Will technology eventually replace mortgage brokers?

Bill Nugent
“The industry requires technology, but the consumer still needs to have a strong relationship with their broker. The regulations and differences between mortgages are often confusing for clients, and brokers need to educate the consumer about proper qualification guidelines and documentation requirements, as well as fully meeting FSCO disclosure requirements.

We must embrace technology to speed up the approval process, reduce the duplication of information and make it easier for clients to meet conditions. It all comes down to making the process faster and less stressful through technology, while still establishing a relationship by educating the client.”

Bobby Kay
“Technology will only enhance our business further. As a mortgage broker or brokerage, it’s crucial to perceive mortgage brokering as a business, rather than a job. As technology evolves, so should your business. Innovating and thinking outside the box will put you ahead of the curve.

While banks have the resources for innovations such as mobile apps, they cannot compete with us in such sectors as alternative lending, private mortgages and second mortgages. Nonetheless, there will always be a human element required in a mortgage transaction for borrowers to ensure they are getting into a mortgage they won’t regret later.”

Scott Trainor
“Industries around the world have seen wholesale changes to the way they do business due to the introduction of technology. Just look at what online marketplaces such as Amazon have done to brick-and-mortar retailers such as Sears and Toys ‘R’ Us, for example.

Despite the influence of technology, mortgage brokers continue to have a niche, especially in the changing climate of the Canadian mortgage marketplace. It’s very clear to me that educated brokers are needed, especially for the tougher deals, and product knowledge is more important than ever. This is the advantage that will keep brokers from becoming redundant in today’s business.”