In the industry’s early years, Canadians often turned to mortgage brokers only when their bank couldn’t help. Today, many go because brokers can access every bank and a wider range of products.
While many of those traditional customers still rely on brokers, including newcomers, self-employed Canadians and those with credit challenges, brokers are now also popular among everyday borrowers who want more options, better service and a more tailored solution.
“Historically the perception was if you couldn’t get a mortgage at a bank you went to a broker, and that is still the case,” says Mark Tamburro, a broker with Get a Better Mortgage, part of The Mortgage Centre. “But now, the most qualified people also deal with us — the people who could get a mortgage from anyone — because they want you to shop around, to play one lender off the other and get them the best deal.”
While brokers now work with clients across all ages, incomes and credit profiles, each group turns to them for different reasons. Here are some of the most common groups…
Rate Shoppers
Tamburro explains that when he began in the industry 33 years ago, his dad warned that he would be dealing with the “dregs of society,” likening the job to that of a used car salesman.
“As my business evolved and I became an expert at providing advice and a client-focused strategy, I was dealing with triple-A customers; doctors, lawyers, investment bankers, you name it.” he says. “The best and brightest wanted to deal with me because I gave them the customized service that most banks weren’t capable of offering.”
Tamburro says rather than a used-car salesman, he now sees his job more aligned with that of a financial advisor who specializes in debt products, or what he calls a “debt advisor.”
“They come to us for advice, they come for us for pricing alternatives, they come to us for selection, and they come for us for unique strategies that aren’t available through traditional vendors,” he says.
Newcomers
Those who are new to Canada face a range of barriers that can make it harder for them to purchase a home, providing an opportunity for brokers to offer unique value.
According to a recent survey of newcomers by TD, more than three quarters worry about making financial mistakes, and more than half say they’ve struggled to manage their finances since arriving in Canada.
“We always talk about how a broker can help with financial literacy, but that trust piece is huge for new-to-Canada clients,” says Rachelle Gregory, Senior Vice President of Originations at Merix Financial. “They lack familiarity with the system, so they’re going to the brokers in their community who will be able to provide culturally sensitive service, understand their needs, offer language options and connect them to lenders.”
First-time homebuyers
Like newcomers to the country, those who are new to the market similarly look to brokers to demystify what can be an intimidating process. According to Mortgage Professionals Canada’s latest consumer survey, 45% of first-time homebuyers said they were likely to use the services of a broker, as well as 40% of those aged 18 to 34.
“We find that the younger generation doesn’t want to be told what to do; they want someone to bring them options,” says Gregory. “The traditional model of going into the local bank and having them sell only the products they offer is not part of their DNA.”
Gregory adds that there is a misconception that first-time buyers are less informed than their more mature peers, arguing that, thanks to the Internet and social media, these buyers are among the savviest.
“Because of that, they want to make sure that they have somebody that’s giving them a lot of options,” she told Canadian Mortgage Trends. “They also want brokers to give them more tools, like budgeting strategies and financial advice, rather than just a mortgage.”
Second (or third, or fourth)-time homebuyers
After making strong inroads with first-time buyers in recent years, many brokers say they’ve established lasting relationships with a new generation of customers who are now ready to upgrade or renew.
“About 45% of first-time buyers use brokers, and that number has been pretty steady for five or 10 years, so a lot of those clients are now going back to the broker that got them set up in the first place,” says Jason Nugent, a broker with Neighbourhood Mortgage Source, part of Dominion Lending Centres.
“We used to do a lot more alternative and B-lending, but now our book has so much A-business, just because those clients are coming back and back and back,” he adds.
Credit-challenged
Brokers aren’t just well-positioned to help first-time buyers return to the market in a stronger position. The broker channel also has a longstanding reputation for helping clients facing financial challenges rebuild and strengthen their credit profiles over time.
“Bad things happen to good people, whether it’s a job loss, marital breakdown, or credit that got out of control,” Nugent says. “If they’ve got a credit score in a certain range, the banks just aren’t set up to help them, but brokers have options for them.”
Those options could include alternative lenders, private lenders, credit unions, and other institutions that are able to work with clients across a broader financial spectrum.
“A broker can take them to an alternative lender, consolidate some of that debt, get them back on track so their credit is good, and we can help get them on the path back to a traditional lender,” Nugent says. “The Big Five banks just aren’t set up to do that.”
Self-employed
Another significant and growing group that often turns to brokers is the self-employed, whose financial records can pose unique challenges when applying for loans.
According to Statistics Canada, there were 2.75 million self-employed Canadians as of April 2025, up nearly 3% from one year prior.
“A lot of self-employed clients make the required income, but through write-offs and things like that, they don’t necessarily meet the same criteria as traditionally employed people,” Nugent says. “The banks just aren’t in a position to help those clients — they tend to lean more towards fully verifiable income, like what line 15,000 shows on your tax return — whereas brokers have options with alternative lenders that will consider gross earnings, which lets them buy houses they can afford, but not in the bank’s eyes.”
Seniors
Brokers are well-suited to help borrowers at all ends of the income, employment, credit score and even the age spectrum.
Once a niche product, reverse mortgages have seen a surge in interest as Canada’s aging population and rising costs push more retirees to tap into their home equity to help manage expenses.
“You’ve got seniors that are wanting to stay in their house, but they still need help, so they’re tapping into that reverse mortgage to pay for a PSW (personal support worker),” Nugent says. “There’s a growing number of seniors that are taking on reverse mortgages or converting because the equity in their home is exploding, and I think brokers have been a major part of that.”
Nugent explains that reverse mortgage clients typically need more time to evaluate their options, and often want other family members and trusted professionals, like their lawyer or accountant, to be part of those conversations.
“A reverse mortgage [sale] can take up to a year, and you may meet with a senior two or three times to make sure they fully understand the product,” Nugent says. “Banks generally don’t have the time to sit down with a senior three or four times to talk about a product they don’t even offer directly, so they’re working with brokers because they have direct access to the product and a better understanding of how it works.”
Part 3 of our series will explore how the broker channel is evolving, including what today’s clients expect, how brokers are adapting, and what the next generation of advice may look like.
Missed Part 1? What mortgage brokers do — and what they don’t
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Last modified: November 10, 2025