Edmonton Mortgage FAQ

How much do mortgage brokers cost in Alberta?

For most mortgages, brokers are free. Or, at least we are for you.

We get paid a referral fee/commission from the bank or lender we send your file to.

The only way I’ll charge you any money is for:

1. Mortgage planning session(s) which are only for planning purposes. If you come in for a consultation without intending to purchase a mortgage through me, there may be a charge for my time, as I won’t receive a fee through the bank/lender.
2. Private Mortgages require a fee as private lenders do not pay commission.
3. Commercial Lending may also require fees depending on loan details, mortgage size, building type, etc.

Are mortgage brokers worth it?

Yes. Without charging you anything, a good mortgage broker will:

• Simplify the mortgage application process
• Get to know you and your needs, then customise a mortgage to best fit your life
• Be there to answer all your questions

That’s a lot of value you get without paying anything!

Who pays the mortgage broker’s fees?

The bank or lender almost always pays our fees. But for private mortgages and some commercial lending, it is up to the client to pay for our services.

What’s the difference between a mortgage advisor and a mortgage broker?

Nothing. Both are different words for the same professional. For some reason, there are a lot of terms for a broker, including mortgage agent, associate, broker, advisor, and mortgage professional. But, whatever you call us, you’ll get the same great service.

Are realtor fees negotiable in Alberta?

Realtor fees are negotiable in Alberta. In fact, there’s a wide array of fees these days, from 1% all the way up to 5%. The end fee is based on house price, location, and the brokerage you choose.

Do mortgage brokers get paid more for a variable rate mortgage?

No. Whether you choose a variable rate or a fixed rate, we get paid the same.

Our commission is tightly regulated to make sure there is little to no incentive to try to sell our clients one product over another. This protects you from predatory brokers trying to push you into a mortgage that might not work for you.

Is working with a mortgage broker better than going to a bank?

Not every mortgage broker is made equal, which is why this answer is not simple.

But, if you find a mortgage broker who you trust, someone who is willing to take the time to get to know you and your needs, then that mortgage broker will be better than going to the bank.

1. Our advice is custom and not lopsided. We aren’t guided by a head office in Toronto. Instead, we work directly with you, listening to your goals and designing mortgages around them
2. We have access to a variety of banks, lenders and credit unions. When you approach a bank, there’s only one option. We approach many different lenders to give you more options.
3. With a good broker, there is interest rate competition. When there are many lenders, they will compete for your business. That means better rates and better service.
4. You are our client. In the end, it’s all about what you want, not what the bank is offering.