Mortgage brokers in Newfoundland are licensed under the Mortgage Brokers Act, which both registers brokers and limits the amount that can be charged by lenders and brokers. This licensing is meant to protect the rights of borrowers and to foster a sustainable and thriving mortgage industry in Newfoundland. Licensing is administered and maintained by Services NL.
Newfoundland and Labrador is the most Eastern province in Canada. About 90% of the province’s population lives on Newfoundland, the island side, while 10% are based on mainland Labrador. Unsurprisingly, fishing is one of the top industries in this Atlantic province. Just over half a million Canadians call the maritime province home, with many based in it’s provincial capital, St. John’s. Other top towns include Corner Brook, Mount Pearl, Gander and Paradise. Gros Morne National Park attracts tourists from near and far to Newfoundland; the stunning landscape of fjords, cliffs and waterfalls took over 485 million years to form and earned it UNESCO World Heritage status.
What exactly does a mortgage broker do?
Mortgage brokers match borrowers to lenders that meet their financial situation. They are financial professionals who work with banks, monoline lenders, investors and more.
Is it worth using a mortgage broker?
A mortgage broker can help you access rates and lenders that aren't readily advertised to the market. They can shop the market for you without hurting your credit score with multiple checks.
How does a mortgage broker get paid?
They get paid through commissions by the lender. Commissions range from 0.5% to 2% of your full mortgage amount.
Do mortgage brokers charge a fee?
Mortgage brokers don't typically charge a fee as they are paid by the lender. However they may charge an additional fee if your financial circumstances are more complex than the typical borrower.
When should you consult a mortgage broker?
It's best to meet with a mortgage broker before you start shopping for a home. A broker can set a realistic expectation of what you can afford and give you a pre approval. Realtors are more likely to work with you if you have a pre approval as it narrows down the budget which you can afford.