The mortgage origination market is only going to become more competitive, says Top 50 Broker and Mortgage Summit panelist Calum Ross, and brokers who don't invest in themselves in order to differentiate their business might not be around for long.
Video transcript below:
Mortgage Summit speaker, Calum Ross discusses what it takes for brokers to be competitive in an increasingly hostile environment.
Calum Ross, Verico, The Mortgage Management Group
Calum Ross: I think people need to take a good look at what happened in the US market. You know from a factual standpoint, in a matter of 2 years, one in two of the mortgage people were taken out of the country. I don’t know with certainty what’s going to happen with the Canadian market, but I think it would be unrealistic for any individual in this market to believe that there is not going to be a more competitive market in front of us. I want people to realise that you know price is not a sustainable competitive advantage. Being able to get a product whether it’s from TD Bank, CIBC, First National or any one of the other lender options out there, that is not a competitive advantage.
Now more than ever people need to invest in themselves. When the smoke clears only the best originators will be there. The option of you know, maybe reading a book, maybe taking a course, maybe understanding how top people are successful is not an option any more. Now the time has come to improve. People need to start to invest in understanding what they do better than other people. What can they do that makes them unique versus other suppliers, where the market, we are you know, we are basically a commodity and if people can’t figure out how to invest in themselves and how to make themselves meaningfully more value added than their closest industry peer, there is going to be a lot of trouble and I hate to say it, but I would be very very surprised if we don’t see a mass exodus from the mortgage industry in the next couple of years.
The saddest thing about this very situation is unfortunately the people who need to attend this event the most will not be there. When you go to every mortgage industry event, it’s the same old story every time. It’s the highest income earners, the most professional people and it’s a classic situation that people who need to attend this the most will not be there. I need to tell those people the time of sitting on the fence is over. They need to be at this event, it’s not about doing well now, it’s going to become about survival. If we do not prepare and get ourselves ready, when the smoke clears they will not be standing.