How to become a mortgage broker in Prince Edward Island

Do you have a passion for helping people achieve their dream of owning a home? A career in Prince Edward Island’s mortgage brokerage industry might be a great fit for you. This is especially true if you enjoy working with lending companies such as banks, credit unions, and other mortgage lenders. 

Need help in getting started? 

In this article, Canadian Mortgage Professional will shed light on how to become a mortgage broker in Prince Edward Island. We will cover the necessary requirements and steps to help you determine if this career suits you. We will also share three tips on how to succeed as a mortgage broker in this province. 

Curious about the average salary and commission fees that you can earn once you become a mortgage broker? Find out below. 

Who regulates mortgage brokers in PEI? 

The Prince Edward Island Real Estate Association (PEIREA) regulates mortgage brokers in the province. 

Understanding the role of a mortgage broker in PEI 

The main task of mortgage brokers is to assist their clients in finding the most suitable mortgage based on the latter’s personal objectives and monetary capacity. Their role is to connect their clients with well-established mortgage lenders. This allows eligible borrowers to compare different mortgage options without having to approach mortgage lenders by themselves. 

Mortgage brokers also play a vital role in mortgage transactions by making sure that their clients have the financial means to fund the mortgage. They can evaluate their clients' credit history and other data to see if the latter can afford to pay without having to live paycheque to paycheque. 

Due to their connection with multiple lenders, mortgage brokers can often negotiate better interest rates and mortgage terms than clients would get on their own. This can help them save thousands of dollars over the life of the home loan. 

Becoming a mortgage broker in Prince Edward Island 

To become a mortgage broker in Prince Edward Island, you must meet the criteria set by the PEIREA. First, you must be licensed either as a real estate agent or as a designated representative of an agent. Apply for a real estate salesperson licence to get started. 

Getting a real estate salesperson licence 

To work legally as a real estate salesperson in Prince Edward Island, you need to obtain a real estate salesperson licence through the Registrar of Real Estate. You will first have to work under a licensed PEI real estate agent, following the rules and regulations set by the Real Estate Trading Act.  

To be eligible for the real estate salesperson licence, you must be: 

• at least 18 years old 
• a Canadian citizen or a permanent resident of Canada 
• sponsored or employed by a licensed PEI real estate agent 

You must also show that you: 

• have successfully completed the education and examination requirements 
• have provided a recent Criminal Record Check, conducted at a detachment of the Royal Canadian Mounted Police (RCMP), or a municipal or provincial police force 
• have given and maintained a surety bond of $2,000 
• have submitted the non-refundable fee of $200 
• have complied with the rules and regulations of the Real Estate Trading Act 

Your real estate salesperson licence will then be valid for two years. It can be renewed for up to three months in advance of your licence’s expiration. Once you are working as a real estate salesperson, you can now apply to become a mortgage broker in PEI. 

Applying for the mortgage broker package with PEIREA 

To apply for the mortgage broker package with PEIREA, you must be: 

• currently a licensed real estate salesperson working in Prince Edward Island 
• working in a firm officer for at least two years 
• be a member in good standing in your current jurisdiction 

After you qualify for these requirements, PEIREA will give you six months to prepare for the exam. You must complete and pass this before you can work legally as a mortgage broker in Prince Edward Island. 

The passing grade for the exam is 75%. You will receive a notification of your grade within ten business days from the PEIREA. Once you pass, you will be able to get your mortgage broker licence. 

What if you are licensed as a mortgage broker in another province? 

If you want to work as a mortgage broker in Prince Edward Island, you must meet the education and experience requirements. However, there are cases where an applicant may be exempt from the requirements set by PEIREA and still be considered eligible to work legally. 

If you have a permit or equivalent authorisation from the list of Canadian provinces below, you will be excluded. This means that you do not need to go through the entire process or complete any training program to work as a mortgage broker in Prince Edward Island. 

Here is a list of provinces with their equivalent licence holders: 

• Alberta – mortgage broker 
• British Columbia – designated individual 
• Manitoba – authorised official 
• Nova Scotia – mortgage broker 
• Ontario – mortgage broker 
• Québec – fully qualified real estate broker qualified to manage an agency or mortgage broker qualified to manage an agency 
• Saskatchewan – mortgage broker 

How to succeed as a mortgage broker 

With dedication and perseverance, aspiring mortgage brokers can gain an edge over the competition, consistently attract clients, and earn referrals. Want to learn more about how to succeed as a mortgage broker in Prince Edward Island? Try following these three tips: 

1. prepare to offer multiple options 
2. be straightforward about your fees 
3. share evidence of your accomplishments 

Let's take a closer look below: 

1. Prepare to offer multiple options 

Clients have different mortgage requirements, personal goals, and financial cases. As such, you should learn how to attend to their needs and manage their complex situations. To be successful as a mortgage broker in Prince Edward Island, you must be able to: 

• answer most, if not all, of their concerns 
• explain in detail the mortgage products that your partner lenders can offer  
• present direct solutions and alternatives based on their goals and needs 

2. Be straightforward about your fees 

You should always be clear about fees and other costs with your clients. As much as possible, try to make the discussions less intimidating for your clients. You can achieve this by always sticking to the facts. Be sure to provide all the necessary information that they need to know—especially how much they need to pay for your services. 

It is also helpful to develop your communication skills. Establish mutual respect with your clients right from the beginning. Know how to manage their expectations and don't be afraid to have difficult conversations. 

After all, buying a house and borrowing a large amount of money can be terrifying, especially for first-time buyers. You must be aware that not all your clients will be happy with the home loan options that you can offer. Compromise where you can but learn to set your boundaries as a mortgage professional. 

3. Share evidence of your accomplishments 

An integral part of your job as a mortgage broker is putting your clients at ease, especially when they are overwhelmed by their expenses. You can gain their trust by providing positive feedback from your past clients. You should also let them know about your qualifications and training to show credibility. 

To do this, try displaying your certifications and awards inside your office. You can also showcase your achievements by posting them online on your social media accounts and website (if you have any). 

You can also gather personal recommendations from your network, especially from past clients, and share these with your prospects. Showing these client reviews will help establish your name and highlight your abilities as a trusted mortgage broker in PEI. 

Would you like to know other tips? Watch this clip to learn other secrets on how to be successful as a mortgage broker not just in PEI but across the country: 

Try following these three tips and you could see your name listed among the top mortgage brokers in the country. For inspiration, check out our special report on the 75 best mortgage brokers in Canada. 

Average salary of mortgage brokers in Prince Edward Island 

According to the latest report from Ziprecruiter, a mortgage broker in Prince Edward Island has an average salary of $129,346 per year. You can also expect to earn at least $10,778 monthly and $2,487 weekly. As for the hourly wage, you can get $62.19 while performing your tasks as a mortgage broker. 

How much can mortgage brokers earn in PEI through commissions? 

Aside from the average earnings that mortgage brokers can get as their fixed salary, they can earn more per deal through commissions. Typically, mortgage brokers can earn at least 5% of the total price of their client’s mortgage deal. 

Get leads to earn more 

If you want to attract clients in Prince Edward Island, you need to learn how to market yourself as a credible mortgage broker. Try doing any of these to get more leads: 

• Build a strong online presence: Use social media and other online tools to market your services. 
• Connect with professionals who might be referral partners: Networking with professionals in related industries can bring consistent referrals. 
• Attend local events and real estate seminars: You can even host free events to educate potential clients about mortgages. 
• Offer free consultations while you’re still starting out: Providing free resources can attract potential clients. 

Here are three more ways to get mortgage leads in Canada: 

Planning to start your career as a mortgage broker in Canada? Check out this guide! 

Building your brand as a mortgage broker in Prince Edward Island 

Building your brand as a mortgage broker in Prince Edward Island takes time and effort. It also involves connecting with other professionals in and out of the industry. Growing your network can bring valuable referrals and insights. This can help you improve the quality of your service and help you attract more leads. 

It is also important to stay updated on the latest mortgage trends and loan options from your partner lenders. With this, you can provide the best advice and solutions to your clients. For the most recent mortgage news in Prince Edward Island and across Canada, visit our market updates page. 

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