Research to help inform how the institution supervises mortgage brokers
The Financial Services Regulatory Authority of Ontario (FSRA) has launched research that it said will help it refine its approach to supervising mortgage brokers and the market at large.
The regulator said that the research initiative will be focused on improving brokers’ understanding of consumer protection, especially those who are borrowing for the first time and those who are renewing their existing mortgages.
“Consumer protection is at the heart of everything we do, and this new research will help inform how we supervise mortgage brokers, as well as our policy decision making and regulatory efforts,” said Antoinette Leung, head of financial institutions and mortgage brokerage conduct at FSRA.
“With this volatile and uncertain global economy, we need to support those seeking a first mortgage or those renewing their existing mortgage, especially vulnerable consumers.”
Mortgage pros should brace for a tough market ahead, according to Shaun Westlake of Guiding Star Mortgage Group. Pain for brokers, realtors, and consumers is expected to persist with no relief in sight. https://t.co/SO0ZCLBfOb#mortgagenews #mortgageindustry #mortgagemarket
— Canadian Mortgage Professional Magazine (@CMPmagazine) July 28, 2023
Half of Canadians use brokers to borrow for their home purchases
The 2022 edition of FSRA’s research found that the most common mortgaged property is a current home, with 93% of respondents saying that they hold mortgages for their current homes. Fully half of respondents said that they used brokers to help them get their mortgages.
Approximately 86% said that they got their mortgages from financial institutions, including banks, credit unions, and trust companies. Appetite for alternative or private lending is strongest among Ontarians with slight (36%), moderate (46%), and high (64%) vulnerability.
