Broker clarifies Toronto Star comment

Broker clarifies Toronto Star comment

Broker clarifies Toronto Star comment

A mortgage professional advising homebuyers to choose brokers doing 100 or more deals a year is now clarifying that comment published in the country`s largest newspaper.

“Certainly there are very good brokers that do less than 100 deals a year,” said Paul Poirier, of Dominion Lending Centres – Eagle Group in Concord, Ont. “My comments were never meant to disparage those brokers.”

Last Thursday, Poirier was one of two brokers profiled in a Toronto Star article explaining the benefits of using a broker over going directly to the branch. The article has been largely viewed as a win for the industry, as it tries to up its profile among consumers.

Still, some brokers have taken issue with what they understood Poirier, a high-volume broker, to have said about finding a quality mortgage professional.

The report describes Poirier as suggesting consumers look for brokers who do a minimum of two deals a week, ostensibly as a way of weeding out the true professionals from part-timers.

“’Ask how many mortgages he or she does in a year. The more they do, the better chance you have of getting a lower rate,' he says. This is because banks offer deals to brokers who bring in a lot of business. And what’s the magic number? Poirier says 100 or more per year — or at least two a week.”

Poirier is concerned some broker may have been offended.

“I think some people misinterpreted my comments,” the DLC broker told MortgageBrokerNews.ca. “The explanation behind what I said should have been expanded.

Poirier stands by the magic number, but added it is by no means arbitrary.

“Of course there are many brokers who don’t get to do this much business. Maybe some operate in locations that do not get that volume of business,” he said. “I am not saying that they are all less capable brokers, but those who do this full-time are in a better position to serve their clients than part-time brokers.”

Brokers that typically transact a large volume of deals are more likely to provide their clients with some advantages, Poirier said.

“For example, if you do more deals you are not only more familiar with the process but are also likely to be updated on the products, programs and promotions that lenders offer,” he said. “Under tiered bonus programs offered by many lenders such as ING and Street Capital, the more business a broker brings to them, the lower rate they qualify for.

“Sometimes lenders provide brokers with bonuses which the agents can then use to buy down rates for their clients.”
 

14 Comments
  • Wade Turner 2012-09-06 8:19:03 AM
    I found Poirier to sound pretentious. It may be due to individuals like him that give consumers reasons to distrust any broker especially when a repretentative from a so called major brokerage and industry leader would be allowed to make such comment and still be welcome as an industry member.
    Post a reply
  • Derek Rowley, RMA 2012-09-06 11:20:42 AM
    There is an old and true saying, "make sure your brain is in gear before your mouth goes into action"

    Derek Rowley
    Post a reply
  • Mary S. 2012-09-06 11:21:41 PM
    It's unfortunate that this "clarification" is not being published by the Toronto Star. Fellow industry professionals may feel appeased. Sadly, the general public will never get a chance to see it. Let's stop painting all part time agents with the same brush...I am a part-timer and new to the financial services industry. I have a single income household with me as the sole bread winner. My choice to become self employed as a mortgage agent has made it necessary for me to continue working at a full time job while pursuing and growing my mortgage business evenings and weekends. It's the practical thing to do because it will take some time before my mortgage business is robust enough to support me financially. I'd like to ask Paul Poirier how many deals he did during his first year? Or his second year? I don't feel that working on this part time puts my clients at a disadvantage. I am conscientious and dedicated to my new career as a mortgage agent. I take the time to study lender products and programs and stay informed about the industry. I meet regularly with more experienced agents to discuss the business and have found that despite my junior (part-time) status, I am able to keep pace with them in terms of planning and executing a difficult deal. So, again, I ask that all members of this industry be supportive of one another - regardless of their part or full time status.
    Post a reply