Mortgage Broker

28 | fall 2018 cmba-achc.ca CMB MAGAZINE urban & rural "Beyond the mandatory regulatory training and licensing requirements, practical on-the-job training for new brokers varies from brokerage to brokerage, each of which has its own in-house programs," he says. "e reality is that since implementation of the government-initiated mortgage rule changes, it has become an increasingly challenging environment and as such the focus on training is a top priority." Urban niche While they agree that competition has increased in today's mortgage market, Chana Charach and Dorothy Bried of Synergy Mortgage in Vancouver say they haven't felt the pressure because they've focused on what they do best. "I definitely believe in niche marketing and focusing in on a very particular type of buyer," says Charach. "What we've done is focus on our database and we offer our buyers a lot of support. Whether you're a sophisticated investor or a first-time buyer, no one wants to make a mistake. So we offer a mortgage checklist customized to our buyer." A broker for 21 years, Charach launched her career during a lull in the Vancouver real estate market. Deals were hard to come by, so she learned how to package her mortgage applications well and present her clients in the best light. "e difference between a successful broker and those who struggle is getting the tough ones done," she says of the philosophy she shares with her business partner, Bried. "[It's about] taking the deal turned down by three lenders and getting it approved by a fourth. We stay the course with our buyers. We figure out how to get there." She cited affordability as a major challenge, saying "there are so many good, qualified buyers who are just an inch away and can't get there." Like Ickert, Charach has noted an active "B" lending network emerging in Vancouver, with mortgage rates coming in between five and 10 per cent. She says they are designed to be bridge loans and are generally taken for a year in the hopes buyers will qualify for a better deal in the future. Besides contending with buyer qualification, urban brokers must also deal with scalebacks (when lenders reduce the maximum amount loaned per each million dollars), competitive multiple-offer scenarios, and rezoning issues. "We've done rural mortgages over the years and they have their challenges too," adds Charach, "such as figuring out where the property lines are and what if the well goes bad? Doing the due diligence on a rural property is more extensive in many ways." Providing valUe In Kelowna, mortgage broker Loren Hawkins of Dominion Lending Centres Blue Tree Mortgages West is noticing many of the same market trends. With 26 years in the business — he started on the retail side at a credit union and later migrated to the broker channel — Hawkins has been in the Okanagan Valley city since 2005. While 98 per cent of his mortgages are urban, that comes with particular challenges such as zoning and mixed-use properties that are harder to finance. He has also dealt with properties that have buried oil tanks, wells, septics, and private water systems (such as a lake water intake). "Are lenders willing to look at that? If not, we have to rely on local lending partners like credit unions or trust company partners," he commented. "Alternatively, we have to go to secondary or 'B' lenders, which potentially means a higher rate and in some cases fees for clients in order to get a mortgage." Hawkins also says lenders want only so much of the riskier business. "As the government has made changes to the mortgage landscape across the country, our partners are more selective about who they are dealing with. ree or four years ago, some of those deals would get done. Today, no." Like Charach and Bried, Hawkins works to provide a unique service. "You definitely have to figure out how you set yourself apart from the others. For me, I have a lot of experience on the lender side that I can bring to a deal. Everyone has the same opportunity in the morning to go out and get that business; it just comes down to what they want to make of it." Keeping current when it comes to education and lender offerings is also critical, no matter where you call home. Ultimately, he says, it comes down to location of the property itself, and then the borrower(s). "Two brokers might have the same client with the same house, but if it sits on different dirt, that is still the big deal." e difference between a successful broker and those who struggle is getting the tough [deals] done. e difference between a successful e difference between a successful Aerial view of the Kelowna B.C. skyline.

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