Approximately 30% of Ontario consumers used a mortgage broker in 2010, a number that has remained consistent for the past several years, while 50% used a bank.
According to a recent Mortgage Consumer Survey by CMHC, the average mortgage broker’s client had the following characteristics:
- 51% had a household income under $60,000 while 49% had an income over $60,000
- 44% were between 35 and 54 years old, while 34% were 18 to 34 years old and 22% were over 55 years old
- 19% were self employed
- 92% of first time purchasers who used a mortgage broker were either rather or totally satisfied
- 87% of repeat purchasers who used a mortgage broker were either rather or totally satisfied
- 87% of refinancers who used a mortgage broker were either rather or totally satisfied
- 80% of renewers who used a mortgage broker were either rather or totally satisfied.
Mortgage brokering in Ontario is regulated by the Financial Services Commission of Ontario (FSCO) and requires a license. To obtain a license you must first pass an accredited course. The Real Estate and Mortgage Institute of Canada Inc. (REMIC) is accredited by FSCO to provide the course. For more information please visit us at www.remic.ca/getlicensed or call us at 877-447-3642.
Of all consumers,
- 81% of renewers remained with their current lender indicating that service was their major reason for this loyalty
- 65% of repeat purchasers remained with their current lender indicating that service was their major reason for this loyalty
- 65% of refinancers remained with their current lender indicating that service was their major reason for this loyalty
- 58% of first time purchasers remained with their current institution indicating that relationship was their major reason for this loyalty, followed closely by rate.
In addition, 68% of all consumers indicated that they wanted to pay off their mortgage as quickly as possible. However, only 27% of consumers actually used prepayment options in 2009. According to an RBC Survey, 34% of respondents said they didn’t use prepayment options because they didn’t have the money to take advantage of prepayment options, while 30% had other debts they wanted to pay off first and 20% wanted to invest before prepaying their mortgage. The following chart, based on Statistics Canada information, illustrates the number of families by income segment in Canada.
|Family Income by Family Type (number of families)|
|Total, all income groups||7,629,330||7,727,870||7,832,060||7,926,210||7,989,380|
|$10,000 and over||7,411,900||7,529,820||7,637,400||7,726,860||7,799,670|
|$15,000 and over||7,291,650||7,416,270||7,527,140||7,613,770||7,695,970|
|$20,000 and over||7,125,340||7,258,770||7,374,900||7,459,680||7,552,050|
|$25,000 and over||6,887,120||7,043,530||7,177,060||7,262,910||7,355,530|
|$30,000 and over||6,552,870||6,734,300||6,876,780||6,958,650||7,045,540|
|$35,000 and over||6,211,130||6,398,830||6,549,220||6,620,770||6,708,710|
|$40,000 and over||5,869,210||6,068,570||6,228,650||6,288,200||6,383,220|
|$45,000 and over||5,524,280||5,734,370||5,900,920||5,949,750||6,052,150|
|$50,000 and over||5,179,120||5,397,900||5,571,420||5,611,520||5,719,630|
|$60,000 and over||4,495,550||4,727,730||4,915,080||4,939,370||5,059,180|
|$70,000 and over||3,838,200||4,077,940||4,277,270||4,292,660||4,420,250|
|$75,000 and over||3,526,720||3,767,350||3,969,160||3,982,590||4,111,920|
|$80,000 and over||3,229,670||3,469,550||3,672,840||3,684,990||3,815,020|
|$90,000 and over||2,684,680||2,915,800||3,119,370||3,129,560||3,258,520|
|$100,000 and over||2,210,990||2,430,210||2,626,660||2,636,310||2,761,360|
|$150,000 and over||824,840||947,310||1,063,240||1,072,990||1,148,440|
|$200,000 and over||368,150||424,320||476,110||476,050||510,820|
|$250,000 and over||209,710||238,760||261,300||256,550||274,930|
According to Statistics Canada the median income of Ontario families after taxes in 2010 was approximately $71,540.
|Median total income, by family type, by province and territory|
|Newfoundland and Labrador||50,500||55,210||59,320||60,290||62,580|
|Prince Edward Island||56,100||58,610||61,010||62,110||63,610|
In the industry’s mortgage brokering sector he is a licensed mortgage broker and has been a partner at a successful mortgage brokerage, manager at two national brokerages, principal broker at a commercial brokerage, founder of a mortgage investment corporation, and is owner and principal broker of his own boutique brokerage.
As an educator, Mr. White has been educating the mortgage industry since 1996.During his 14 years at Seneca College he was a professor and program coordinator and is currently President of the Real Estate and Mortgage Institute of Canada Inc. (REMIC).Mr. White has developed several courses for Seneca College, including the first mortgage broker education program in Ontario,as well as the mortgage agent course.He has written two textbooks used in the mortgage industry and by over 20 Ontario colleges with over twenty thousand copies in print, in addition to several business focused books and e-books. He has instructed over fifteen thousand students and in 2003 won the Excellence Award for teaching and leadership excellence at Seneca College.He can be contacted at firstname.lastname@example.org