
2 COLLIN BRUCE Company: DLC Mortgage Mentors Location: Alberta Total volume: $351.8 million Loans funded: 1,157
CMP: What was your primary strategy for growing your business in 2019? Collin Bruce: Our overall volume was pretty good, even from the year before. Considering Alberta’s economy, we are pretty happy with that. For 2019, we really focused on profitability. We cancelled some expensive advertising contracts and ended up having our strongest year ever financially. CMP: How do you think the industry needs to change to better serve both brokers and consumers? CB: I am actually pretty happy and proud of the broker industry. I think consumers need to know why they should use a broker for their next mortgage instead of going direct to the bank.
CMP: Do you think consolidation will be a significant factor in the industry this year? Dave Butler: It’s possible. Truthfully, I thought 2019 would be a down year and that consolidation would be present for much of the year, but it ended up being the opposite and was a really busy year with really high volumes, specifically in Ontario. CMP: What’s your prediction for the state of the mortgage industry this year? DB: I believe that 2020 should be a very busy year. In Ontario, the demand appears to be very high, and supply appears to be low. With immigration still at high levels and with almost 50% of new immigrants coming to Ontario, this should keep things quite interesting. Throw a decreasing interest rate environment into the mix, and we could really see some fireworks.
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SPECIAL REPORT
TOP 75 BROKERS
TOP 20 SMALL MARKET BROKERS GEOGRAPHIC CHALLENGES are no match for CMP’s Top 20 Small Market Brokers. These men and women are pulling in impressive volumes despite being located outside major urban centres. The following list highlights the brokers and agents with the highest funded volumes in markets where the population is less than 250,000.
BY THE NUMBERS
$1.96 billion
$909 million
14 SHAWNA MACDONALD Company: The Mortgage Associates EST Location: Saskatchewan Total volume: $72.58 million Loans funded: 249
6,147
3,534
Total number of deals, 2019
Total number of deals, 2018
13 DEB WHITE Total funded volume, 2019
Total funded volume, 2018
Company: DLC White House Mortgages Location: British Columbia Total volume: $73.59 million Loans funded: 233
20 TYLER YATES
17 DARICK BATTAGLIA
12 KEN LANKIN
Company: Mortgage Wellness
Company: DLC YBM Group
Location: Ontario
Location: Ontario
Company: The Mortgage Centre – Your Mortgage Professionals
Total volume: $54.95 million
Total volume: $69 million
Location: Ontario
Loans funded: 222
Loans funded: 218
Total volume: $76.6 million Loans funded: 330
19 JANET MACDONALD
16 TODD PAYZANT
Company: Kingston Mortgage Solutions
Company: Neighbourhood Dominion Lending Centres
Location: Ontario
Location: Ontario
Company: DLC Easy Street Mortgages
Total volume: $61.45 million
Total volume: $69.59 million
Location: Ontario
Loans funded: 231
Loans funded: 247
Total volume: $77.4 million
11 KEVIN LIDDIARD
Loans funded: 232
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18 ZACH SILVERMAN
15 BRAD UNRAU
Company: Silverman Mortgage Group
Company: Maximum Mortgage Solutions
Location: British Columbia
Location: British Columbia
Location: Ontario
Total volume: $67.73 million
Total volume: $72 million
Total volume: $78.87 million
Loans funded: 119
Loans funded: 166
Loans funded: 237
10 ROB VELLINGA Company: DLC YBM Group
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9 JAMES LOEWEN
3 DAVID GRIFFIN
2 MACKENZIE GARTSIDE
Company: Loewen Group Mortgages
Company: DLC Griffin Financial Group
Location: Ontario
Location: Ontario
Company: Select Mortgage Group – Mackenzie Gartside & Associates
Total volume: $84.67 million
Total volume: $159.15 million
Location: British Columbia
Loans funded: 297
Loans funded: 600
Total volume: $182.79 million Loans funded: 602
8 JANNA DAWDY Company: JCMortgages.ca Location: Ontario Total volume: $91.92 million Loans funded: 266
7 VIKTOR SCHAEFER Company: OneLink Mortgage & Financial Location: Manitoba Total volume: $101.82 million Loans funded: 354
6 TRACY LUCIANI PRICE Company: DLC Forest City Funding Location: Ontario Total volume: $104.7 million Loans funded: 349
5 TRACY VALKO Company: Valko Financial Location: Ontario Total volume: $127.35 million Loans funded: 353
4 DALIA BARSOUM Company: Streetwise Mortgages Location: Ontario
1 NICK L’ECUYER Company: Mortgage Wellness Location: Ontario Total volume: $192.62 million Loans funded: 522
Total volume: $140 million Loans funded: 320
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SPECIAL PROMOTIONAL FEATURE
PRIVATE LENDING
Ethics and morality in private lending As private lending options become increasingly popular across the country, it’s more important than ever for brokers to choose experienced partners with a track record for responsible and ethical lending
PRIVATE LENDING is becoming an increasingly important source of financing for Canadians. Residential mortgages from non-bank lenders increased by more than 25%, to $41.1 billion, between the first and second quarters of 2019, according to Stats Canada. While alternative lending still makes up a small share of the total market, its overall growth over the past decade has considerably outpaced that of traditional lending. Historically, the lack of regulation in the private lending space has allowed for some unethical lenders and brokers to take advantage of naive borrowers, many of whom simply had no other options. This greatly diminished the reputation of the whole industry. While the mortgage stress test has certainly made a huge impact in leading more Canadians to private lenders, the segment has also seen the emergence of larger, more reputable and well-established lenders that are working to prove to Canadians that private lending can be a safe and advantageous option. “The industry is still not where it needs to be, but it is moving in the right direction,” says Bryan Jaskolka, COO of Canadian Mortgages Inc. (CMI), one of the fastest-growing mort-
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gage companies in the country. “A large part of that is due to the increased prominence of the private market itself.” Brokers are also coming around to the fact that learning more about the private lending space and its offerings can greatly benefit their clients, especially borrowers who have less-
ties, renewal fees and processes all have massive implications on the overall cost of borrowing for the customer,” he says. “It’s important to look at how lenders behave when problems arise.” Being ethical often extends further than just following the law. While private lenders
“The industry is still not where it needs to be, but it is moving in the right direction. A large part of that is due to the increased prominence of the private market itself ” Bryan Jaskolka, Canadian Mortgages Inc. than-perfect credit or are self-employed. So what should brokers look for when exploring partnerships with private lenders, and how can they identify the experienced, ethical lenders in the market? Jaskolka advises brokers to not only look at the initial funding of the transaction, but also at what happens after. “How lenders manage mundane things like interest penal-
have a fiduciary duty to represent their investors in the best way possible, many understand that working with the borrower’s best interest in mind is of equal importance. Creating a plan that supports the borrower encourages a positive relationship with the mortgage broker, which is likely to result in repeat business for both the broker and the lender, Jaskolka points out, adding that it’s
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to try and find a compromise that addresses everybody’s needs.” Being an ethical lender also means focusing on communication with borrowers and brokers. Communicating with borrowers ahead of time and evaluating maturing deals on an individual basis are some of the ways CMI stays ahead of issues. The most important part of the company’s communication strategy, however, is proper documentation. Herbert-Pettley says documentation not only sets the precedent from a servicing standpoint, but also holds everyone accountable for what is expected of them, which is a good ethical practice in itself. While some investors prefer to make deals over a handshake and in good faith, this is something CMI has always avoided. “To be ethical, you have to make hard decisions,” Herbert-Pettley says, “and sometimes they aren’t the most popular.” Finding the balance between earning also simply the right thing to do. In some cases, an issue like a bounced cheque can lead to a borrower facing exorbitant fees from a private lender – or even worse, ending up in default. Under Ontario law, for example, a mortgage can be deemed to be in default by a lender if a payment hasn’t been received by 15 days after the due date. At that point, a borrower may face charges and fees, making it difficult for them to get back into good standing. CMI, however, works with borrowers to make payment arrangements and defer collection costs if a payment gets missed. The goal is to ensure that the borrower can make their mortgage payments on time to keep their mortgage and credit in good standing. While some valid costs might accrue, those charges can often be deferred. Once everything is back on track, renewal remains an option for that borrower.
“To be ethical, you have to make hard decisions, and sometimes they aren’t the most popular” Lisa Herbert-Pettley, Canadian Mortgages Inc. “We don’t want to charge fees or put borrowers into default,” Jaskolka says. “We just want them to make their interest payments to us, and we want to help them do that.” This sort of compassion and flexibility is something that differentiates an ethical lender, says Lisa Herbert-Pettley, servicing manager at CMI. “We don’t automatically jump to apply penalties – we don’t want to punish a borrower for life circumstances,” she says. “We adhere to our contracts but also negotiate with our brokers and borrowers
revenue as a private lender and making the right financial decisions relative to a borrower’s risk profile isn’t always easy. At the end of the day, price comes second to comfort level, Jaskolka says, because it’s not in anyone’s best interest to take advantage of someone who doesn’t know any better. The number of ethical mortgage companies and professionals is growing, and many of them are already working with CMI. “We hope to see more companies follow suit, and we look forward to partnering with them in the future,” Jaskolka says.
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24/03/2020 3:55:12 AM
PEOPLE
BROKER INSIGHT
Working smarter, not harder MortgagePal president D’Arcy Henneberry explains how a strong focus on systems and processes has helped his online brokerage rise to the top
IN 2012, MortgagePal began with two brothers and one goal: to deliver low rates and a high level of customer service to borrowers across Canada. Since then, the online brokerage has morphed into a space where mortgage professionals can thrive under an efficient leadership team while taking advantage of both online and traditional models. “We don’t think that one way is better than the other,” says MortgagePal president D’Arcy Henneberry. “There are actual merits on both sides of the equation, and we think it’s really healthy business to take advantage of both models.” It was Henneberry’s brother, Jason, who came up with the strategy that he believed could set the brokerage apart from its competitors. The idea was simple: The money normally spent on traditional marketing to drive business would instead be funnelled back to clients by way of a rate reduction. The response was tremendous, and the Henneberry brothers quickly realized they were onto something. “We spent the next couple years developing systems and processes and learning how to manage a high-volume organization,” Henneberry says. After years of perfecting their approach, the same basic model remains. MortgagePal is steadfast in its systems and processes,
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which Henneberry claims are the key to the brokerage’s success. Everything is streamlined, allowing each broker to provide the same carefully curated experience for their clients. Henneberry describes Mortgage Pal as an à la carte service provider, offering support to agents who are developing their own business within the MortgagePal framework. Because of this, training and education are critical. “When an agent comes on, we mentor that agent,” Henneberry says. “We help them build their market strategy, discover how they want to be successful and how they want to generate business. We teach them our systems and processes that have been integral in our success in managing a large volume of business.” The mentorship process at MortgagePal has been developed to ensure that each broker comes out feeling confident in their
abilities and supported by their leaders. It involves direct coaching, shadowing senior team members and learning the industry from scratch. Initially, there’s a strong focus on underwriting to build a foundation of understanding before moving on to a more traditional sales-driven approach. “In order to be a successful mortgage broker, you need to understand your products, your services, the policies that exist in the market and how to leverage those policies to support your client and help them achieve their goals,” Henneberry explains. At that point, each broker is given some leads to manage so they can start learning how to have the right conversations with clients – but with the proper education and knowledge behind them. This access to a pipeline of leads is just one of the resources that MortgagePal offers its brokers. Underwriting and fulfill-
HENNEBERRY ON THE FAMILY ASPECT OF THE BUSINESS Jason Henneberry kickstarted MortgagePal, then brought his brother, D’Arcy, on to lead operations once the company proved successful – and the strong bond between the Henneberry brothers has clearly had a positive impact on the business. “Growing up, we had a great friendship, and that continues to be the case,” D’Arcy Henneberry says. “We never had conflicts growing up, so working together was a natural fit. The respect and admiration we have for each other is a big reason we are successful, along with the wonderful people we have on our team who work hard for their own business. We wouldn’t be where we are without the people on our team.”
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FAST FACTS: MORTGAGEPAL President: D’Arcy Henneberry Network: Verico Location: Victoria, BC Service area: Canada-wide, with brokers in British Columbia, Alberta, Ontario and Manitoba Accolades: Finalist for Brokerage of the Year at the 2018, 2019 and 2020 Canadian Mortgage Awards; finalist for Outstanding Customer Service from an Individual Office at the 2020 CMAs
“You need proper systems and processes from the outset in order to develop strong habits so that when you’re ready to scale the business, the foundations are already in place” ment services are available, as is document support, giving agents more time to focus on growing their business. “Whether you’re funding two files a month or 10,” Henneberry says, “you need proper systems and processes from the outset in order to develop strong habits so that when you’re ready to scale the business, the foundations are already in place.” There’s a huge focus on maintaining a
collaborative culture within MortgagePal, and brokers can rely on each other for support. Every week, team members across the country – MortgagePal currently has brokers across BC, Alberta, Ontario and Manitoba – join in on a sales call to highlight individual successes and discuss any issues. “We have agents calling each other to ask for advice, and we are happy to support each other,” Henneberry says.
The approach with clients is just as particular, if not more so. Brokers have deep discussions with clients on mortgage rates, the different sources of funds in Canada and a number of different variables so each client understands why their mortgage rate is so specific. MortgagePal is also known for its high referral and repeat customer rates, which Henneberry attributes to the brokerage’s relationship-building strategies. MortgagePal offers on-site education for referral partners, as well as Q&A sessions for Realtor groups. Going the extra mile to build a personal rapport with real estate agents beyond the office helps foster trust and prove that clients will be in good hands, Henneberry says. Moving forward, Henneberry says MortgagePal is always looking for ways to do better. “Even if we don’t think we had a fault in a situation, we are finding ways to mitigate problems before they happen,” he says. “We are focusing on our initial client consultations and spending more time upfront with the clients to make sure we have all the information we need to move forward.”
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FEATURES
MEETINGS
How to run successful virtual meetings With more people working remotely, virtual meetings have become crucial to gather a team. Donna McGeorge explains how to make your virtual meetings more efficient and effective
DOING ANYTHING by distance takes twice the time and is half as good. Unfortunately, if our face-to-face meetings are bad, then it’s likely our virtual meetings will be twice as bad (at least!). Running effective virtual meetings means navigating time zone differences, language barriers and technological inconsistencies. The three biggest criticisms of participants in virtual or distance meetings are that people are not fully present on the call and are checking emails or having side conversations with their phones, that the speaker or presenter often simply reads the slides, and that they go on for too long and much of the content is not relevant to everyone. Good protocols are important for both physical and virtual meetings. Here are some tips for handling virtual meetings. Be prepared. Make sure everyone knows why they’re there and what’s expected of
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them. Send out an agenda, or at least a purpose statement, so that people are clear about the reason for the meeting. Be punctual. Start and end on time. As the meeting convener, be online at least 10 minutes early so you can manage any tech issues. Be present – and keep it short. Distractions are everywhere, so by keeping virtual meetings to 25 minutes or less, you are more likely to keep people focused. In addition to improving how we meet generally, when it comes to virtual meetings, there are other things we need to consider.
Use the camera This is particularly useful for one-on-one meetings or smaller groups, but not so useful once you have more than six people on the
call. Using the camera creates a stronger connection, and you’ll gain access to the visual cues that an auditory interaction can’t provide. Of course, there are exceptions. Your teammates on those late-night conference calls don’t need to see you in your pyjamas. When videoconferencing: Speak clearly and slowly. This is especially important for multicultural meetings. Accents can be hard to understand. Move and gesture slowly and naturally. Depending on the bandwidth, movement can slow things down or create pixellated images. Look into the camera. Don’t look at yourself on the screen. Dress appropriately. Often we think that distance means we can be more casual, but this is not true; you still need to be professional. You also need to think about colours and patterns that might be jarring on the screen. Put your microphone on mute. When you aren’t speaking, be aware of background noise and keep your movement to a minimum. Use the ‘hands up’ function. This is a better way to let people know you have something to say than trying to speak over the top of others. Stay focused and present. Keep focused on the task at hand, just as you should at an in-person meeting.
Run it like a radio show The next time you’re listening to the radio, pay attention to how the announcer refers to the audience. Typically, they don’t say, “Welcome, everyone out there in radio land.” They say things like, “Thank you for joining me today.” This is because they realize that the relationship between the radio announcer and the listener is one-on-one. The listener is often alone in a car, sitting at a desk or listening via headphones, so referring to “everyone” creates a disconnect.
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It can be the same when running virtual meetings. In many cases, the participants are sitting in a room or at their desks with headphones on, looking at a screen. Even when using the camera, the radio principle applies for creating inclusion and engagement. Instead of saying things like, “Thank you all for coming” or “Many of us have,” try saying, “Thank you for making the time” or “You have.”
Tell ‘em and tell ‘em again Everyone in a meeting has to have a role. This is especially important in a virtual meeting. You need to be very clear on what level of participation you need from everyone involved. Let them know in advance that you might call on them specifically for input or information. Remind them that you can’t afford for people to not be fully present. In addition, to get the best from your
virtual or distance meetings, you need to: Use the video to see people’s faces, not to
share slides Be considerate of other attendees’ time
zones and schedule meetings appropriately Encourage those in remote locations to
speak or contribute first Encourage those dialling in to book a room
or private space for the meeting (not just be at their desk) Use different methods of communication to
remind people of your expectations of the meeting; for example, instead of sending out an email, maybe take the time to send a personal instant message to make sure people are clear Make sure the meeting charter for recur-
Run a training session on how to effectively
use the technology; don’t just assume people know how Given a choice, face-to-face meetings are always going to be more effective, but for those times when you need to do virtual meetings, remember that, as the meeting leader, it’s up to you to set the tone and expectations, no matter where in the world people are. Donna McGeorge is a speaker, author and mentor who helps people make their work work. Using a creative, practical approach, she improves workplace effectiveness while challenging thinking on leadership, productivity and virtual work. She is the author of The 25-Minute Meeting: Half the Time, Double the Impact. Find out more at 25minutemeetings.com.
ring meetings is available to all
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OCTOBER 30, 2020 | WESTIN HARBOUR CASTLE, TORONTO OCTOBER 30, 2020 | WESTIN HARBOUR CASTLE, TORONTO
CONGRATULATIONS TO THE 2020 FINALISTS CONGRATULATIONS TO THE 2020 FINALISTS The selection of individuals and organizations across 20 categories are a true theorganizations mortgage industry outstanding The snapshot selection of excellence individuals in and acrossfor 20their categories are a true achievements, innovation and leadership over past year. snapshot of excellence in the mortgage industry forthe their outstanding achievements, innovation and leadership over the past year. Join 600 of the foremost mortgage professionals in the nation as we celebrate the successes reveal this year’s winners the highly Joinindustry’s 600 of the foremostand mortgage professionals in theatnation as weanticipated celebrate the black-tie gala! at the highly anticipated industry’s successes and reveal this awards year’s winners black-tie awards gala!
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PEOPLE
CAREER PATH
RISING IN THE EAST His commitment to lifelong learning has helped Leslie Penney go a long way in a short time Raised in a small Newfoundland town, Penney’s early interest in business compelled him to study finance at university. “I wanted to be a business owner; I didn’t want to live off the land. When my father retired from fishing, he offered it to my brother and I, and I knew that wasn’t the life I wanted. I wanted to live in the city and work on Bay Street. I didn’t want to fish for the rest of my life.”
2003 CHOOSES BUSINESS
2010
RECEIVES A PROMOTION After only three years in the mortgage industry, Penney was promoted to VP of business development at his firm.
“They trusted me because of my work ethic; they knew I worked day and night to service clients and learn the business. When you stop learning and changing, you become stagnant”
2008
GETS INTRODUCED TO MORTGAGES Penney’s first job out of university brought him into the world of mortgages. “A brokerage had just opened up and was looking for brokers, and I thought, ‘That sure sounds good to me.’ It was a challenge to be 23 with no experience in mortgages – not even having one – and getting people to take me seriously. It was fake it ‘til you make it.”
2013
GOES INTO POLITICS When his work in the community connected him with a parliamentary secretary who was in need of an executive assistant, Penney decided to switch gears. “It exposed me to a whole other world that I would not have experienced otherwise. I did it for a year and a half, but the long hours are different when you’re working for someone else rather than for yourself.”
2014
MOVES BACK TO MORTGAGES Having continued to write mortgages on the side while serving as an executive assistant, Penney found himself at a crossroads that eventually led him to recommit to the mortgage industry as a broker with Mortgage Alliance. “I was five years in and didn’t want to let [the mortgage business] go, and I felt I had no long-term political aspirations. If I was doing both, I knew that would really mean leaving mortgages behind. I felt I had reached a point where I had to take a leap to grow my own business.”
2016 2018
JOINS EAST COAST To propel his business further, Penney decided to align himself with Newfoundland’s biggest brokerage, East Coast Mortgage Brokers. “The East Coast brand has the best presence in the province; I thought, ‘Why not partner with them?’ In order for me to grow, I felt I should merge with them and avail myself of some of those resources.”
TAKES A SEAT AT THE TABLE His considerable profile in community work led to Penney being asked to sit on the board of Habitat for Humanity, an organization that has a special place in his heart. “Habitat for Humanity means the most because it goes hand in hand with what we do. I am always trying to get involved in volunteer work.”
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PEOPLE
OTHER LIFE
TELL US ABOUT YOUR OTHER LIFE Email mortgagebrokernews@kmimedia.ca
Buckley ties a ba nner bearing his fa mily crest to the cere monial pipes of a cadet, symbolizing his donation
13
Age at which Buckley first joined the Cadets
$300,000 Amount Buckley helped raise for the Cadets between 1998 and 2004
1,100
Number of Cadets corps across Canada
CALL OF DUTY Gerard Buckley’s days in the Cadets might be over, but his work with the organization continues GERARD BUCKLEY spent his teen years in the Cadets, so when he was invited to become involved in fundraising in 1995 “to help Cadets corps in economically challenged parts of Canada,” he leapt at the opportunity, and he’s been a formal board member since 2001. Buckley, a Georgian Bay-based mort-
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gage agent at Mortgage Wellness and a founding partner of Jaguar Capital, says his involvement is driven by a desire to give back. “I have a strong interest in being community-minded,” he says, “and the Cadets contribute to the youth of Canada.” Especially close to Buckley’s heart is the Blackdown Cadet Summer Training
Centre at CFB Borden, where 3,000 cadets train every summer. Buckley estimates that he has contributed $30,000 from his family fund to the Cadets’ band program over the last three years. “Music is a symbol of the Cadets,” he says. “It leads to visibility in the community, and the band is expensive to operate.”
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Everybody has a story
A mortgage application is just a snapshot Let’s partner and ask the right questions to truly understand your client’s story. Together, we can develop the right financial solution. To see the whole picture, visit hometrust.ca/realstories
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