But they're my bank!
There are a few different reasons why your bank might not be offering you the lowest interest rate out there.
1) If you have all your accounts and credit lines at one bank, they know you are loyal to them and that means you are less likely to shop around at other banks for the lower rate. They offer you a rate and hope you sign on the dotted line.
2) A mortgage broker is paid by the bank when we bring them a mortgage. This means they are only paying us when a deal funds, instead of paying a bank employee a salary to be at the bank. A lower overhead cost for a bank, means more savings for you!
3) A mortgage specialist at a bank only has access to that banks mortgage products. If your bank has slightly higher interest rates than other banks, too bad! Your mortgage specialist cannot offer you the lower rate. A mortgage broker is not tied to any one bank, we have access to dozens of lenders.
Over 50% of Canadians are now using Mortgage Brokers,