Discover how to become a mortgage broker in New Brunswick. Learn about licensing, education, and other info to succeed in this province’s mortgage market
If you want to help aspiring property buyers achieve their homeownership dream, the mortgage broking industry might be for you. This is especially true if you have a talent in communicating with people and connecting them with financial institutions. Mortgage brokers help their clients find the best home loan for them based on their present financial situation and credit history.
In this article, Canadian Mortgage Professional will explore how to become a mortgage broker in New Brunswick. We will go over the requirements and steps to help you decide whether this career is for you. We will also talk about how much mortgage brokers make per deal. Do mortgage brokers make good money in New Brunswick? Read on to find out.
How to become a mortgage broker in New Brunswick
To become a mortgage broker in New Brunswick, you need to qualify for the criteria set by the Financial and Consumer Services Commission of New Brunswick (FCNB). They administer the Mortgage Brokers Act, the law which regulates the licensing of those who broker property loans in New Brunswick.
Here are the requirements for becoming a mortgage broker in New Brunswick:
- must be a resident of Canada
- must be 19 years old or older
- must have a valid email address
- must work for only one brokerage
- must provide any other required supporting information
- must be authorized by a brokerage to deal or trade mortgages on its behalf
- must successfully complete the approved educational course and exam for mortgage brokers
- must provide a completed criminal record check, conducted at a detachment of the Royal Canadian Mounted Police (RCMP) or a municipal or provincial police force, which has been issued in the last six months
- must demonstrate at least 24 months of experience as a licensed mortgage associate in New Brunswick’s mortgage brokerage industry during the preceding 36-month period of the mortgage broker licence application date
Educational requirements
Before qualifying for a mortgage broker licence, you need to complete the broker education program approved by the FCNB director. After this, you have to apply for the mortgage broker licence within three years of finishing the program.
Aside from this, you must meet any continuing education requirements set by the director within three months of receiving your mortgage broker licence.
Education equivalency requests for brokers
You can also submit an Education Equivalency Request to the FCNB. However, you must provide clear and compelling proof that your education and experience match the current licensing education program.
The FCNB director is responsible for ensuring that mortgage broker applicants meet the minimum suitable standard. This education requirement is necessary for the protection of public interest, as people expect all mortgage brokers to be qualified for their roles.
Steps in applying for a mortgage broker licence
If you want to become a mortgage broker in New Brunswick, you need to get a licence from the FCNB. Here are the four steps to complete:
- Fill in the online application form
- Pay the application fee
- Provide proof of completed education, or provide evidence of licence and completed education in another jurisdiction (if applicable)
- Submit any other required supporting information in relation to the applicant’s suitability
Once your application is approved and you obtain your licence, you can now work legally as a mortgage broker in New Brunswick. You must follow the applicable eligibility criteria set by the FCNB for mortgage broker licence holders to avoid any issues.
What happens if you have a mortgage broker licence in another province?
If you want to work as a mortgage broker in New Brunswick, you need to meet both education and experience requirements. However, there are instances where an applicant might be exempt from the requirements set by the FCNB and still be found suitable to acquire a licence.
If you have an equivalent licence or authorization from the list of Canadian provinces below, you will be exempted. This means that you do not need to go through the entire process nor complete any educational programs to work as a mortgage broker in New Brunswick.
Here is the list of provinces with their equivalent licence holders:
- Alberta – Mortgage Broker
- British Columbia – Designated Individual
- Manitoba – Authorized Official
- Nova Scotia – Mortgage Broker
- Ontario – Mortgage Broker
- Québec – Fully Qualified Real Estate Broker Qualified to Manage an Agency or Mortgage Broker Qualified to Manage an Agency
- Saskatchewan – Mortgage Broker
Why are mortgage brokers needed in mortgage transactions?
As a mortgage broker, you will spend most of your time assessing your client’s income statements and credit background. You need this information to search for property loans that suit their needs.
Another reason why mortgage brokers play a vital role in mortgage transactions is because they make sure that clients can afford to repay the mortgage. They check their clients’ financial capacity to know whether they have the means to pay without being forced to live paycheque to paycheque.
In other words, mortgage brokers act as the bridge between eligible borrowers and lending companies. They work on behalf of clients to find competitive mortgage rates and terms.
Check out this video about the factors to consider when deciding to work with a mortgage broker or a bank. Feel free to share it with your clients!
Feeling motivated enough? Read this if you want to start your career as a mortgage broker in Canada.
How to succeed as a mortgage broker in New Brunswick
To become a mortgage broker in New Brunswick, you need to navigate multiple stages and processes. This career might be challenging but it is achievable.
With dedication and perseverance, aspiring mortgage brokers can get on top of the competition, continuously attract clients, and gain referrals. Establishing trust with commercial banks and other lending companies is critical. This will give you a significant advantage, especially over time.
Want to learn more about succeeding as a mortgage broker in New Brunswick? Here are some tips:
- Be ready to provide several options
- Be clear about your fees and other costs
- Share evidence of your achievements
Let us explore each of these tips below:
1. Be ready to provide several options
As the saying goes: different strokes for different folks. You should expect that clients will have varying mortgage needs and unique financial situations. To succeed as a mortgage broker, you must be able to:
- answer all their questions
- explain many types of mortgage in detail
- introduce alternatives depending on their goals and needs
Want to discover the secrets of how to be a successful mortgage broker in New Brunswick and in other Canadian provinces? Watch this video:
Follow these tips and you might see your name with the leading brokers in the country. To get inspiration, see our special report on the 75 Best Mortgage Brokers in Canada.
2. Be clear about your fees and other costs
You must always be clear about your fees and other costs with your clients. Know how to handle their expectations and don’t be afraid to hold tough conversations. After all, borrowing a huge sum of money can be terrifying and not everyone will be happy with the options you provide.
As much as possible, try to make discussions less intimidating for your clients. You can do this by always sticking to the facts and laying down all the critical information that they need to know. It is also beneficial to develop your communication skills. Try to speak in a professional, calm, and reassuring tone to ease your clients’ worries.
3. Share evidence of your achievements
A vital part of your job as a mortgage broker is to ease the minds of your clients—especially when they are overwhelmed about their expense. You can gain their trust by providing them with positive reviews from your previous clients. You should also let them know about your qualifications.
To do this, try displaying your awards and certifications inside your office. You can also showcase your achievements online. Collect personal endorsements from your network, especially from previous clients. Putting these customer reviews on display will help build your prospective leads’ confidence in your capabilities.
How much do mortgage brokers in New Brunswick make per deal?
This depends entirely on the amount of money that their clients can borrow. As for the commission, mortgage brokers can usually earn from 0.5% to 1.2% of the mortgage value.
Do mortgage brokers make good money in New Brunswick?
Yes. Basing on the commission alone, a mortgage broker in New Brunswick can earn thousands of dollars. This is possible for a mortgage value amounting to $200,000 and above. In addition, you can earn an average salary of $1,769 per week. This can climb up to $2,083, according to a report from ZipRecruiter.
Getting started as a new mortgage broker in New Brunswick
When starting as a mortgage broker in this province, building your brand is essential. This involves advertising online and networking with professionals in related fields. Doing so can help you create referral sources and gain valuable insights about the mortgage industry, allowing you to serve your clients better.
It's also important to stay updated on the latest industry trends. Make sure you know about the home loan options offered by your partner lenders and their different policies. See the latest mortgage news from New Brunswick to anywhere in Canada when you go to our Market Updates page.
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