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Real Estate and Mortgage Institute of Canada Inc.
Toronto: 2175 Sheppard Ave E, Suite 307
Mississauga: 1065 Canadian Pl, Suite 203
t: 1-877-447-3642     e: support@remic.ca

Commercial Mortgage Brokering

To broker commercial mortgages in Ontario you must be a licensed mortgage agent or broker.  REMIC provides the Ontario Mortgage Agent Course for licensing.  For more information please click on the menu item above.

Introduction to Commercial Mortgage Brokering
Course TypeLocationDateCostRegistration
OnlineFully onlineStart as soon as you register$200Register Now
In ClassREMIC Training Centre
2175 Sheppard Ave East suite 213
TBD
10AM - 4PM
$148Register Now
Advanced Commercial Mortgage Brokering
Course TypeLocationDateCostRegistration
In ClassTBDTBD$148Register Now

Commercial Overview

Commercial mortgage brokering can be an extremely lucrative market for Mortgage Agents and Brokers. However, commercial mortgage transactions require a much different skill set and knowledge base than residential mortgage transactions. It can therefore be very hazardous for your clients if you don’t understand what is required in a commercial deal. The commercial mortgage transaction is often viewed as a complex, mysterious transaction that is solely the realm of those with vast experience in the commercial mortgage market; and with good reason. It is a complex transaction. It does not, however, have to be mysterious

The Introduction and Advanced Commercial Mortgage Brokering courses are designed to shed light on a type of transaction that is typically performed by mortgage agents/brokers who specialize in commercial mortgages. The Introduction course can be completed as a one day workshop or it can be done fully online. The advanced is currently only offered as a one day workshop. Both courses will help you understand the commercial market as well as the skills and knowledge necessary in understanding a commercial deal.

Intro to Commercial

The Introduction to Commercial Mortgage Brokering can be completed either online or as a one day workshop. This course provides an overview of the commercial mortgage transaction  Upon successful completion participants receive a Certificate of Completion suitable for framing.

  1. Module One:  Overview of the Commercial Mortgage Market

Learning Outcomes:

  • Describe the size and scope of the commercial mortgage market
  • Discuss the income potential in a commercial transaction
  • List and describe the different types of commercial properties
  • List and describe the key participants in a commercial transaction
  • Describe the key differences between the commercial mortgage market and the residential mortgage market
  • List the steps in a typical commercial mortgage transaction

 

  1. Module 2: The Application       

Learning Outcomes:

  • Complete a mortgage checklist
  • List the information required to be obtained from a potential borrower
  • Understand the purpose of a Letter of Engagement

 

  1. Module 3: Application Analysis – Income and Appraisal

Learning Outcomes:

  • Describe how Financial Statements are used in the underwriting process
  • Understand the importance of the Net Operating Income (NOI)
  • List what is included when calculating the NOI
  • List what is excluded when calculating the NOI
  • Use the NOI and the Rate of Return to determine value
  • Identify a commercial appraisal

 

  1. Module 4: Application Analysis – Ratios

Learning Outcomes:

  • Define the DSCR
  • Understand the importance of the DSCR
  • Calculate the DSCR
  • Determine the maximum loan amount using the DSCR and the LTV

 

  1. Module 5: Application Analysis – Credit

Learning Outcomes:

  • Differentiate between the credit report a consumer receives and the report an Agent/Broker receives
  • List the main credit bureaus in Canada
  • Interpret and analyze a credit report
  • Explain the components of a credit score
  • Recognize a Dun & Bradstreet commercial credit report

 

  1. Module 6: Application Analysis – Environmental Assessment

Learning Outcomes:

  • Define an ESA
  • Explain the differences between a Phase 1, Phase 2 and Phase 3 ESA

 

  1. Module 7: Submitting the Application and Obtaining a Letter of Intent

Learning Outcomes:

  • List the different commercial lenders in the marketplace
  • List the required contents of an application package
  • Identify a Letter of Intent
  • Identify a Commitment Letter

Advanced Commercial

This 6 hour workshop is for those mortgage agents/brokers who have taken REMIC’s “An Introduction to Commercial Mortgage Brokering” or who have some experience in commercial mortgage brokering.  This course focuses on advanced concepts required to complete complex commercial mortgage transactions using a combination of instruction and 4 specific case studies.  Upon successful completion participants receive a Certificate of Completion suitable for framing.

Learning Outcomes:

Upon successful completion of this subject the student will be able to:

  1. Analyze financial statements in relation to a commercial mortgage application
  2. Interpret commercial leases
  3. Understand the commercial underwriting process and criteria used by commercial lenders
  4. Define the different components in an environmental site assessment
  5. Analyze a multi-unit residential mortgage transaction through the use of a case study
  6. Analyze a retail plaza mortgage transaction through the use of a case study
  7. Analyze a mixed use mortgage transaction through the use of a case study
  8. Analyze an industrial mortgage transaction through the use of a case study

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