Street 'doubles' broker market share

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Street Capital has effectively doubled its percentage share of broker originations in the first quarter compared to a year earlier.

“The company doubled its percentage share of mortgages underwritten through the Canadian mortgage broker channel to more than 8 per cent in the first quarter of 2012 over the first quarter of 2011,” reads a press release from the lender’s parent company Counsel Corporation, citing an industry report. It “was ranked third in mortgage broker market share in terms of funded volume for the quarter ended March 31, 2012.”

The company, in fact, sold $1.4 billion of mortgages in the first quarter of 2012

The growth reflects brokers’ growing use of mono-lines during the first three months of the year and the ramp-up in rate competition with the banks – something that also managed to grow broker originations.

Street is actively looking to continue that growth spurt, expanding to alternative lending at a time when the industry as a whole is seeing a shift in the number of those deals. The move reflects increasingly tight underwriting standards at A lenders, a trend expected to continue with the introduction of OSFI lending guidelines expected as early as June.

Street President Paul Grewal explained the lender’s decision to go where that new business is expected to emerge.

"Canadians can benefit from more options and choices to resolve barriers to home ownership,” he said, in announcing the lender’s Street Options Program last month. “The Street Options Program will target the near prime segment of the mortgage market by introducing unique lending solutions and relying on a common sense approach to lending practices.”

The  program, which started with a select group of Ontario brokers, is focused on serving “Canadians who are unable to find financing through traditional sources with solutions to home ownership.”
 

  • Ron Butler on 2012-05-25 3:57:15 AM

    Congrats to Ed and Paul and their team.

    It proves that if a mono-line decides to fight the good fight on rates and products they will be well rewarded.

  • Paul Therien, CENTUM on 2012-05-25 6:11:08 AM

    Props to the entire Street Capital team. This is a perfect example of what can be achieved if you believe in the industry. CENTUM is proud to work with Street Capital.

  • SF on 2012-05-25 9:54:39 AM

    It was only a matter of time before Street took off. All I can say is watch out to all their competitors. Paul and Ed are the dynamic duo in terms of management in our industry. Work hard and play hard. Way to go guys!

  • Derek Rowley on 2012-05-26 8:17:08 AM

    My hats off to Street. It's about time someoine realized the true value of the brokers and their agents.

    Keep up the good work.

    Derek Rowley

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