4 Common Myths about Mortgage Brokers-Debunked
Why Working with a Broker Might be the Smartest Move You Make
When it comes to getting a mortgage, many Canadians still go straight to their bank without realizing they have other options. As mortgage brokers, we often hear misconceptions that can stop people from exploring potentially better solutions. So, let’s set the record straight.
Here are five of the most common myths about mortgage brokers—and the truth behind them:
Myth 1: Mortgage brokers charge high fees
The truth:
In most cases, mortgage brokers do not charge fees to the borrower. We’re paid by the lender once the mortgage funds. The only time a fee might apply is for highly specialized financing—such as private lending or commercial deals—where traditional lenders aren’t an option. But you’ll always know up front if any fee is involved.
👉 Bottom line: For most residential mortgages in Canada, using a broker costs you nothing out of pocket
Myth 2: Once I’m approved, the broker’s job is done
Truth: A great mortgage broker is with you for the entire life of your mortgage—not just the approval.
That includes:
Helping you understand renewal offers and whether you should switch lenders
Reviewing your mortgage annually to see if it still fits your goals
Guiding you through refinances, ports, or home equity options
Being your sounding board when financial situations change
We’re here long after you get the keys—because life doesn’t stand still, and neither should your mortgage plan.
Myth 3: It’s safer to stay with your bank because they know you
The truth:
Your bank may know your history, but that doesn’t guarantee the best outcome. Loyalty doesn’t always equal reward—especially at renewal. In fact, many banks don’t automatically offer their best rates unless you negotiate or compare.
A broker acts in your best interest, not the bank’s. Our goal is to find the product that fits you best—not just to keep you with one institution.
Myth 4: Brokers are only for people who can’t qualify elsewhere
The truth:
While brokers are great at helping clients with tricky files—self-employed income, low credit scores, non-traditional income—we also handle prime clients every day. Many of our clients could walk into any bank and get a mortgage, but they choose a broker because they want:
More lender options
Guidance through the process
Help understanding terms, penalties, and conditions
A better overall strategy, not just a rate
Final Thoughts
There’s a lot of noise in the mortgage space—but your financing shouldn’t feel like a mystery. Mortgage brokers are licensed, trained professionals who advocate for you, not the lender. Whether you're buying, refinancing, or renewing, it’s worth having the conversation.
Still have questions about working with a broker? I’d be happy to chat and help you understand your options—no commitment, just clarity.
