What a fun bunch of folks we have in our industry. You sometimes forget that, until you come out to an event like MBABC.
Every broker in our business owes it to themselves to spend the money, attend conference seminars, meet the lenders, get to know other brokers, bounce ideas off people, etc. At the very least you’ll pick up some valuable tidbits of info or make new friends and contacts.
Speaking of valuable tidbits, here are the top 10 nuggets we gleaned from day one at the conference:
A bank executive on the lender panel said the government will announce standardized IRD penalties “within three months.”
ING Direct will continue 35-year amortizations on conventional mortgages after March 17 (A brilliant move. ING will be one of the only banks offering them.)
VP, Jim Smith, said Scotiabank was “morally obligated” to eliminate 35-year amortizations on conventional mortgages. When asked if interest-only lines of credit (with infinite amortizations) would be eliminated, the topic changed very quickly.
We’re entering an environment where “individual brokers have less power and bigger brokers have more…Those (brokers) who rely on price will find it harder to survive.” – FICOM CEO, Caroline Rogers
Bridgewater’s Todd Poberznick: “We feel that there’s an obligation (by lenders) to give smaller brokers a chance as long as they can meet funding ratios…” (Our industry needs more of this mindset. Otherwise, power will be concentrated in mega-brokers, and small brokers will be forced into pooling/co-brokering.)
A lender comment to brokers regarding volume bonus in the future: “You’re going to have to earn it.”
Resmor will eventually eliminate volume bonus and roll it into their finder’s fee, says Director Mortgage Servicing, Michael Cubric.
One lender admitted that brokers have “10 times” the knowledge of that lender’s own call centre employees.
“There will be a more concerted effort by banks to protect their turf against brokers.” – FICOM CEO, Caroline Rogers
IFRS “is going to cost us.” — ING Direct’s George Hugh