Statistics Canada released its employment numbers Friday and, while the unemployment rate remained unchanged, one segment received an injection of new talent. And it’s a segment known to turn to brokers for their mortgages.
The country added 40,000 self-employed people to the workforce in December, according to StatsCan.
Good news for brokers.
“The rules to qualify for business-for-self clients are tighter, so they really have to know where to go,” Mark Mighton, a broker with RMA Home Free Mortgages, told MortgageBrokerNews.ca. “So when they work with someone who has exposure to more options helps them get the best mortgage. A lot of BFS clients fall in my lap.”
Brokers are best equipped to service self-employed Canadians, and that holds even truer for Canadians who are new to the self-employed world.
“The banks are pretty fussy … if you’ve been self-employed for less than two years it’s even more challenging because you don’t have the proper tax information,” Mighton said.
The latest data supports StatsCan’s optimistic outlook on self-employment released last fall.
According to Statistics Canada, over half a million Canadians become self-employed every year. And that number grows when general unemployment ticks up.
“Canada has a relatively large group of self-employed individuals who operate unincorporated businesses,” StatsCan said in an October report. “In 2014, there were more than 1.5 million Canadians engaged in unincorporated self-employment activities, accounting for 9% of total employment.”
The latest numbers are in and they give reason for brokers, especially, to be optimistic.