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Mortgage Broker News | 02 Jun 2014, 10:02 AM Agree 0
CAAMP’s comprehensive quarterly report, entitled “Looking for a ‘New Normal’ in the Residential Mortgage Market”, points to just how prevalent rate discounting is across Canada.
  • Angela Wong-Liao - Invis Inc | 02 Jun 2014, 11:39 AM Agree 0
    As a rule of thumb, spring market is the busiest and the most competitive, lenders are all out of their special promotional pricing to remain competitive in the market place.
  • Brian Lambert | 02 Jun 2014, 12:18 PM Agree 0
    You silly rabbit, you only settle for half a carrot? That's the problem with rate sites, you have to deal with tire kicks all day long. You buy down the rate and loss 50% commission. You have nothing to offer the client other than a rate buy down. I refuse to run a business that way, we work with our clients face to face and give them real time education and planning. A client has to feel that they to are getting something other than just a low rate. We all know to well that its not about the rate unless that's all you are offering. Banks can beat those buy down rates any day if they want to save their client! Stop trying to win your clients over with rate and win them with value. I have clients all the time tell me that they see lower rates on Rate Hub. They still do the business with us because I point out our value add service which is worth more than the .15% in rate.
  • Ron Butler | 02 Jun 2014, 12:25 PM Agree 0
    @ Brian, I mean absolutely no disrespect but are you saying you have never lost a mortgage to competitive rate discounting in your whole career?
  • Brian Lambert | 02 Jun 2014, 12:33 PM Agree 0
    Hi Ron, yes I have indeed lost clients. But most of the clients are what I referred to as tire kickers, shopping for the lowest rate. My preferred client is one that is interested in long term planning. Face to face planning. They are also the ones that send us all the referrals because of our unique planning. We also cross sell these client offering investment and insurance advice. They become life time clients.
  • Ron Butler | 02 Jun 2014, 12:37 PM Agree 0
    @ Brian, that makes sense, in the not to distant future enveloping the client in a complete financial planning program with all the ancillary services: insurance, investments, tax planning may be the most effective way to retain clients.
  • Brian Lambert | 02 Jun 2014, 12:47 PM Agree 0
    @ Ron: You are right. We all know the numbers. If you have a one product client, you will have difficulty in retain them. Two product client better retention. Three product client or more, they tend to stay with you and bring their family, friends and co-workers over too.
  • Adrian | 02 Jun 2014, 06:12 PM Agree 0
    Well said Brian.. The days of selling on rate went out with the garbage.. Service and value, cross sell and retain.
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