Why Mortgage Brokers Are Teaming Up With Financial Planners

Mortgage Professionals have been the gatekeeper for many Canadians to get their dream home. Whether you work at a bank or are a broker, you have probably mastered walking your clients through the complex stages of getting them money for their home. First time buyers, investors, or builders all have entirely different needs that require your expertise. But what happens when it comes time for one of the last and most important steps before you close their file? This is where more mortgage professionals are teaming up with financial planners to

· Get their clients approved for more

· Transfer the risk away from themselves

· Provide fully underwritten policies

· Protect their brand

I have worked with many of the top names in the mortgage industry across BC and Alberta, all agree that one of the biggest decisions a client will make once their mortgage is finalized is how they protect the risk of not being able to make their payments due to illness, injury, or death. I think we can all agree that insurance is the best tool to cover this risk. But are all insurances equal? Check out this segment from CBC Marketplace:


with all this uncertainty more professionals are turning to Financial Planners to take over this risk. I will explain below.

Coach clients to get approved: Let’s start with the basics. Your clients have a large future value potential. As they get older they look to purchase additional properties, help their children and siblings into homes, and who doesn’t love bragging that they have the best professionals out there? In many of my cases when the Financial Planner and Mortgage Professional work together with the client we were able to create a comprehensive financial plan that will help them save and invest for their goals effectively. This results in higher purchase prices, more lending, and an extremely unique experience for the clients which results in higher referrals then the broker was getting before. All of this equals more money in your pocket with happier clients.

Transfer the risk: Rarely do mortgage professionals stay at the same company for their entire career, or even most of it. This shows the importance of your personal brand and how crucial it is to protect. It can take you years to build but only one google review to ruin it. So, what is a real fear for you? Maybe you don’t offer mortgage insurance or maybe you offer the one that you are told is the best without knowing the of the product.

Would you put your client with a lender who says they will give the mortgage only to demand full payment if your client ever has a negative impact to their income? Of course not. But sometimes this is what is happening in the mortgage insurance world while you and your clients are unaware.

The reality is that insurance is as complex as mortgage lending and you don’t want to put your reputation in the hands of someone who is not qualified to offer the best advice for your clients.

Provide fully underwritten plans: One of the biggest advantages we can offer you is that your clients will have fully underwritten policies. This means that there are no what if’s or grey areas for payouts in the future.

· We assess the needs of the client

· Shop around for the best price based on what features the client needs

· Apply for the insurance amount

· Order medical tests and doctors reports if needed

· Get a written contract for insurance policy guaranteeing payout and clearly stating any situations that would be excluded based on pre-existing conditions.

If your client ever needs to claim their policy, we would walk them through the entire process.

Also, with these policies the price never changes regardless of health and lifestyle changes. Your client knows that they are protected and at a guaranteed price.

Protect their brand: Imagine if you let your client leave with a policy you were not sure about. They try to claim their policy when they are in desperate need, only to find out they have been denied. Regardless of who is at fault the client will remember you. Therefore, there has been an increase of Mortgage Professionals and Financial Planners collaborating to protect their clients and reputations. In today's world clients look for transparency and a name they can trust. Working with a planner can increase your profit, protect your clients, and protect your personal brand.

Our role is to enhance your clients experience and elevate you to a trusted name in the industry. If you have any further questions or would like to discuss some case studies, please contact us anytime!

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