Broker borrows 'look and feel' of rate sites

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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.

  • George Christopoulos on 03/01/2013 7:59:32 AM

    another year goes by and still the same story , rate , rate , rate. happy 2013 or was that 2012.5

  • Robert Stanfield, Invis agent on 03/01/2013 8:24:34 AM

    Rate, rate, rate, there is so much more to our services as brokers than rate. I repeatedly get clients that call me for a rate match. With some conversation and time spent looking into what the client needs, rate is very seldom the first criteria. My business is 100% referral based, and when I do compete on rate, I find those clients never refer their friends and family to me. They aren't worth the effort and time spent not looking after a client that values what i bring to the table.I do find it very easy to take clients away from rate selling brokers. I have clients for life, rate selling brokers have clients for one transaction. I think it is easy to spot the broker model that will survive the test of time. Just my experiencee and opinion. Looking forward to a strong 2013.

  • Nick Mitskopoulos on 03/01/2013 8:44:25 AM

    Well its time that Brokers present themselves more like finanical advisors-- they deal with clients assets and bring alot of vaule to the table- Brokers deal with the debt side - so think of yourself as a "debt advisor" instead and it change the whole conversation away from the typical "rate" conversation.

  • Alyssa Richard on 03/01/2013 3:35:50 PM

    Congrats Pankaj. Though I might be biased I think it's a winning strategy :)

    Can you share the URL so readers can have a look?

  • Ron Butler on 04/01/2013 4:00:21 AM

    I think the rate peddler versus sage advisor debate will eventually be settled by the same person who is always the "decider"....... the consumer.

  • Blair Anderson on 05/01/2013 4:01:22 AM

    If you want to be a commodity broker, you're in the wrong industry. As advisors, it's our responsibility to educate the public. I invite everyone to join the social netowrk, www.MortgageResource.ca and keep the education going. It's not a rate site, it costs nothing to join, and nothing for the leads you will earn!

    Happy 2013.

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