What is a
mortgage broker?
Complete Canadian guide.
A broker shops your mortgage across 100+ lenders instead of one bank — and on most residential deals, the lender pays them, not you.
Four things every borrower
should know about brokers.
Understanding how brokers work — and how they’re paid — is the difference between a good mortgage and a great one.
100+ lenders, not one
A bank branch can only offer its own products. A broker submits your file to A-lenders, monoline lenders, credit unions, and private lenders — and brings back the best approval for your situation.
No cost to you on standard deals
On a typical A-lender residential mortgage the lender pays the broker a finder's fee of roughly 0.5%–1.1% at funding. You pay nothing. Broker-channel rates are often as low as or lower than a branch's offer.
FSRA-licensed and regulated
Every broker and agent in Ontario must be licensed by FSRA under the MBLAA. Brokerages must carry errors-and-omissions insurance. You can verify any licence on FSRA's public registry.
One application, many lenders
A broker pulls your credit once and uses that application across several lenders — so you get the benefit of comparison shopping with fewer inquiries than visiting multiple bank branches.
How a mortgage broker
works for you.
One application. Many lenders.
One advisor from intake to keys.
Share your file
A quick 5-minute intake — usually no credit pull to begin. You share your income, property details, and goals. A broker pre-qualifies you immediately so you know your real, stress-tested budget.
We shop your lenders
One application is matched to the lenders best suited to your file — A-lenders, monolines, credit unions, or B-lenders if needed. Your broker handles all underwriting back-and-forth and document requests.
Best approval, start to keys
Your broker presents the best approval, explains the terms, and stays on the file through to funding — coordinating with your real-estate agent and lawyer so you don't have to chase paperwork.
When a broker makes
the real difference.
Tap any situation below to see how we approach it.
If you’re…You're self-employed or own a business
You're self-employed or own a business
When your income doesn't appear on a T4, the right lender is everything. Brokers access specialty lenders that underwrite business-for-self income using NOAs and T1 Generals — paths a single bank branch often won't have.
See self-employed optionsIf you’re…You're new to Canada with limited Canadian credit
You're new to Canada with limited Canadian credit
Newcomer programs at some lenders accept international employment history and limited Canadian bureau — sometimes from day one on a valid work permit. A broker knows which lenders offer these paths.
See newcomer optionsIf you’re…You have bruised or thin credit
You have bruised or thin credit
B-lenders and private lenders can often bridge the gap with a clear plan back to A-pricing. A broker structures the file to maximise your approval odds and maps the path back to prime rates.
Explore my optionsIf you’re…You're buying a rental or investment property
You're buying a rental or investment property
Debt-coverage ratios and multi-unit rules vary widely by lender. A broker matches your file to lenders with the most favourable investment-property policies and competitive investor rates.
See investor optionsIf you’re…Your mortgage is up for renewal
Your mortgage is up for renewal
Most borrowers auto-sign their bank's first renewal offer — which is rarely its best rate. A broker re-shops the whole market so you don't quietly overpay for the next five years.
Shop my renewalIf you’re…Your debt ratios are at the edge of qualifying
Your debt ratios are at the edge of qualifying
GDS/TDS rules and the stress test apply differently at different lenders. Some provincially regulated credit unions set their own qualifying rules — a broker finds the lender where your file fits.
Talk to a broker freeMortgage broker vs bank —
side by side.
On a standard residential file, a broker costs the same as going direct — and compares the whole market instead of one shelf.
| Factor | Mortgage broker | Bank branch |
|---|---|---|
| Lenders compared | 100+ | 1 |
| Cost to you (standard deal) | $0 (lender-paid) | $0 |
| Rate | Best of many lenders | That bank's offer only |
| Credit inquiries to shop | Usually one | One per bank you visit |
| Complex / self-employed | Many lender options | One set of rules |
| Who works for you | You (independent) | The bank |
On alternative and private files a brokerage fee may apply — always disclosed in writing before you commit. Find a broker in your city.
Common questions,
clear answers.
What brokers do, how they’re paid, licensing, and when to use one — answered plainly.
What is a mortgage broker in simple terms?
A mortgage broker is a licensed intermediary who arranges your mortgage. Instead of being tied to one bank's rates and rules, a broker submits your file to many lenders — big banks, monoline lenders, credit unions and private lenders — and brings back the best approval for your situation. On standard residential deals the lender pays the broker a commission (a finder's fee), so there's typically no cost to you.
Is a mortgage broker the same as a mortgage agent?
Almost — the difference is licensing level. In Ontario, FSRA licenses two tiers: a mortgage agent (Level 1 or Level 2) deals directly with clients, while a mortgage broker has additional experience and can supervise agents. Both can arrange your mortgage. Day to day, the person handling your file is usually a licensed mortgage agent working under a licensed brokerage. The terms are used interchangeably by the public.
How does a mortgage broker get paid in Canada?
On a typical A-lender residential mortgage, the lender pays the broker a finder's fee of roughly 0.5%–1.1% of the mortgage amount on funding, and you pay no broker fee. Broker-channel rates are often as low as or lower than a branch's offer. On harder files (B-lender, private or commercial) a broker fee may apply, and it must be disclosed to you in writing before you commit.
Does using a mortgage broker cost more than going to my bank?
Usually not. Because the lender pays the broker on standard deals, the cost to you is usually zero, and brokers often secure a lower rate than a bank's first offer because they compare many lenders. You typically pay a broker directly only on alternative or private files, and that fee must be disclosed upfront.
Are mortgage brokers regulated in Canada?
Yes. Mortgage brokering is provincially regulated. In Ontario it's FSRA (the Financial Services Regulatory Authority) under the Mortgage Brokerages, Lenders and Administrators Act (MBLAA); BC has BCFSA, Alberta has RECA, Quebec has the AMF, and so on. In Ontario every brokerage, broker and agent must be licensed, brokerages must carry errors-and-omissions insurance, and mortgage brokers are subject to FINTRAC anti-money-laundering rules.
How do I check if a mortgage broker is licensed?
Every Canadian regulator publishes a public licence registry. In Ontario you can search a broker or brokerage on FSRA's website by name or licence number. A legitimate brokerage displays its licence number on its website and documents — Mortgage Squad Advisors' is FSRA #13737. Always confirm the licence is active before sharing personal financial information.
Does a mortgage broker pull my credit, and does it hurt my score?
A broker usually pulls your credit once and uses that application to shop several lenders, so you get the benefit of many lenders with fewer inquiries. A pre-qualification (an estimate) usually needs no credit pull at all; the hard inquiry happens at formal pre-approval. Lender inquiries stay on your Canadian credit report for about 3 years, but a single inquiry's effect on your score is small and fades within months.
When should I use a mortgage broker instead of my bank?
A broker is especially valuable when your file is anything other than salaried-with-perfect-credit: self-employed or business-for-self income, new to Canada, bruised credit, a rental or investment property, a renewal you want to shop, or a tight stress-test qualification. For those files a broker's lender network is the difference between an approval and a decline. Even on a clean file, it's worth comparing a broker's options with your bank's offer.
We’ll try to beat your rate.
If we can’t, we pay you $500.¹
¹ Rate Beat: eligible Big-6 bank written offers only · same product, term & amount · $500 paid to you or your nominated charity at closing · conditions apply
Find a specialist in your city
A licensed mortgage broker shops your file across 100+ lenders regardless of where you live in Ontario — but local expertise matters. Find an advisor who knows your market's prices, land transfer taxes, and typical lender decisions.