A Toronto broker has taken a page from rate comparison sites, borrowing their look and feel to drive more online shoppers to his own rates -- and no one else's.
"The cost of generating leads through rate sites can be $500 or $600 to get five to 10 leads, which will only get about one deal," Jay Goyal, with Centum FairTrust told MortgageBrokerNews.ca. "With my site I'm saving that money and using it to give the client a rate that is better than the rate sites."
The broker moved last month to revamp his existing website, effectively bringing the look and feel of a comparison site to the web portal. While all rates are updated daily, they are all Goyal's. The goal isn't to trick rate shoppers but to provide them with the user-friendly format many are now accustomed to.
Goyal is working on search engine optimization to increase his clicks and better position the site to compete with RateSupermarket and its growing number of competitors.
Still, "at the end of the day," he told MortgageBrokerNews,ca, his site will rely on competitive rates, effected in part by buydowns, to convert any leads.
Goyal's approach is meant as a direct answer to the growing use of rate sites by online mortgage shoppers and the increased willingness of brokers to compete in that marketplace.
Still, some seasoned brokers remain concerned that he and other brokers are narrowing the field of focus for clients and reducing the value proposition of mortgage professionals.