Regardless of what a pandemic has done to the world economy, private mortgage lenders are still lending. This is because mortgages, especially residential, are undoubtedly their largest source of profit. They faced quite a few challenges since the pandemic began and during this tough time, have learned to overcome them and become even more effective and efficient than they have before. Read further to learn what challenges private lenders faced and some statistics about who’s borrowing money.
Challenges Private Mortgage Lenders Faced
The Covid-19 pandemic brings with it many challenges. Every business sector has faced adversity. It has forced companies to swiftly and drastically pivot their business practices without a plan. For lenders, working from home created problems in areas like customer support. I can imagine it did for many industries. Lenders’ lost the ability to be truly innovative and provide regular service to the mortgage brokers and clients.
But they did it! Lenders made the transition and pivoted their businesses. They went from desktops to laptops, in-person appointments to virtual meetings, and paper to online transactions.
More and more home buyers today are choosing private mortgage lenders’ money to fund their homeownership dreams. By maintaining an important role in Canada’s housing market, they are offering a very valuable option to potential homebuyers. The ability to reach more than one lender. Homebuyers are realizing this. According to StatCan, the value of residential mortgages by non-bank lenders reached $47.9 billion in 2020, a 36.5% year-over-year increase compared to 2019.
You will need to consider mortgage broker fees when making the decision to work with a private mortgage lender. In reality, the benefits of working with one far outweigh the costs.
I have over 200 lenders in Canada and 50 in the US ready to take on your commercial or residential project. Contact me today.