If you’re considering a career as a mortgage broker based in Canada, you need a realistic idea of the salary to prevent any regrets or unhappiness when you’ve already quit your previous job. Learn about the average salary you can earn as a mortgage broker based on experience.
Tasks and Responsibilities of a Mortgage Broker
A mortgage broker acts as an intermediary or mediator between people who seek a home loan or mortgage and the potential lenders or financial institutions that offer the loans.
A mortgage broker has a list of potential lenders and their respective requirements and offerings. According to our experienced professionals, the tasks and responsibilities of a mortgage broker include, but not limited to, the following:
- Working closely with loan seekers to match them with potential lenders that best suits their needs and to mediate between them to underwrite and structure financial solutions.
- Facilitating good communication between the loan seekers and loan givers, and also working to ensure an appropriate decision and signing process.
- Applying for loans on behalf of loan seekers and collecting documentation to pre-approve customers .
- Researching the property market to find deals for customers and deploying effective marketing and sales strategies to attract new customers.
- Working with the financial institutions or lenders to find the lowest rates, as well as observing the latest mortgage products.
- Interviewing customers and documenting their credit, income, and financial history.
Average Salary of a Mortgage Agent
Most mortgage brokers are paid on commission, and the pay scale is very broad. Here is an estimated mortgage broker salary scale based on skillsets and experience.
Based on Skillsets and Experiences
The average salary of a mortgage broker in Canada is about $78,000 per annum or $40 per hour. Entry-level positions start at $56,750 per year (though some might fall to $28,932) while highly experienced mortgage agents make up to $112,125 per year. Based on skillsets, the average salary of a mortgage broker per year is as follows:
Benefits of the Job
Here are some of the reasons our experts provided about why you should consider a career in mortgage broking:
- Mortgage broking is a lucrative career as you can earn high commissions
- It offers the flexibility to either be self-employed or work for a brokerage
- It puts you in a position to help others get the loan they need to purchase their dream home
How do mortgage brokers get paid in Canada?
Mortgage brokers get paid a commission or finder’s fee in Canada. The lender pays this fee for sorting out a mortgage for them. ‘The paid commission varies between lenders and individual brokers but usually ranges from 0.5% to 1% of the full mortgage amount.
In addition to the commission charged to lenders, there are cases when brokers charge a fee to the borrowers which can supplement the mortgage broker salary.
Do mortgage brokers make more than real estate agents?
Yes, mortgage brokers make more than real estate agents on average. The Bureau of Labor Statistics revealed that on average, a mortgage broker earns an annual income of $78,940, while a real estate agent earns only $61,720 per annum.
However, the money that can be made by either of them is based on their hustle. Both job positions are mostly commission-based; therefore, there is no limit or ceiling to how much either of them can make. Either of the positions can make good money based on their skillsets and experience.
Are you considering a career in mortgage broking? As you have seen above, mortgage broking is a rewarding career with lots of benefits. The average mortgage broker salary in Canada is about $78,000 per annum or higher with more experience and skillset. You can improve upon your skillset and also apply for membership with professional associations to get started.
Having a hard time about getting a mortgage plan? Well, these pages below can give you insights and clarifications, too!