“We don’t see a need for an immediate shift in policy,” Finance Minister Joe Oliver told the Bloomberg Economic Conference in Toronto on Thursday according to the Financial Post. “We want to make sure that the rules we have in place — which we have modified to take the froth out of the market — continue to respond to the economic realities,” he added.
It’s welcome news to brokers who have dealt with the frustrations of increased regulation for years.
According to the most recent CMP Broker Sentiment Poll, brokers were asked how well the government has handled the issue of mortgage regulations. Provided with a scale of 1 (poor) to 10 (excellent), brokers gave an average score of 5.45.
Still, the government’s lack of interference may not last as long as some might hope, according to one industry veteran.
“The repercussions in the States from the downturn have been a real heightening of regulatory regimes,” Gerald Soloway, CEO of Home Capital Corp. told CMP. “In Canada they never were as loose as the U.S. regulatory regime but I think the political pressure is also building in Canada and has been building that there will be an ongoing tightening of trying to get companies to comply with best practices which also goes back to mortgage brokers that they do their job well.”
Soloway spoke at length with CMP for a feature in its upcoming magazine. Watch out for that issue, as he touches on a number of interesting subjects brokers won’t want to miss out.
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The Bank of Canada has made a number of mortgage policy changes – including a number of measures that have drastically impacted mortgage broker business – but the Bank of Canada has said it is done tinkering with programs for now.