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Mortgage Broker News | 25 Jul 2011, 10:01 AM Agree 0
First National’s latest quarterly results are confirming what brokers across the country already know, with the major mono-line reporting a 6 per cent decline in mortgage originations from the year-ago period.
  • Steven | 28 Jul 2011, 02:17 AM Agree 0
    Perhaps it is because FN collects IAD interest at closing instead of when the IAD arrives.
  • Mark | 28 Jul 2011, 02:40 AM Agree 0
    Surpise surprise, as things get tighter for Brokers, banks just do as they feel. We aren't growing, in fact we are declining, let's give everyone the abilty to do our job, Jewelry dealers as Brokers, Real estate Brokers, NEEED to make OUR money, and banks selling rates to walk ins for less than their own broker units. We are going backwards in this industry and it is time to say NO!
  • AB Broker | 28 Jul 2011, 03:32 AM Agree 0
    "Mortgages under administration were nonetheless up 11 per cent year-over-year to $56.0 billion." That's the real story. Retention dept has been doing a good job cutting out the mortgage agent. What do you suggest Mark when we say NO?. The banks are in control our market share is declining with Banks posting record profits. Sadly we are the middle man. What I see happening is the market returning to pre 2003 with brokers doing majority of "B", private and commercial deals. The banks taking back the "A" business with their "road reps". Either that or a 40% commission cut across the board. The good part of this is it will weed out the part timers or the Jewelry dealers etc as it won't be as lucrative. The ones who have built up a great client base will be the ones left.
  • Bob | 28 Jul 2011, 03:37 AM Agree 0
    First National Suffering? If a 6% decline in mtg origination in this market is a bad thing, then what will other Lenders be reporting? I see FN as being a well run organization (Broker friendly company) who have actually had their mortgages under administration grow by 11%. In other words what we are booking is staying on their books and that is something that we as mortgagae originators should be proud of...
  • Jay | 28 Jul 2011, 05:29 AM Agree 0
    This does not confirm anything. Perhaps, brokers are using a different lender, such as MERIX, fees paid on renewal and trailers. Plus, they have better rates and allow higher debt service ratios than FNLP. I used to use FNLP all the time but Merix has really stepped up to be my number 1 lender.
  • Ron Butler | 28 Jul 2011, 07:38 AM Agree 0
    Total mortgage volume for the industry is declining year on year, this is a simple fact. Confirmed from D & H, Canadian Bankers Assc etc. and next year is likely to continue that trend. Trees do not grow to the sky. The mortgage business in Canada has had a good run and now the cycle turns. 5 years ago at a IMBA luncheon meeting a very famous lender boss was asked when he thought broker market share in Canada would reach USA levels which at the time were 70%. He said "be careful what you wish for; if broker marketshare grows much more than 35% the 5 chartered banks will squash brokers like bugs"
    That man was and continues to be one of the 3 smartest persons in the mortgage business. Pressure on commissions will grow. Make a plan to deal with it. You cannot fight the future.
  • ON Broker | 30 Jul 2011, 09:54 AM Agree 0
    I keep hearing about how TD and Scotia do so business in volume with brokers. maybe brokers should look at the big picture, cut the banks out of their business and support the broker lenders then maybe the broker lenders won't be reporting decreases in volume when banks are reporting increases in volume. Give your deals to the bank, you are giving your direct competitor free business. Ridiculous the amount of brokers that send the majority of their business to the banks.
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