There was some great news in the federal budget that could have positive outcomes for anyone looking to purchase a home, refinance or renew their existing mortgage. The Department of Finance expressed their commitment to increasing the competition of mortgage lenders.

Many of the smaller lenders who focus on mortgages, offer us very competitive consumer rates and deal exclusively through mortgage brokers will be given preferable access to better allocation of portfolio insurance and securitization.

This will fuel more competition which means more mortgage options and choices when dealing with a mortgage broker instead of the banks. CMHC is also considering additional “flexible funding options” for smaller lenders which is great for us!

A recent Bank of Canada survey found that using a broker at the time of your mortgage renewal may result in getting a lower rate and saving money because mortgage brokers have the widest access to mortgage lenders.

The same survey found that loyal customers may not get as good of a deal with their bank as they would if they went to a different institution as a new customer