In the final part of his two-part series, one leading broker explains the buydown component of his renewal conversion process.
If you haven’t yet read part one, click here.
Act 2: Pursuing a bigger slice of the pie (the pie I baked)
It has become hard to ignore the constant chatter around rate buy-downs, with one lender in particular offering a stellar product recently voted Mortgage of the Year by Canadian Mortgage Trends. Taking a page from that playbook, here is a game plan I am currently in the early stages of working. It is not meant for the first-time-caller. It is purely intended for existing clients who fit a specific profile largely dictated by the specific lender that supports my ability to offer a rate typically 0.20 per cent below anything the client’s current lender can approach.
• Existing client (application already built = time saved)
• Trust and rapport already established
• Owner-occupied properties only
• Maximum two properties on the application
• Currently with a chartered bank or credit union. (Creates an IRD conversation)
• No BFS stated income
• Legals and appraisal NOT guaranteed to be covered (Collateral)
There is a detailed conversation to ensure that this product is the right fit, and thus far my clientele maintains a 90 per cent pro-variable rate selection.