As the name suggests, a mortgage broker in Sault Ste. Marie is the negotiator who connects mortgage lenders with clients. The main aim of a mortgage broker is to help their clients reach banks and other lenders offering services most suitable for them. Banks are the biggest lenders in Sault Ste Marie but not all residents meet requirements for a bank loan. Such loan seekers have to reach out to mortgage brokers offering alternative financing solutions. The majority of mortgage brokers in Sault Ste. Marie deal only with private lenders who can loan money to people who were turned away by banks. Our mortgage brokers in the city specialize exclusively on private products designed for people who cannot turn to banks for loans.
Services Provided by Mortgage Brokers and the Focus of Mortgage Broker Store
Mortgage brokers offer services related to setting up the mortgage. The ordinary mortgage broker will listen to your needs, discuss available options, and request multiple quotes to compare and choose the best product for each client. This is possible because mortgage brokers have lots of knowledge about the Sault Ste. Marie mortgage industry, which is instrumental in negotiating ideal terms and conditions for loans.
Our brokerage “Mortgage Broker Store” is licensed to issue mortgages in Sault Ste. Marie and we also have some special offerings including:
- Stopping Foreclosure
- Home Equity Loans
- Private Lender Mortgages
- Bad Credit Mortgages
- Stopping Power of Sales
Our experts at Mortgage Broker Store have been providing alternative financial solutions for many years. The principal broker is Ron Alphonso, a renowned real estate expert in Canada who often lends his opinion in leading media outlets. He has been on Toronto Star and Global News among others as in our media page.
Comparing Mortgage Brokers and Mortgage Lenders
While both professionals are licensed to sell mortgages, it is only a mortgage broker that can run a mortgage brokerage. The lead broker in this business is known as a principal or broker of record. He is supposed to manage all aspects of the brokerage including ensuring that documents are accurate and that all mortgage agents follow all the rules. The broker of record is culpable for all that happens at the mortgage brokerage.
Comparing Mortgage Brokers with Banks
Banks in Canada have always been the leading provider of mortgages but that seems to be taking a turn. Mortgage brokers are becoming more popular and they have more to offer than banks. Mortgage brokers typically negotiate with private lenders who can offer the best rates to their customers. A big number of clients that need mortgage brokers’ services are those that were turned away by banks who follow a strict approval criterion. Banks are still the largest provider of mortgages but statistics show that mortgage brokers arranged about 45% of loans for people buying new homes and 40% of first mortgages. Should the trend keep up, mortgage brokers will soon overtake banks as the leading mortgage provider.
Charges by Mortgage Brokers in Sault Ste. Marie
If you are approved for a bank loan, the mortgage broker doesn’t ordinarily charge fees beforehand. For people seeking private deals, the fees charged depend on your situation and could be required by the lender, broker or both. The minimum payment is $2000 but if there are some legal issues like divorce, inheritance or power of sale, the client has to pay more. The money is needed to pay different professionals like real estate lawyers, appraisal and broker staff who are involved in setting up the mortgage.
Mortgage Licensing in Sault Ste. Marie
To become a mortgage broker in Sault Ste. Marie, you need a license from the Financial Services Commission of Ontario. Before you can get the license, FSCO must establish your residency in Ontario and that you work for a licensed brokerage there. Before you can apply for a mortgage broker license, you must have been a mortgage agent for at least two years. If you maintain the license that long, you can sit the Mortgage Broker Education Program and if you pass, the license will be given by the FSCO. As a mortgage broker in Sault Ste. Marie, you can sell mortgages or even open your own brokerage.