CMP 12.07 by Key Media

MORTGAGEBROKERNEWS.CA ISSUE 12.07 | $12.95

YOUNG GUNS Meet 55 of the brightest stars of the mortgage industry’s next generation

CONSCIENTIOUS CONSUMERS The cold, hard numbers behind debt and delinquency in Canada

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THE PLOT THICKENS FOR HOME CAPITAL A closer look at the real cause of the lender’s sudden fall – and its unlikely saviour

FIVE WAYS TO SPUR INNOVATION Go beyond the buzzword with practical tips for driving creative solutions

13/07/2017 6:59:39 AM

D avid Clarke David is a mortgage specialist with a successful DLC mortgage team, but he is MORE than that.

David gives back to his community. For six years he has risked his life as a volunteer firefighter for the local fire department. On top of that, for two years – David served as a lieutenant. Besides providing aid to his neighbours during an emergency, David has spent countless hours helping boost other charities and organizations to make his city a better place to live. He is truly a dedicated member of the community that he calls home. This is what success looks like when you’re a part of Team Blue. Isn’t it time you join a company that appreciates what you do – and who you are – both on and off the job. Dominion Lending Centres —

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ISSUE 12.07

CONTENTS 2017

YOUNG GUNS

COVER STORY

Watch out, old guard: These 55 rising stars are about to change the way business is done in Canada’s mortgage industry

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ISSUE 12.07

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CONTENTS

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UPFRONT 04 Editorial

A surprise twist in the Home Capital saga

PEOPLE

44 10

BROKER INSIGHT Sally Kwan outlines how she went from mortgage novice to the pinnacle of the industry

The skies appear to be clearing for Home Capital – but is the storm truly over?

INDUSTRY ICON Broker and CMBABC president Troy Resvick on why operating on a united front is crucial for the future of the channel

08 Head to head

Is there still room in the Toronto market for part-time brokers?

12 Commercial update

What commercial brokers need to know about Canada’s burgeoning cannabis industry Home Capital gets an infusion of cash from a world-famous investor

50 FEATURES

PEOPLE

Despite the widening gap between debt and income growth, Canadians remain responsible mortgage holders

14 Alternative lending update

UPFRONT

NEWS ANALYSIS

06 Statistics

MAKING INNOVATION PRACTICAL

Five ways to ensure that ‘innovation’ is more than just a buzzword

16 Opinion

What happened to Home Capital can happen to anyone

CMY

PEOPLE 55 Career path

For Bryan Jaskolka, starting new companies is a way of life

56 Other life

Broker David Larock was born to run

52 FEATURES

A GENERATION SET UP FOR FAILURE?

Developing millennial leaders means abandoning traditional methods

MORTGAGEBROKERNEWS.CA CHECK IT OUT ONLINE

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UPFRONT

EDITORIAL

An unlikely ending?

here is a plot device, sometimes used in film or literary storytelling, called deus ex machina. The term has evolved from the original Greek (which meant “god from the machine”) to refer to an abrupt and somewhat unbelievable resolution to a story. Wikipedia gives a better explanation: “The term has evolved to mean a plot device whereby a seemingly unsolvable problem is suddenly and abruptly resolved by the inspired and unexpected intervention of some new event, character, ability or object. Its function can be to resolve an otherwise irresolvable plot situation, to surprise the audience, to bring the tale to a happy ending or act as a comedic device.”

Buffett’s entrance into the story could be the beginning of a happy ending for Home Capital – and the brokers who rely on the lender

www.mortgagebrokernews.ca ISSUE 12.07 EDITORIAL Editor Justin da Rosa Writers Joe Rosengarten Libby Macdonald Ephraim Vecina Kimberly Banks Heather Turner Copy Editor Clare Alexander

CONTRIBUTORS Christine Xu Amantha Imber Hiam Sakakini

ART & PRODUCTION Design Manager Daniel Williams Designers Loiza Caguiat Joenel Salvador Production Manager Alicia Chin Advertising Coordinator Kay Valdez

SALES & MARKETING Associate Publisher Trevor Biggs Vice President, Sales John Mackenzie National Account Manager Trevor Lambert Marketing and Communications Melissa Christopoulos Project Coordinator Jessica Duce

CORPORATE President & CEO Tim Duce Office/Traffic Manager Marni Parker Events and Conference Manager Chris Davis Chief Information Officer Colin Chan Human Resources Manager Julia Bookallil Global CEO Mike Shipley Global COO George Walmsley

EDITORIAL INQUIRIES

So what could this possibly have to do with mortgages? Well, the Home Capital saga may have seen the very definition of deus ex machina. Following the suspension of 45 brokers due to alleged document fraud – and the fallout from regulatory allegations that the lender had misled shareholders, marked by dwindling deposits as investors got antsy – many in the industry believed the end could be near for the alternative lender. What could possibly save it? Enter Warren Buffett, the fourth wealthiest man in the world. Buffett is considered one of the world’s most successful investors and currently boasts a net worth of around $73 billion. His latest investment? Home Capital. Buffett’s company, Berkshire Hathaway, announced in mid-June that it was extending a $2.4 billion financing package to the lender. The deal will inject $400 million in equity, as well as a new $2 billion line of credit – both expected to help right the wayward ship. Days after the announcement, Home Capital gained more than $100 million in new deposits. Of course, the saga is far from over. But Buffett’s entrance into the story could be the beginning of a happy ending for Home Capital – and the brokers who rely on the lender for its alternative offerings.

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Copyright is reserved throughout. No part of this publication can be reproduced in whole or part without the express permission of the editor. Contributions are invited, but copies of work should be kept, as the magazine can accept no responsibility for loss

13/07/2017 7:33:57 AM

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UPFRONT

STATISTICS

Steady as she goes

POOR CREDIT SCORES BY PROVINCE

Consumers might be borrowing more than ever, but they’re also conscientious about paying it back DEBT IS on the rise in Canada, but delinquency remains low, keeping the market stable even as the number of highly indebted households grows. The overall level of mortgage debt relative to income is also on the up, attributable in part to spikes in the average monthly mortgage payment that have outstripped the rate of inflation, a development most pronounced in the country’s hottest markets. In the fourth quarter of 2016, Toronto’s

28.1%

0.34%

Percentage of Canadian consumers with a mortgage

Mortgage delinquency rate nationwide

average payment was $1,826, an increase of 11.5% from the year before. Vancouver also saw a pronounced proportional rise – the average payment of $1,936 for Q4 2016 was up 4.5% from the year prior. While these figures have sparked some concern that the mortgage holders could struggle to meet future commitments, the rate of delinquency in both Toronto and Vancouver remains among the lowest in the nation.

11%

Proportion of Canadian mortgage holders who have a credit score below 660

$271,895

The proportion of new mortgage holders with credit scores below 660 – the typical threshold for ‘good’ credit – is by far the highest in the Atlantic provinces. Meanwhile, in British Columbia and Ontario, where high prices continue to grab headlines, the proportion of mortgage holders with subpar credit scores is significantly smaller.

British Columbia

9.7%

Victoria Vancouver

8.4% 8.5%

National average value of new mortgage loans Source: Homeowners’ Debt at a Glance, CMHC, June 2017

CREDIT GROWING FAST

WHO HAS THE HIGHEST PAYMENTS?

Year-over-year growth of mortgage credit and HELOCs reached 6% in 2017, exceeding the rate of income growth by almost 3%.

Not surprisingly, the average monthly payment on new mortgage loans varies considerably across the country. Homeowners in the turbo-charged British Columbia market pay more than double what owners in New Brunswick do.

YEAR-OVER-YEAR GROWTH 7%

Residential mortgage credit and home equity lines of credit

6% 5% 4% 3%

Disposable income 2013

2014

2% 2015

2016

2017

Source: Statistics Canada and Bank of Canada, June 2017

British Columbia Alberta Saskatchewan Manitoba Ontario Quebec New Brunswick Nova Scotia Prince Edward Island Newfoundland

$1,664 $1,449 $1,253 $1,059 $1,486 $918 $811 $961 $837 $1,056 Source: Homeowners’ Debt at a Glance, CMHC, June 2017

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Alberta

14%

Edmonton Calgary

Quebec

7.9%

Montreal Quebec City

8.3% 5.0%

Newfoundland

16.6%

St. John’s

13.6%

Prince Edward Island 17.6%

14.1% 12.2%

Charlottetown

Manitoba

13.2%

Winnipeg

12.5%

15.4%

Saskatchewan

13.9%

Ontario

11.2%

New Brunswick

19.4%

Nova Scotia

16.9%

Saskatoon Regina

12.5% 12.7%

Hamilton Toronto Ottawa-Gatineau

10.7% 9.6% 8.9%

Saint John Moncton

17.1% 18.8%

Halifax

13.8%

Source: Homeowners’ Debt at a Glance, CMHC, June 2017

DELINQUENCY STAYS LOW During 2016, the rate of delinquency either held steady or slightly declined in most provinces. Saskatchewan and Alberta – both still recovering from plunging oil prices – were the only provinces where delinquencies rose slightly. DELINQUENCY RATE BY PROVINCE 0.9%

New Brunswick Nova Scotia Saskatchewan Prince Edward Island Alberta Newfoundland Quebec Manitoba British Columbia Ontario

0.8% 0.7% 0.6% 0.5% 0.4% 0.3% 0.2% 0.1%

Q1 2016

Q2 2016

Q3 2016

Q4 2016 Source: Homeowners’ Debt at a Glance, CMHC, June 2017

WHAT ABOUT OTHER DEBT? Non-mortgage debt rose 1.9% to average $21,696 in the first quarter of 2017; instalment loans saw the highest jump from the year before. Auto loans up

2.67% annually

Credit cards up

2.23% annually

Instalment loans up

5.46% annually

Lines of credit down

1.81% annually

Source: TransUnion Industry Insights Summary, June 2017

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UPFRONT

HEAD TO HEAD

Will a cooling Toronto market weed out part-time brokers? Sales are falling in Toronto following government intervention – but will that prompt less dedicated brokers to step aside?

Rakhi Madan

Paul Mangion

Dustan Woodhouse

Mortgage broker DLC Key Mortgage Partners

Principal broker/partner The Mortgage Centre M.O.S. MortgageOne Solutions

Mortgage broker DLC Canadian Mortgage Experts

“If less dedicated part-time brokers are being weeded out of the market, it’s for reasons beyond the rule changes of late last year. They have no idea about what is insurable or non-insurable, that refinances can’t be placed in insurance bucket and so can 30-year AMT, that there are different qualifications, interest rates, and so on. A cooling market wouldn’t be enough to weed these less committed brokers out, as they are only looking at the mortgage business as providing pocket money or extra cash. This would require only one deal a month – or perhaps per quarter – which is easily attainable.”

“There will always be people who try to follow the quick money. Now that there is no quick money, agents will need to use their experience, skills and some hard work. Since many quick-money agents don’t possess these skills and only work in easy markets, I suspect we will see many mortgage and real estate agents leave the industry. This is an unfortunate but necessary purging of poor agents. Higher standards and better education for new agents will help reduce the size and frequency of these industry purgings.”

“I would suggest that a cooling market is not really required when it comes to weeding out less dedicated part-time brokers – the rule changes of October 3 already did that to some extent, I am sure. The actual work of a broker is more complex than ever, and it requires dedicated investment of time and energy. Speculative stats indicate that nearly 5,000 new agents will be licensed in 2017, and perhaps 250 will renew their licenses the year after. In BC, the attrition rate is 85%; it sounds like it is pushing 97.5% in Ontario.”

FACING SLIMMER PICKINGS On the heels of Ontario’s Fair Housing Plan, introduced in April, the Toronto market saw sales drop by 50% in early June, a fall estimated to equate to $2.5 billion in lost market activity. According to the Toronto Real Estate Board’s internal mid-month statistics, average prices in the GTA fell more than 6% over the course of two weeks to $808,847 – a far cry from April’s peak figure of $920,791. In response to its own similar findings, the Canadian Real Estate Association issued a downward revised forecast for Ontario housing sales.

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13/07/2017 7:37:06 AM

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UPFRONT

NEWS ANALYSIS

Mounting a comeback Home Capital Group is proving it refuses to go down without a valiant fight – and industry players are confident the worst may be behind it

HOME CAPITAL continues to make headlines, but this time brokers have reason to believe that recent developments signify positive news. “We who have dealt with Home Capital, we’ve seen they’ve been a stable company that has good products and has been very profitable,” says Ajay Soni, senior mortgage broker with Invis and president of the Canadian Mortgage Brokers Association. “Right now they’re trying to reach back to where they were before. Obviously they have to replace their credit line, but ... they’re being very positive and aggressive with their marketing. Every day I see them in the newspaper, there is an ad about their GIC and deposit rates.” Home Capital is hard at work restoring its image and, indeed, stabilizing itself finan-

“This transaction will help the company further stabilize its liquidity position and highlights the flexibility and options created by the quality of our assets,” said Bonita Then, interim president and CEO of Home Capital, in announcing the deal. “Proceeds from the transaction are expected to have an immediate impact by enabling us to enhance our liquidity and reduce the outstanding debt under the company’s $2 billion credit facility.” The deal is just one bid by the channel lender to stabilize itself following allegations from the Ontario Securities Commission that it misled investors in 2015 and resulting dwindling deposits. In mid-June, Home announced a settlement with the OSC and class-action matters.

“They’re trying to reach back to where they were before. They’re being very positive and aggressive with their marketing” Ajay Soni, Invis cially. In late June, the lender announced an agreement with KingSett Capital to sell a commercial mortgage portfolio valued at around $1.2 billion. Under the terms of the agreement, KingSett will purchase the portfolio for 99.61% of outstanding principal value. Home Capital expects to incur a loss of $15 million before taxes on the deal.

“Under its proposed settlement with the commission, Home Capital will make a payment of $10 million and reimburse commission costs in the amount of $500,000,” the company said in a statement. “Gerald Soloway will be reprimanded, prohibited from acting as a director or officer of any reporting issuer for a period of

four years and pay an administrative penalty in the amount of $1 million. Each of Robert Morton and Martin Reid will be reprimanded, prohibited from acting as a director or officer of any reporting issuer for a period of two years and pay an administrative penalty in the amount of $500,000.” That settlement may put to rest the OSC’s claim that Home Capital did not act quickly enough to inform investors about the alleged breach. However, many industry players have questioned the commission’s allegations, considering how long after the fact they were made. In May, National Post columnist Terence Corcoran alleged in an opinion piece that the OSC is to blame for Home Capital’s current position – which saw its shares drop from $22 to under $6 in a matter of days. “So who’s really killing Home Capital?” Corcoran wrote. “The answer, Dr. Watson, is

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A BRIEF HISTORY OF HOME CAPITAL’S SHARE PRICE

June 22, 2012

$14.92

August 22, 2014

$55.24

August 28, 2015

Announcement of suspended brokers

$25.02

October 2, 2015

$32.27

Home Capital acquires CFF Bank

May 5, 2017

$5.85

OSC announces investigation

June 21, 2017

$14.93

to be found in knowing who alone was standing on the edge of the cliff when the company began its unexpected plunge in value: the Ontario Securities Commission. By

tured by short-sellers hoping to turn a quick profit on the company’s shares, but he remains hopeful that the lender can bounce back. “I think their image is tarnished,” Allen says.

“I think their image is tarnished. Can they come back? I’m sure they could. No one likes a comeback more than me” Shawn Allen, Matrix Mortgage Global also playing into the hands of some US shortsellers, the OSC has turned a minor and legally debatable issue of corporate disclosure into the potentially catastrophic destruction of a 30-year Canadian corporate success.” Leading alternative broker Shawn Allen of Matrix Mortgage Global believes Home Capital’s situation has been partly manufac-

“Can they come back? I’m sure they could. No one likes a comeback more than me.” Home Capital took the first step in restoring industry confidence when it shook up its leadership structure in May. Following the announcement of a new board, many industry players voiced their support of the lender. Most recently, Home Capital announced the

appointment of Yousry Bissada as its new CEO. The 57-year-old brings a wealth of mortgage industry leadership experience to the role, further bolstering industry confidence in Home’s ability to recover. That confidence was strengthened once again by a hefty investment from Warren Buffett’s Berkshire Hathaway in late June. The terms of the deal include a $400 million investment to acquire common shares of the company, representing an approximate 38% equity stake in Home Capital. Berkshire has also signed off on a credit agreement at an initial rate of 9.5% for an outstanding loan initially taken out in May. “Another positive is there are reports that they’re looking to get a much lower-cost credit facility from a consortium of Canadian banks,” Soni says. “I think that’s all positive, and you’ve seen that in their stock. We’re getting emails – they’re lending. That’s all positive.”

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UPFRONT

COMMERCIAL UPDATE NEWS BRIEFS Toronto rental rates to spike upward A recent Jones Lang LaSalle study warns that Toronto’s commercial rental rates could increase by as much as 50% over the next 36 months. The report cited ever-increasing property values and tight supply as the main drivers. Currently, rent for Class A space in Toronto sits at $59.17 per square foot, but this rate is expected to grow to $88.76 per square foot by 2020. According to JLL Canada CEO Brett Miller, this is a natural outcome of the currently strong inbound flow of investment toward downtown core markets nationwide.

Commercial activity propelling Quebec City GDP

In its May outlook report, The Conference Board of Canada predicted that industrial and real estate activity will drive real GDP growth to 1.9% in Quebec City this year. “Widespread gains across Quebec City’s services sector, including in real estate and tourism, [are] supporting stronger growth in the provincial capital,” the organization said in its report. “[The] finance, insurance and real estate industry is poised to bounce back after three years of lacklustre growth, thanks in part to strong commercial and industrial real estate activity in Quebec City and Levis.”

Toronto office supply extremely tight A recent study by corporate real estate advisor Newmark Knight Frank has cautioned that the supply-scarce GTA office market should prepare for more tenant wars. “The three new office developments that will be delivered in 2017 … have already been over 95%

pre-leased,” the firm said. Vacancy rates across all office types in downtown Toronto remained relatively static at 6.5% at the end of Q1 2017. “With the next wave of development set to take shape in 2020,” the study said, “a landlord’s market will likely prevail for many space categories over the next few years.”

Canadian apartment market boosted by overseas capital

The Canadian apartment market has seemingly entered a renaissance as steady demand, sustained entry of foreign capital and record-breaking sales volume continue to intensify activity in the commercial investment property sector, according to a recent study from Morguard Corporation. The report found that higher prices and multiple-bid transactions are becoming more prevalent amid the apartment segment’s desirability among overseas investors. Other major contributors to this trend are the possibility of interest rate hikes, the likely prolonged decline of commodities and increased fears of a dissolution of the European Union.

Ontario commercial condo development completed

In late June, Fortress Real Developments announced that it has finished construction and registration work on Kingridge Square, a new four-building, 4.9-acre office and commercial condominium development in South Oakville. Sales of the units – which range from around 1,000 to 1,600 square feet – began in 2014; the first buyers took ownership earlier this year. Small businesses occupying the development include accountants, law and engineering firms, construction companies, and medical professionals.

Cannabis not quite a commercial home run Commercial brokers looking to cash in on this growing sector should keep a few legal matters in mind The discourse surrounding marijuana legalization has shifted into a higher gear with the April introduction of the Cannabis Act, and nowhere is this more apparent than the massive impact that legal marijuana will have upon commercial real estate. But while the segment represents lucrative potential for commercial brokers, they also need to be ready to school clients on the legal ramifications of cannabis tenants. Writing for Mondaq.com, attorneys Joseph Grignano, Jonathan Kahn, Tara Piurko and Grace Smith of law firm Blake, Cassels & Graydon outlined the legal and procedural intricacies that the commercial real estate segment must be aware of, stating that the Cannabis Act does not have all the answers because “the provinces, territories and municipalities, under their own authorities, can set additional restrictions related to production, sale and consumption.” “Tenants in the cannabis business should not be held to a higher standard as compared to other tenants and, as such, they should assume responsibility to rectify reasonable and justifiable complaints by others (but not necessarily those that are unreasonable or ungrounded),” the authors wrote. “At a minimum, tenants who intend to produce, distribute or retail cannabis from their leased premises should ensure that their leases do not afford their landlord automatic or unfettered termination rights should a neighbouring tenant take issue with odour, smoke or other issues related to the tenant’s business

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Q&A

operations.” The lawyers added that the agreedupon lease must have built-in mechanisms to correct such issues. Another aspect brokers and their clients should be aware of is safety, especially when it comes to the physical security of the crops.

“Think about who will bear the responsibility for safety, security and any related property upgrades” “The parties to the lease will want to think about and be clear as to who will bear the responsibility for safety, security and any related property upgrades,” the authors wrote. “For example, slab-to-slab construction and steel mesh sheets attached to the underside of structural joists may be required to ensure security between interior party walls. Landlords and tenants will want to determine who will bear the responsibility for upgrading properties to comply with relevant standards in relation to fire and electrical safety, humidity and moisture control, waste management and ventilation.” Ultimately, the authors concluded, preparation is key for all parties involved. “While there may currently be more questions than answers,” they wrote, “landlords, tenants and others in the commercial real estate industry should begin preparing themselves so they are not caught off-guard and are able to adequately deal with and adapt to the unique challenges and issues brought about by the legalization of cannabis.”

Ron Margolis President MARGOLIS CAPITAL – COMMERCIAL MORTGAGE PROFESSIONALS

Years in the industry 25+ Fast fact Since 2010, Margolis has moderated the finance panel at every Winnipeg Real Estate Forum

A sturdy market in Winnipeg What’s the current situation in Winnipeg’s commercial mortgage segment? For the past dozen years, Winnipeg has enjoyed a competitive commercial mortgage market, as property values are generally stable across all four industry segments. Also, net income for debt service is not prone to much fluctuation due to our stable economy.

In your view, what is it about Winnipeg that gives the strongest impression? It’s the fact that things are just so stable here. There are other markets that tend to be ‘boom-bust,’ where economies and values go high and then come crashing down a few years later. However, Winnipeg is a ‘steady as she goes’ market. That’s very attractive from a lender perspective, because it means they won’t have to guess where rents are going to be.

What are the most common issues you encounter? Strong credit unions compete with chartered banks, pension funds and life companies for quality commercial mortgage business in Winnipeg. Our local market knowledge, deep professional relationships and strong credit background enhance the quality of information that we can provide to local as well as national lenders, who in turn rely on our strong underwriting of the property and the sponsorship to put forward their most aggressive lending terms.

What role, if any, do foreign buyers/investors play here? While there are certainly foreign investors participating in our market, they have not, as yet, had any material impact on the mortgage side of the business.

Based on your transactions, what is the most significant financing challenge your clients face right now? With an ample supply of lenders, it’s not really a challenge for any of our clients to access funds in the current environment. Our borrowing clients are choosing from multiple competitive offers, and the challenge is matching the right lender with each borrower. We are seeing more opportunities to assist clients in an advisory capacity by helping them negotiate with their existing lenders, who in turn appreciate our involvement, as they benefit from our sharing of market intelligence. With most of our clientele, we focus on a strategic rather than transactional approach to financing: managing their portfolio flexibility and mitigating credit risks, while at the same time selectively encouraging new lender relationships to enhance overall loan terms and achieve the most attractive pricing.

What trajectory do you see for the market? We have a very diverse economy, so overall, it’s an even keel. As the market continues to grow, there will be more development oppor tunities – and thus more opportunities for investors to participate.

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UPFRONT

ALTERNATIVE LENDING UPDATE

Warren Buffett keeps Home Capital afloat Berkshire Hathaway will provide the embattled lender with a two-tranche financing deal worth $2.4 billion

the global financial crisis. Home Capital announced the successful completion of Berkshire Hathaway’s investment in late June, shortly after revealing an agreement with KingSett Capital to sell a commercial mortgage portfolio worth around $1.2 billion. “This investment from Berkshire Hathaway validates the underlying strength of our business and marks another major step in the rebuilding of confidence in the company,” said Brenda Eprile, chair of the Home Capital

“This investment marks another major step in the rebuilding of confidence in the company”

The beleaguered Home Capital Group is getting a measure of relief with the arrival of a $2.4 billion financing package courtesy of Warren Buffett’s Berkshire Hathaway. The two-tranche deal will inject $400 million worth of equity into the company, along with a new $2 billion line of credit with a 9.5% interest rate (slated to drop to 9% over time) on outstanding balances. Pending shareholder approval, Berkshire will purchase shares totalling around 38% of the enlarged company at

NEWS BRIEFS

an average of $10 a share. “[Home Capital’s] strong assets, its ability to originate and underwrite wellperforming mortgages, and its leading position in a growing market sector make this a very attractive investment,” Buffett said in a statement. This type of assistance from Buffett is not unprecedented; six years ago, he provided US$5 billion to Bank of America, which was struggling with legal problems in the wake of

More Canadian borrowers turning to private lenders

Private mortgage providers are now seeing increased numbers of borrowers thanks to the troubles of major alternative lender Home Capital Group. Experts estimated that private lenders – and in particular, mortgage investment corporations – now account for around 15% of new mortgages in Canada. “If you want to look at the unintended consequences of policies and what’s happened now with Home Capital, I think you will see the MIC market mushrooming,” commented CIBC deputy chief economist Benjamin Tal.

board. “Through this transaction and the other significant actions we have undertaken, we are positioning Home Capital to succeed.” Veteran mortgage broker Ron Butler deemed Berkshire Hathaway’s investment in Home Capital a major move toward muchneeded stability for the beleaguered lender. “It’s absolutely a step in the right direction,” he said, but quickly added that there is still much to be done. “You need to retire the 9% money and turn it into deposit money,” he said. “In other words, you have to stop deposit erosion and start getting deposits back. Until that happens, it’s very difficult for Home Trust to act normally. But obviously it’s a very positive step.”

Canadian Western Bank the next lender at risk?

According to markets observer Chris MacDonald, major alternative lender Canadian Western Bank is facing risks similar to Home Capital. In a piece for the Motley Fool Canada, MacDonald warned that “given the current overheated markets in Toronto and Vancouver, alternative lenders will likely be the first to take a hit should the market go south.” MacDonald added that “while the [bank’s alternative] portfolio totals only 11% of [its] total loan exposure, this segment is significant in that it represents one of the fastest-growing loan segments.”

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Q&A

Mark Cashin

New rules driving the exodus to alternative funding

Principal broker CASHIN MORTGAGES

Years in the industry 6 Fast fact An entrepreneur for 38 years, Cashin has worked in a wide variety of industries, including catering, promotional marketing, special events, and textile technology and licensing

What’s the current situation for Ontario residents seeking loans? The government changed the rules back in October, and they’ve set up the average Canadian for an even more expensive mortgage. New rules have made money expensive, period. Current rules are stripping wealth from the average Canadian. Historically, there was no better opportunity for the average Canadian to create wealth than homeownership. A low-interest-rate environment plus increasing home values increased their net worth. It was an idyllic time for all. Now, with the rule changes, a growing number of people have been forced into the more expensive private and alternative lenders. Instead of enjoying low rates of 2% to 2.5%, borrowers now have to endure the burden of higher rates ranging from 4.5% to 10%. The new rules have been a financial disaster for Canadians. While I agree 100% with the rules for speculation and investment/flipping purchases, the government has essentially mounted an attack on every other Canadian’s home and living arrangements. I strongly disagree with any policy that jeopardizes those who want to put a roof over the heads of their families.

What kinds of clients usually approach you for assistance? Everybody would like to own a home, if possible. At this point, the customers affected most by the rule

Uninsured mortgages could herald fiscal disaster

The Bank of Canada recently sounded the alarm on the steadily rising proportion – now 46% – of uninsured outstanding mortgages in Canada, saying it is a recipe for future fiscal disaster. In addition, the BoC pointed to emerging risks in the low-ratio mortgage segment, where borrowers often seek longer repayment terms. “I think where we see the signs ... are really with respect to an increasing share of those households who have loan-to-income ratios that are over 450%,” said BoC senior deputy governor Carolyn Wilkins.

changes seem to be Canadians who are job creators, entrepreneurs and seniors who want to purchase and refinance their own homes. Government propaganda of “Canadians are able to afford their own homes” is absolutely 100% BS. If the government really cared about consumer debt, they would focus on regulating the unsecured credit that the banks are handing out like candy. Instead, they continue to attack secured credit: people’s homes. With the continuously increasing costs of living, it just gets tougher and tougher for average Canadians to make ends meet when they are forced by policy toward expensive money.

Amid all of these developments and the current climate, what do you think borrowers should prepare for in the coming months? When dealing with the current government, I’d say hold onto your wallet! It’s like a free trip to Vegas: roll the dice or wait for the ball to drop at the roulette table. It seems the bank lobby is dictating what new rules are going to be introduced. This government is refusing to talk to the public and the broker community. If they really want to help Canadians, they should reduce red tape and other tedious processes found only in the broker channel and enforce the OSFI ‘rules’ equally for banks, including at the branch level. Current governance is absolutely disgraceful and extremely costly.

Home Capital woes not likely to discourage investors

A recent Reuters poll of industry analysts across Canada named record-low borrowing costs as the factor chiefly responsible for dulling the impact of the recent troubles of Home Capital Group. Citing both low interest rates and the sluggish loonie, which has declined by a 24% since 2014, the majority of those surveyed said the Home Capital saga is not likely to discourage foreign money from investing in the Canadian mortgage market. In July, the Bank of Canada raised its overnight rate for the first time in seven years to 0.75%.

Crowdfunding: the next step in real estate investment?

In a climate characterized by red-hot activity and outsized growth, several ongoing real estate projects in Ontario are being powered by individuals pooling their resources. Among the projects subsidized by real estate crowdfunding portal NexusCrowd is a $12 million redevelopment venture. NexusCrowd bills itself as the first mechanism of its kind that allows individuals to co-invest with established developers and investors, as long as said deals have reached at least 50% of the funding target.

www.mortgagebrokernews.ca

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UPFRONT

OPINION

GOT AN OPINION THAT COUNTS? Email mortgagebrokernews@kmimedia.ca

No one is immune Home Capital Group’s swift fall from grace should be of concern to everyone, writes Christine Xu

BY NOW, everyone has heard of Home Capital Group’s sudden, unexpected fall from a $9 billion financial institution – the eighth largest in Canada – to close at a mere $600 million in assets in less than one month. Home Capital’s stock price slid from the hype figure of $22 to – at its lowest – $5. The trigger was threefold, starting with the firing of the group’s president, Martin Reid. Next, the Ontario Securities Commission accused Home Capital Group’s management of “fraudulently” covering up and delaying the release of “true” financial statements showing the effects of Home Capital’s firing of 45 brokers in 2015 for fraudulent activity. In response, a so-called ‘chicken farmer’ – that is, short-seller – in the US went to the news media, spreading defamatory remarks and theories that caused panic, prompting investors to withdraw their deposits, which in turn caused cash-flow depletion for Home Capital. The company was forced to borrow $2 billion from the Ontario Teachers’ Pension Plan fund at an interest rate of 22.5%, which caused further panic among investors, who again left in droves. The reality, however, is that Home Capital Group was the largest alternative lender in Canada. At its peak, it was 10 times bigger than the second biggest lender in the space, EQ Bank. It has stringent underwriting guidelines, and it was managed by a staff that is highly experienced in the alternative lending space. The 45 brokers fired in 2015 were let go due to instances of fraud in income documents. These clients were all B-type clients

– that is, not income-qualified clients. Those brokers made up income documents for their clients to transform them from B-side to A-side in order to secure them the best interest rates. These deals did not represent a significant financial loss. No one (other than the US short-seller) expected Home Capital to fall as far as it has. I doubt even the OSC anticipated such a marked, almost fatal, decline in the company’s fortunes.

we all know, real estate and related businesses are one of the largest drivers of our national economy; thus, this chain of events may have a pronounced negative impact on the country’s economic health. The mistakes that Home Capital Group made include the poor handling of the president’s firing by an inexperienced board, inadequate responses to the superior court`s demands, leaking of the news of high-cost loans, and a lack of strong leadership capable of instilling confidence in the shareholders and public. So, with an eye to the future, the broader question is: What have we learned from this debacle, and what we can do? The Canadian stock market is much smaller than that of the US; thus, the impact of short-selling is much greater on this side of the border, compared to what could have happened had this sequence of events played out in the US. No public company is immune from being taken down in the same way as Home Capital Group was. No regulatory or preventative mechanism exists to prevent similar attacks

“No regulatory or preventative mechanism exists to prevent similar attacks from American short-sellers on our public companies” The lives of Home Capital’s 930 employees have been greatly affected. Almost all employees are shareholders; their savings are wiped. If Home Capital were to eventually fail, the whole landscape of Canada’s alternative lending space would change. We have seen the immediate effects: Interest rates and fees from alternative lenders have risen, loan amounts and loanto-value ratios have been reduced, and many borrowers have had to turn to private lenders in light of these changes – a much more costly course of action. The practical outcome is that more and more people are unable to enter the housing market due to the increased cost of borrowing. This effect translates as a drop in demand, effectively cooling the real estate market. As

from American short-sellers on our public companies. No matter the accuracy of the information propagated by those stock manipulators, no rules, regulations or laws are currently in place to stop them. The OSC, OSFI and the government should carefully assesses the current situation and take steps to intervene to prevent Home Capital Group from failing. Should this company be allowed to fail, the negative impact on Canadian financial markets will be enormous.

Christine Xu is a mortgage broker and branch manager for Mortgage Architects in Toronto. She won the 2015 Canadian Mortgage Award for Alternative Lending Mortgage Broker of the Year.

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PEOPLE

INDUSTRY ICON

THE VALUE OF EXPERIENCE Invis broker Troy Resvick’s career in banking – and then lending – have helped him thrive in his most recent role

TROY RESVICK, managing partner with Invis Resvick & Associates Mortgage Advisors, didn’t take the most conventional path to the mortgage industry. But when he did eventually arrive, he had no doubt that it was for him. “I started out managing some retail and got into the insurance industry, which led me to a career in banking with Metro Savings Credit Union, now called Coast Capital Savings,” Resvick says. That was followed by a jump to lending. “I did the investment side of things for a while and got into personal and mortgage lending,” he says. “I really enjoyed employing some of the best practices from the investment side to help people manage their debt load.” While working for a local credit union, Resvick gained insight into the mortgage industry. After a decade in banking, he eventually settled into a position as an underwriter with MCAP. “It was a combination of the banking expertise and the entrepreneurial spirit that a lot of brokers have,” he says of what led him to the industry. “In 2000 when I started at MCAP, it was in a high-growth stage, and there were

a lot of new brokers coming into the industry. The old guard had set the way, and now you have a lot of new people – like Jared [Dreyer] and Faisal Panjwani and other key brokers in the industry – that are really putting their mark on the industry.”

experience, Resvick began working as a broker, and was able to kickstart a successful career. “It’s really been a blessing to have gone that path in my career,” he says. “Having an understanding of what the underwriters are looking for and the processes they’re dealing with allows

“This industry, like every industry, will evolve. It will adapt quickly, and brokers have clearly proven that they can do that better than most industries. At the end of the day, they are still providing the best mortgage solutions for their customers” Resvick met these and other influential players during his time at MCAP, and he realized just how solid the industry’s foundation was. “It was a conversation with Gord Dahlen, who was at the time regional VP with Invis, that gave me insight into what the industry was, and I never looked back,” he says. Armed with a bevy of lending and banking

me to build a lot of my systems around what the lenders require. That has helped me in every aspect of the business. “At the end of the day, we’re trying to get deals done efficiently,” he adds. “Being able to align yourself with each lender’s model to be more efficient is one of the keys to getting deals done.”

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PROFILE Name: Troy Resvick Title: Managing partner Company: Invis Resvick & Associates Mortgage Advisors Based in: Langley, BC Years in the industry: 17 Career highlight: “The satisfaction of knowing how many clients I’ve helped in my time at Invis. Having been with one firm the entire time is something I’m quite proud of.”

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PEOPLE

INDUSTRY ICON

An eye on evolution Resvick has always believed the broker channel provides Canadian consumers with the best advice and the clearest path to the best mortgage options – and despite pervasive change in the industry, that remains a constant. “This industry, like every industry, will evolve,” he says. “It will adapt quickly, and brokers have clearly proven that they can do that better than most industries. At the end of the day, they are still providing the best mortgage solutions for their customers.” Resvick, who also serves as the president of CMBA in British Columbia, believes the

ingful and practical solutions.” Of course, that doesn’t mean that Resvick’s organization and others are prepared to give up the fight. “Some of these changes we don’t like, and we want consultation with the government,” he says, “but the industry has done a good job adapting.”

TROY RESVICK’S CAREER TIMELINE 1990

1993 Foreign exchange operations RBC

Building the brand Increasing public awareness of what it is brokers do – and what they offer to Canadian homebuyers – is something Resvick believes will help the industry weather any future storms. As such, he’s particularly proud of

“The recent changes have really brought the industry together. These changes have made a situation where brokers and their associations and the lenders have had to come together to address them. It’s helped solidify and get everyone on one side of the table” industry must pull together to tackle the future as a united front. “The [recent] changes have really brought the industry together,” he says. “Going back to 2014, these changes have made a situation where brokers and their associations and the lenders have had to come together to address them. It’s helped solidify and get everyone on one side of the table. “At the end of the day, while we’re competing in many areas for business – lenders are competing to get broker business, and brokers are competing to get consumer business – the industry has proven its ability to come together to face these challenges and provide mean-

the CMBA’s efforts to have the title ‘mortgage broker’ registered as a trademark. “Being able to differentiate mortgage brokers from the rest of the mortgage providers out there – such as the bank representatives who put themselves out as brokers who really don’t have the same educational requirements and licensing – that’s where CMBA-BC and CMBA national have come out with the Mortgage Brokers brand, much like the R for Realtor.” That brand, Resvick adds, offers brokers a clear way to separate themselves from the pack, giving them a boost as they attempt to navigate an increasingly challenging industry.

1994 Senior loans officer Coast Capital Savings

2000 Mortgage underwriter MCAP

2000

2003 Managing partner/ senior mortgage advisor Invis Resvick & Associates

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FEATURES

COVER STORY: YOUNG GUNS

2017

YOUNG GUNS Remember their names – these 55 young professionals are the rising stars of Canada’s mortgage industry

YOUNG GUNS INDEX IN TODAY’S competitive environment, remaining relevant amidst a pool of immense talent can be a challenge. But the 55 professionals on this year’s Young Guns list prove that age really is just a number. Despite being 35 or younger, these up-andcomers are standing out from the pack by bringing a unique blend of 21st-century moxie and old-school work ethic to Canada’s mortgage industry. After receiving an overwhelming number of nominations from across the country, CMP narrowed the list down to 55 young men and women who have already made their mark in the mortgage business. On the following pages, you will meet entrepreneurs who branched out on their own to build successful businesses, despite having just a few years of experience. You will also be introduced to million-dollar brokers who have set a benchmark that everyone in the industry – both newcomers and veterans alike – aspires to. Offering their candid advice to beginners in the industry, these Young Guns are inspiring their peers with their commitment and expertise.

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COMPANY

NAME

Blue Pearl Mortgage Group Inc. Canadian Mortgages Inc. Centum Financial Group Inc. Denova Group Dominion Lending Centres DLC Canadian Mortgage Experts DLC City Wide Mortgage Services DLC City Wide Mortgage Services DLC Clear Trust Mortgages DLC Commercial Capital DLC Edge Financial DLC Elite Lending DLC Estate Mortgages DLC Finevo Lending Group DLC Forest City Funding DLC Homeline Mortgages DLC Mortgage Excellence DLC Mortgage Excellence DLC Mortgage House DLC Origin Pinsky Mortgages

Harman Sidhu Bryan Jaskolka Chris Turcotte Ashley Langford Christine Buemann Agron Bajraktari Dan Patching Vincent Tong Craig Posnikoff Michael Sneddon Jeffrey Ho Amanda Pivar David Clarke Amber Mihm Kyle Green Graham Reimer Chase Cooper Jon McKay Eitan Pinsky

PAGE 46 24 34 23 41 44 26 29 23 32 37 25 38 36 32 36 43 40 40

CRAIG POSNIKOFF

ASHLEY LANGFORD

Associate vice president, commercial financing

Founding partner

DLC Commercial Capital Age: 31

Denova Group Dominion Lending Centres Age: 34

In his five years as a commercial mortgage broker, Craig Posnikoff has facilitated more than $400 million in commercial mortgage transactions, many of which were large multi-family construction loans. In 2016, Posnikoff was one of the top 50 mortgage brokers in the DLC network by gross revenue. This year, he has funded more than $100 million in commercial loans, which a colleague describes as “an incredible feat.” Posnikoff credits his mentor, David Beckingham, for helping to drive his success. “Working under David gave me the access and experience to work on all types of commercial loans that a lot of young commercial brokers would not have access to on their own,” he says. “Commercial mortgages can be very complicated, and having David throw me to the wolves was key for me.”

Ashley Langford has played a key role in the success of Denova Group since its inception in 2014. She has trained and manages around 25 mortgage agents while growing her own business, and she was a significant contributor to Denova Group achieving its best annual volume of $261 million in 2016. Langford was also responsible for helping launch the brokerage’s construction financing division, which successfully funded approximately $50 million in 2016. Outside the office, Langford volunteers as a mentor for the Junior Achievement Program and is an annual participant in the Run For Ovarian Cancer, which raises money for the London Health Sciences Foundation.

COMPANY

NAME

DLC Origin The Mortgage Hub DLC Premier Financial Group DLC Premier Mortgages DLC Producers West Financial DLC Regional Mortgage Group DLC Smart Debt DLC Tribeca Mortgages Equitable Bank First National Financial LP Invis Invis Kraft Mortgages Canada Inc. Lendesk Martel Mortgages MCAP Merix Financial Mortgage Alliance Pinnacle Capital Mortgage Architects Mortgage Financial Corporation

Stacey Doran Dustin James Julie Medeiros Asim Ali Alim Charania Chris Allard Fernando Zilli Prakash Bector Sarah Spearn Adil Mawji Michelle McCullough Varun Chaudhry Lee Noble Francis Lortie Patrick Soy Maxime Stencer Bavneet Mundi Benjamin Sammut Kevin Huynh

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COMPANY

NAME

Mortgage Intelligence Mortgages.ca Mortgages.ca Moskowitz Capital Management

Dimitri Ivanov Scott Nazareth James Harrison Andrew Stern

30 24 38 44

Neighbourhood Dominion Lending Centres/ VanderDuim Mortgage Team

Melanie Antaya

Platinum Mortgages Ottawa Pure Mortgage (Invis) SmartCap Inc. (Invis) Street Capital Bank of Canada Syndicate Lending Corporation Syndicate Mortgages Inc. The Mortgage Associates TMG The Mortgage Group Verico Capital Mortgages Inc. Verico Compass IWANTTOOWN Verico The Mortgage Wellness Group Ltd. Verico Xeva Mortgage

Sue Hameed Ron Lefebvre Bryan Baker Janel Melo Inam Qureshi Marcus Arkan Jillian Sparrow Riel Syrenne Derek MacLean David Ford Tyler Yates Steve Dyment

28 30 34 26 32 47 31 25 45 30 39 44

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PAGE

FEATURES

COVER STORY: YOUNG GUNS FERNANDO ZILLI Managing broker DLC Tribeca Mortgages Age: 31

ADVICE TO NEW BROKERS “The appeal of working your own hours and being your own boss, as well as the possibility of earning a good income, are motivating factors for young professionals. The lack of financial security can be a deterrent for young people, as it is hard enough as is to pay your way when starting your adult life. Most new brokers don’t stick around long enough reap the rewards.”

In April 2016, at the age of 30, Fernando Zilli started his own business, Tribeca Mortgages. Since then, he has been focused on getting the company recognized in the community through sponsorships and various marketing techniques, while adding two new brokers to increase the size of his team to six. His hard work paid off when he became part of the top 5% in the DLC network for volume and gross commissions in 2016. As of May 2017, Zilli has already surpassed his total volume for 2016 and is targeting a personal volume goal of $75 million and a team goal of $90 million by the end of the year. Zilli also spends time mentoring the brokers working with him and building his firm into a household name in the community.

BRYAN JASKOLKA COO, vice president and broker Canadian Mortgages Inc. Age: 34

An entrepreneur since his teenage years, when he turned his high-school computing class knowledge into a small business, Bryan Jaskolka founded Canadian Mortgages Inc. [CMI], a mortgage brokerage with an online emphasis, in 2005. Since the company’s inception, Jaskolka has been the managing executive of the CMI Group, which has expanded to consist of multiple divisions, including Canadian Lending Inc., a direct private lender to the mortgage brokerage industry, and Canadian Servicing Inc., a licensed mortgage administrator. The CMI Group has funded in excess of $100 million in private mortgages for CMI, as well as mortgage agents from many other brokerages and networks. As a mortgage broker, Jaskolka has been involved with thousands of mortgage transactions, and has expertise in residential, construction and commercial financing. Today, the CMI Group is composed of more than 50 staff, contractors and agents, and continues to grow at a rapid pace, evidenced by the recent addition of the CMI Mortgage Investment Corporation.

SCOTT NAZARETH Mortgage agent Mortgages.ca Age: 26

A finalist at the Canadian Mortgage Awards for Best Newcomer, Individual Agent or Broker, Scott Nazareth is constantly looking to improve the processes involved in the real estate transaction, working closely with the team at Mortgages.ca to develop online engagement methods to nurture existing clients and foster new relationships. His drive and tenacity led him to launch his own web development company, RDesigns, which builds fully functional and SEO-optimized websites for real estate agents. He also founded Loanerr, a company that focuses on creating web properties and technology in the real estate industry. His latest project, Loftly, will launch later this year. Even while running multiple companies, Nazareth has not stopped building his own personal mortgage business – he’s projecting to close $20 million this year. Earlier this year, Nazareth received nationwide attention when he was quoted in an article on the Better Dwelling blog about mortgage fraud. Wanting to speak about fraud openly and honestly, Nazareth’s comments were interpreted by many brokers as working against the efforts of the broker community. Taking full responsibility for his words, Nazareth used the opportunity to connect with many brokers across the country, resulting in a great learning and networking experience.

www.mortgagebrokernews.ca

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RIEL SYRENNE Mortgage broker TMG The Mortgage Group Age: 33

Less than a year ago, Riel Syrenne opened a new office in Saskatoon, which has now become the city’s fastest-growing TMG office, home to six other brokers. For the past two years, Syrenne has been one of CMP’s Top 75 Brokers, and he has ranked in the top 5% of brokers with TMG in the past four years. His main focus is making the process enjoyable and painless not only for the clients, but also for his team of brokers.

DUSTIN JAMES Owner and mortgage agent

AMANDA PIVAR

DLC Premier Financial Group Age: 31

Mortgage agent DLC Estate Mortgages Age: 26

Amanda Pivar has only been in the mortgage industry for a year and a half, but she’s already made a name for herself as part of the top 20% of brokers at Dominion Lending Centres, which earned her the network’s Executive Award. Pivar says she was attracted to the flexible nature of the mortgage business, which allows her to progress her career in her own way. “Being in the broker channel gives me the opportunity to customize my business plan and marketing so it lines up with my personality,” she says. “I think young professionals get into this industry for the flexibility of working for themselves and because if you are willing to work hard, there is no cap to earning potential.” Even with all the opportunities the industry has to offer, Pivar has noticed a fear that holds many aspiring mortgage professionals back. “I find that a lot of young professionals who are considering going into commission sales worry too much about ‘what if I fail, how do I get business, or is it too hard?’ One thing I learned very quickly was that worrying too much is a waste of time – time that [could] be spent growing your business.”

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Motivated by the opportunity to be his own boss, Dustin James entered the mortgage industry to serve as a source of unbiased advice for consumers. That approach has certainly worked for him – since 2013, James has achieved 10% growth year-over-year, and he was recently featured as one of CMP’s Top 20 Small Market Brokers for 2017. Recognizing that the industry can be intimidating for young professionals just starting their career, James nevertheless encourages them to not shy away from a mortgage career. “Do not measure success by income – measure your success by impact,” he says. “As you impact more individuals, your income will rise.”

Need a bigger deposit and short for time? Client in need of a renovation to sell but short of funds? Tembo Financial is your fast, innovative and non-traditional lender offering flexibility and creative solutions to close deals quickly! Whether it’s a short term equity advance, bridge loan or a 1 year term, Tembo offers solutions. Visit us at tembofinancial.com Email us at info@tembofinancial.com Call us Toll Free at 1-844-238-6717 FSCO License No. 12598

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FEATURES

COVER STORY: YOUNG GUNS PRAKASH BECTOR Team lead, business development, GTA Equitable Bank Age: 34

Prakash Bector has been in the mortgage industry since 2009, working directly with mortgage brokers throughout his entire career. As team lead of business development in the GTA for Equitable Bank, Bector serves as the regional business manager for several large mortgage brokerages throughout Toronto, while also providing support and training to six regional business managers across the GTA. “Equitable is a branchless bank that serves mortgage brokers directly,” he says. “We generate the majority of our business through brokers from coast to coast, so we do understand how important the need is for strong lending partners for the broker community as a whole.” In addition, Bector is currently an instructor for the mortgage agent course offered through CMBA Ontario and is focused on expanding the education offered to brokers. “Being employed with a mortgage lender, I can appreciate how vital education is for brokers, especially with all of the regulatory changes happening in our industry,” he says. Earlier this year, Bector was awarded Equitable Bank’s Spirit Award and CMBA Ontario’s Leadership Award.

JANEL MELO Senior mortgage underwriter Street Capital Bank of Canada Age: 30

With a background in banking, Janel Melo joined the mortgage realm in 2011 as a mortgage collector with Resmor Trust. Her prior experience assisting brokers while working at a call centre for Lloyd’s Bank, as well as her work as a mortgage administration officer and in the underwriting department at Scotiabank, prepared her well for her current position as a senior mortgage underwriter at Street Capital Bank of Canada, a role she was promoted to in July 2016. Her underwriting prowess landed Melo on the list of finalists for Best Newcomer, Lender Underwriter at this year’s Canadian Mortgage Awards.

DAN PATCHING Mortgage planner DLC City Wide Mortgage Services Age: 31

A mortgage specialist for first-time homebuyers, Dan Patching is ranked among the top mortgage brokers in Canada based on 2016 sales. A native of Tsawwassen, British Columbia, Patching entered the industry four years ago to assist his generation with the often daunting process of purchasing a home. When he’s not focused on mortgages, Patching can be found cycling for charity. Since 2012, he has organized the Vancouver Tweed Ride, a costumed fundraising ride through the city that has so far raised more than $30,000 for charity. Patching is also a member of the Mortgage Brokers Association of British Columbia, Mortgage Professionals Canada and the Rotary Club of Tsawwassen, where he was recognized as Rookie of the Year in 2016.

www.mortgagebrokernews.ca

We Stand for All Canadians Together we’ve made a major impact helping thousands of Canadians feel the pride of owning their own home, even when they thought it wasn’t possible.

The determination of small business owners, the courage of new immigrants and the hope of people that have faced personal and financial hardship are some of the finest examples of our collective Canadian spirit. These clients are vital to Canada’s housing and mortgage industry and to our future. We take the time to listen to everyone’s story, look at all the facts and offer prudent solutions that make sense. We stand for acceptance, equality and respect. Thank you for choosing to stand with us.

To stay informed visit hometrust.ca/we-stand

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2017-07-04 11:43 13/07/2017 7:14:15 AMAM

FEATURES

COVER STORY: YOUNG GUNS PATRICK SOY Account manager, sales, Eastern Canada MCAP Age: 30

Patrick Soy has been in the mortgage industry for more than a decade, steadily working his way through several positions. At 18, he started out as an internal operations and client liaison before becoming an underwriting mortgage fulfillment specialist, broker development coordinator, account manager for renewals and now account manager for sales for one of the largest mortgage finance companies in Canada. In his current role, Soy recruits, trains and creates partnership plans with brokers in Eastern Canada to maximize MCAP’s sales revenue. He hopes to one day move into a senior leadership position at the company in order to gain the opportunity to define MCAP’s success, become a mentor to young mortgage professionals and make an impact on the industry.

SUE HAMEED Mortgage broker

BENJAMIN SAMMUT Mortgage broker Mortgage Architects Age: 26

Benjamin Sammut launched Millennial Mortgage – now The Millennial Mortgage Broker – to serve as a resource on residential financing for millennials and firsttime homebuyers. Sammut is also part of the Young Professionals ADVICE TO NEW BROKERS Network of Mortgage Professionals Canada, where he focuses on being “The majority of your focus should be on a voice for young professionals who you’re going to be working with, not the entering the financial industry. money you’re going to be making. There are He remains part of Mortgage many quality brokerage firms across Canada Architects’ top-producing team, with genuine and professional brokers who which placed more than $120 are willing to work with, mentor and train you. million in volume last year. For 2017, Invest in yourself early on because your first Sammut hopes to work toward three to five years in this industry will dictate expanding his licence beyond his your next 20.” current Ontario market. While Sammut believes the mortgage industry offers what most millennials want – “a flexible career with room for growth and learning, as well as a very large market in which to make a name for yourself” – he advises them to consider other factors when aligning themselves with a brokerage, not just attractive commission splits.

Platinum Mortgages Ottawa Age: 35

Committed to providing her clients with the guidance and knowledge they need to make informed decisions regarding their finances, Sue Hameed takes a coaching approach, offering clients both short- and long-term planning when it comes to their mortgages. So far, 2017 has been an exciting year for Hameed. She co-founded Platinum Mortgages Ottawa, which operates under the Mortgage Alliance network, and has been building a strong team of mortgage professionals under her new brand. Specializing in both residential and commercial financing, Hameed continues to exceed her clients’ expectations by providing them with the right mortgage solutions. She was recognized with the Gold Funding Award in 2015 and the Platinum Funding Award in 2016, in addition to being named Ottawa’s top mortgage broker by FACES magazine last year. When she’s not funding mortgages, Hameed can be found providing sound mortgage advice on CTV’s Morning Live.

www.mortgagebrokernews.ca

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VINCENT TONG Manager of broker support/mortgage specialist DLC Clear Trust Mortgages Age: 26

Despite receiving a bachelor’s degree in genetics and cell biology, Vincent Tong decided to pursue a career in finance and lending instead. He went on to take the UBC mortgage licensing course and got a score of 95% on the exam. In 2014, his first year as a broker, Tong won DLC’s Bronze Award. The following year, he received his brokerage’s Sales Excellence Award for being one of its top 10 producers and generating more than $9 million in funding. In 2016, he won DLC’s Gold Award for breaking $18 million in funding. Earlier this year, Tong was promoted to his current role as manager of broker support at DLC Clear Trust Mortgages. In this capacity, he trains all new brokers on packaging and lender policy, as well as ethics. He also co-manages a team of 20 brokers. When he’s not busy with mortgage work, Tong actively volunteers for British Columbia Children’s Hospital’s Miracle Weekend initiative, where he has been a committee member since 2014, helping with event planning and at functions. Last year, his committee raised more than $788,000, contributing to a grand total of $18 million raised for the event. He is scheduled to host the annual King’s Auto Gala, another fundraiser for the BC Children’s Hospital, which will involve more than 300 leaders in the automotive and real estate industries.

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FEATURES

COVER STORY: YOUNG GUNS RON LEFEBVRE Mortgage consultant Pure Mortgage (Invis) Age: 35

DAVID FORD Mortgage advisor and director Verico Compass IWANTTOOWN Age: 30

David Ford joined the mortgage industry in 2008; after working under a mentor, he branched off to create the IWANTTOOWN team in 2012. Since then, he has been steadily growing the team’s volume each year, reaching a peak of $59 million in 2016, for which he received the Platinum Veris Award, the highest achievement in the Verico network. Ford continues to work toward a team goal of $100 million by constantly evolving his business. He also created a custom broker project manager application that he hopes to share with other brokers in the near future. Ford chose to get involved in real estate because of his interest in the construction process and homeownership. “I very much like design and have bought and renovated three homes,” he says. For 2017, Ford expects to grow his team’s purchase and renovation program with clients, interior designers and contractors, and launch a successful rebranding while consistently funding more than 20 files per month.

After his personal experience in obtaining a mortgage for his first home, Ron Lefebvre developed a passion for helping consumers navigate the home financing process. He formed Pure Mortgage, and today the brokerage offers a variety of financial services; Lefebvre hopes to add more in the future to better serve clients. “Our focus is to ensure every single client that comes through the door is able to tell their friends or family about our services, and that we continue to grow through very high repeat and past client referral business,” he says. His team’s efforts landed Pure Mortgage on the list of finalists for Best Customer Service from an Individual Office at this year’s Canadian Mortgage Awards. Outside of his brokerage, Lefebvre sits on the 20/20 Panel for the Real Estate Council of Alberta, as well as the RECA Mortgage Brokers Advisory Council.

DMITRI IVANOV Mortgage broker Mortgage Intelligence Age: 30

Starting his career as a marketing consultant for small businesses, Dmitri Ivanov’s passion for real estate led him to become a mortgage broker. In the 10 years that he’s been in the business, Ivanov has developed strong relationships with major lending institutions, becoming one of the leading professionals in the field of mortgages, custom home construction financing and real estate investment. His skill and professionalism are reflected in his high rates of successful deals and the satisfaction expressed by his clients and partners. Ivanov currently has five agents on his team and is planning to expand in the near future. “I take it as an honour to be part of this list of dedicated professionals,” he says, “and will put my energy and effort into taking our industry to new heights.”

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JILLIAN SPARROW

BAVNEET MUNDI

Mortgage associates

Principal broker

The Mortgage Associates Age: 28

Mortgage Alliance Pinnacle Capital Age: 35

Jillian Sparrow is passionate about helping her clients by delivering a personalized experience. After a four-year stint at McGill University in Montreal, Sparrow returned to her native Saskatchewan with a new appreciation for home. She started her own esthetics boutique in Saskatoon and worked endless hours to ensure its success. Two years later, Sparrow was ready for another challenge and became a mortgage associate. In just her second year, she is on pace to fund nearly $7.5 million while still maintaining her other business. Describing her as ‘driven’ may be an understatement – she continues to grow her businesses daily and truly encompasses the definition of a young entrepreneur.

After growing up and finishing her bachelor’s degree in India, Bavneet Mundi moved to the UK to pursue an MBA. She went on to work at Barclays to gain experience in the financial industry. In 2007, she immigrated again to Canada, where she joined TD Bank to learn the ropes in the mortgage industry. Finally, in early 2015, Mundi was able to realize her dream of starting her own business. Mundi advises new brokers that success requires both motivation and time. “Although motivation comes from within, I see lots of young professionals joining the industry to test the waters for themselves,” she says. “They see lots of successful people in this market and yearn to be like them. The message for young professionals should be loud and clear: It takes years to build your client base – and more importantly, to keep that client base. [Growing your] knowledge about your product, lender, etc., is key to getting you where you want to be.” In 2016, Mundi’s company was nominated for Best Newcomer Brokerage at the CMAs. Mundi also earned a spot among the top 10% of Mortgage Alliance mortgage agents in both 2015 and 2016.

ALIM CHARANIA Mortgage professional DLC Regional Mortgage Group Age: 35

Seventeen years ago, Alim Charania started his finance career, moving into mortgages after leaving a position as a senior customer rep with RBC. A top producer with one of DLC’s top offices in Canada, Charania focuses on both residential and commercial lending. He prides himself on the high level of customer service he offers, ensuring that each client has the best experience through the mortgage process. A recognized industry expert, Charania has been featured on CBS News, the More Than Money radio show, the I Love Mortgage Brokering podcast and Yahoo Finance.

www.mortgagebrokernews.ca

FEATURES

COVER STORY: YOUNG GUNS MICHAEL SNEDDON Mortgage agent DLC Edge Financial Age: 32

INAM QURESHI Founder and managing broker Syndicate Lending Corporation Age: 29

In his first year as a mortgage broker, Inam Qureshi funded $25 million in mortgages, and over the past decade, he has amassed a funded volume in excess of $1 billion. After a successful career in banking, Qureshi ventured out to set up his own brokerage, allowing him to assist his clients with all their financing needs. He believes that young professionals today are more educated and have a wide range of career options, and he understands the hesitation newcomers feel when entering this industry. Believing in the power of “the three Ps: patience, persistence and perseverance,” Qureshi says the industry can offer great returns to those who put in the effort. “I compare this business to a retail boutique that can generate enormous returns as long as you are willing to work for it,” he says. “After all, it’s a business that requires some tender loving care that is bound to yield manifold returns.” Outside of the mortgage industry, Qureshi is involved with several organizations, but the one that is most dear to him is the family trust founded in memory of his grandmother, Mariam Abdul Razak Moloo, which undertakes various charitable initiatives, including the promotion of scholarships and educational awareness programs in developing nations.

In 2016, Michael Sneddon created a network of leadgeneration websites that currently supports eight mortgage professionals with online leads. A chartered accountant and mortgage agent, Sneddon says he’s had “a love of numbers” his entire life. He has used that skill to specialize in online marketing for mortgage and real estate professionals, using data-driven, analytical approach to running leadgeneration websites. Between all his website properties, Sneddon has brought in more than $25 million in mortgage volume over the last 12 months. In addition, more than 4,000 people across Canada have downloaded the free mortgage e-book he published on his sites. As of May 2017, Sneddon remains the first and only Gold Tier status mortgage professional with HomEquity Bank, as well as being number one in reverse mortgage deals funded across the nation.

KYLE GREEN Owner DLC Homeline Mortgages Age: 30

In 2016, Kyle Green funded more than $110 million worth of mortgages, holding onto his title as Mortgage Alliance’s top producing franchise agent, which he has held since 2011. Since going independent in 2009, Green has funded $458 million in mortgages, growing his volume by approximately 40% year-over-year. Starting his career as a mortgage broker in 2006, Green carved out a niche as an investment property specialist. His years of experience working with various investment groups has made him a go-to resource for financing investment properties in Canada. This year, Green plans to continually grow his business and create better workflows while finalizing his brokerage’s switch to DLC, which he says “[will] allow us to grow our home insurance franchise through Insureline.” For new brokers coming into the industry, Green suggests finding a niche to better succeed in a competitive market. “Most people know at least two other mortgage brokers,” he says. “By having a niche, it gave people a reason to deal with the 20-something-year-old instead of someone older, who they would perceive as being more experienced.”

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JULIE MEDEIROS Owner/mortgage agent DLC Premier Mortgages Age: 33

Julie Medeiros has been part of the Canadian mortgage industry for the past decade, beginning her career when she was in her early 20s. After witnessing her motherâ&#x20AC;&#x2122;s successful career in the industry, Medeiros was inspired to help customers achieve their aspiration to homeownership. Today, she is among the top third of all DLC brokers. During 2017, Medeiros plans to grow her business to the next level while becoming a more prominent figure in her community. One way she has given back to her local community is by planning, fundraising and donating bikes to local community centres with the assistance of the local fire department and the House of Friendship. In addition, Medeiros is involved with charity golf tournaments, is an active member of the Chamber of Commerce and Chamber Plus networking groups, donates to mission trips through Possibilities International, and dedicates her time to many other organizations and events.

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FEATURES

COVER STORY: YOUNG GUNS CHRIS TURCOTTE President and COO Centum Financial Group Age: 35

For the past three years, Chris Turcotte has been managing operations for three Centum franchises in Manitoba, all while completing upwards of 80 mortgages per year without the help of an underwriter or full-time assistant. Six months ago, Turcotte became the youngest leader of a broker network when he took on ADVICE TO NEW BROKERS his current role as president and COO “Put yourself on a realistic salary from of Centum Financial Group – and he’s the beginning that includes money put just getting started. “The possibilities aside for taxes. Annually or semi-annually, are endless with the right drive and review whether or not you’re giving relentlessness,” he says. “The magical but yourself a raise. So many young brokers sobering thing about this industry is that have a great year and instantly start to live you get out what you put in.” beyond their means, and they never think For 2017, Turcotte is looking to launch of the tax man at the end of the year.” new front- and back-end technology for the Centum network, along with a robust CRM program, all at no cost to brokers. He is a firm believer in the impact of social media and is committed to establishing Centum as an industry leader in this area. “Our number-one priority at Centum,” he says, “[is] to educate our agents on how to market themselves in the 2017 broker environment.”

ASIM ALI Mortgage broker DLC Producers West Financial Age: 31

Despite having barely more than a year in the industry under his belt, Asim Ali has already posted some impressive results. Drawing on his previous experience in credit, Ali ended 2016 with $3.5 million in volume, and he has reached $13 million in volume so far for 2017. He is looking forward to finishing the year with at least $25 million, and is in the running for DLC’s Rookie of the Year Award, which he considers an achievement in itself, given his limited experience. Although he’s only been in the mortgage industry for a short while, Ali is already eagerly giving back, offering to train other brokers even while he’s still learning the ropes himself. “I try not to turn people away when they are seeking help,” he says. “There were plenty of people who placed their faith and trust [in me] and helped me as much as they could so I could grow.” Outside of the industry, Ali works with a local food bank and volunteers at various community gatherings.

www.mortgagebrokernews.ca

BRYAN BAKER Mortgage professional SmartCap Inc. (Invis) Age: 33

As a mortgage professional, Bryan Baker follows a rather unique business model: He works primarily with financial planners and helps clients manage their debt and cash flow more effectively through selected programs. “I have a genuine interest in helping people save money, in taking the time to show them a better way and making a true impact in their financial lives,” he says. “It makes my job rewarding. The icing on top is having control over my time and financial future.” Baker has pitched to and won over several independent financial planning firms, becoming their mortgage broker of choice by demonstrating the effectiveness of this particular business model. For 2017, he hopes to work on strengthening his brand and relationships within the financial planning channel, and for his team to become “debt experts for all client needs.” Outside of his day job, Baker will participate in the upcoming Mortgage 20/20 Broker Forum, in partnership with the Real Estate Council of Alberta, to discuss emerging issues, trends and challenges in the industry.

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FEATURES

COVER STORY: YOUNG GUNS GRAHAM REIMER

MAXIME STENCER

Mortgage professional

Director of business development

DLC Mortgage Excellence Age: 30

Merix Financial Age: 35

A licensed mortgage associate for the past 10 years, Graham Reimer got his start at the age of 20, and he has steadily built his business through referrals and a loyal database of clients. “I absolutely love my clients and enjoy putting together custom plans for them, allowing them to accomplish their real estate goals,” he says. Last year, Reimer closed 119 mortgages – a success he attributes to his dedication to his local community of Lethbridge, Alberta. “Being part of causes like Ride for a Reason – a longdistance cycle ride – and charity golf tournaments sends the message that we are more than just mortgage brokers in the office,” he says. “We want to make a difference and see our dollars impact lives. To earn lots of money is great, but the impact it can have on the lives of others in a positive way is even greater.” In recent years, Reimer has developed a passion for helping others build their mortgage businesses, understanding the need for knowledgeable brokers to help families purchase a home. “We as mortgage brokers play a key piece in this reality, and I enjoy knowing that we all can unite and share ideas to make this happen,” he says.

After having worked in Desjardins Mortgage’s Montreal market, Maxime Stencer was offered the opportunity in late 2014 to spearhead the company’s plan to expand into Ontario. After a little more than two years, he was able to establish Desjardins as a competitive lender, despite its relatively small footprint in the province. Stencer then joined Merix Financial in 2016, launching its service offering in Quebec to help the company finally establish a presence in all 10 Canadian provinces. In less than 12 months, Merix has registered and accredited nearly 90% of brokers in the province. Stencer explains how he found his way into his current role and how the lending side of the business appeals to young people today: “I was working in a retail banking branch and loved to get involved in business development initiatives that weren’t necessarily part of my responsibilities. This involvement introduced me to the various roles surrounding the work of a BDM, and helped me realize that my assets and skills catered to this field. I enjoy the fast-paced, goal-focused and solution-oriented environment of being a BDM for a mortgage lender, and I am proud of the work I do to help both brokers and consumers achieve their dreams and goals. I think young people are attracted to the industry because of just that … not only are you doing positive work by helping people achieve their dream of homeownership, but it’s an exciting, fast-paced environment that forces you to think on your feet and requires to be at the top of your game virtually every day.”

AMBER MIHM Mortgage agent DLC Forest City Funding Age: 33

In June 2016, Amber Mihm joined DLC Forest City Funding, bringing with her 12 years of banking experience, 10 of which were in mortgage lending. After spending many years working for a major bank, Mihm realized that becoming a mortgage agent would allow her to provide her clients with more control over the type of financing they could access. In her first six months as a mortgage agent, Mihm managed to quickly navigate the channels of brokering, getting to know lenders, policies and procedures, resulting in $7.3 million in volume during that time. Now in her first full year as a mortgage agent, Mihm is already managing a DLC branch of seven agents. So far in 2017, she has funded $7.2 million in volume, and she expects to reach the $15 to $20 million mark by the end of the year.

www.mortgagebrokernews.ca

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JEFFREY HO Senior partner DLC Elite Lending Age: 29

In the mortgage industry since 2008, Jeffrey Ho has observed that rules and regulations vary more often than not, and as a result, he believes that there is no single product that is right for all clients – highlighting the need for a broker’s guidance. “Having the experience of also working in a bank for a couple of years allows me to appreciate the different options available to me as a mortgage broker in assisting my clients toward achieving their financial goals,” Ho says. “The role of a mortgage broker can get quite challenging at times, as he/she is the middle person between the borrower and the lender. Sometimes, there are cases when the lender will not have answers for us [when] the borrower expects. Hence, I believe it is important to set proper expectations upfront, and therefore my team calls my clients to touch base twice a week, regardless of any update from the lender.” A firm believer in giving back, Ho volunteers with his team at a local soup kitchen a few times a year. In addition, he co-founded a charitable mission, Elite Cares, with his two partners. The organization helps the less fortunate get into homes. “We envision a world where all people – even in the most remote areas of the globe – have a shelter called home,” Ho says.

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FEATURES

COVER STORY: YOUNG GUNS DAVID CLARKE Mortgage broker DLC Finevo Lending Group Age: 26

David Clarke was first exposed to the mortgage industry while working for a bank when he was 21; he began working as broker a year later. “My best friend’s father introduced me to the industry,” he says. “He mentored me when I got my first job as a mobile mortgage specialist. I’ve been very lucky in this industry because I have met a lot of individuals who cared enough to give me guidance.” Clarke joined Finevo Lending Group in October 2016 and was assigned to represent the company’s Atlantic Canada division. This year, he managed to double his client growth and was a finalist for the Best Alternative Lending Mortgage Broker at the 2017 CMAs.

JAMES HARRISON Mortgage broker Mortgages.ca Age: 34

MICHELLE MCCULLOUGH Mortgage broker Invis Age: 32

Recognized for top unit sales with Invis last year, Michelle McCullough’s brokerage, PG Mortgage Brokers, was also a finalist for Best Newcomer Brokerage this year at the Canadian Mortgage Awards. Prior to her career as a mortgage broker, McCullough was working at BMO when a local investment office approached her with the opportunity to become a broker. “I figured I had nothing to lose,” she says. “[I] quit my job and challenged the mortgage broker course. It was the best career move I could have ever made. When you are in the banking world, you are oblivious to other mortgage options … becoming a mortgage broker made me realize how little I actually knew. I think ... we still are the best choice for a client because we have choices and knowledge – we are specialists when it comes to mortgages.” Now focused on further building her business, McCullough’s future plans include automating some processes, hiring a licensed assistant and implementing a good CRM system, something she suggests new brokers do right away when entering the industry. “Don’t be discouraged if it takes a bit to establish yourself,” she says. “Do a great job for any client you meet, and word of mouth will spread quickly.”

www.mortgagebrokernews.ca

A consistent award winner, James Harrison was the recipient of the DLC Master Sales Award in 2015 and 2016 for placing in the top 1% of brokers in Canada, and he has also been recognized as a CMP Top 75 Broker for four consecutive years. “I dedicate each day to providing the best possible customer service for each and every client,” he says. “This dedication to my clients and Realtor referral partners has helped me develop a strong book of business with loyal clients who consistently refer me to their friends and family, and this is the best compliment I could ever receive.” Now, Harrison and his team are developing new tech nology to change the way business is done – adding the ‘wow factor.’ “I look out for my clients’ best interests first and foremost,” he says, “as that is the key to long-term success, I believe.”

LEE NOBLE

TYLER YATES

Vice president of business development

Mortgage broker

Lendesk Age: 28

Verico The Mortgage Wellness Group Age: 35

As VP of business development for Lendesk, Lee Noble has spent the past three years building relationships nationwide to advance the use of technology, which is crucial to strengthening the industry. He also recognizes the vital role of the broker channel, and last year completed coursework to become a licensed broker so that he can better understand the needs of brokers to effectively inform product development. Noble was a presenter at the MPC National Conference in 2016 and at the CMBA ON Annual Conference earlier this year. He travels across the country to meet lenders and brokers to promote digital mortgages, while constantly researching industry trends and issues.

In less than five years, Tyler Yates has been able to build a thriving mortgage business in the small city of Sarnia, Ontario, and land a spot on CMP’s Top 20 Small Market Brokers list for two years in a row. Last year, Yates managed to fund $27 million; as of the end of May 2017, his team had already reached 70% of their 2016 totals. For Yates, a nuanced understanding of technology has been key to success in this industry. “My 10-year career in information technology has allowed me to build tools for my business, and more importantly, for my clients,” he says, “and that allows everyone to make informed and efficient decisions when it comes to planning their perfect mortgage solution.” He also credits his success to having a great mentor and partnering with a forwardthinking network like Verico.

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FEATURES

COVER STORY: YOUNG GUNS EITAN PINSKY Partner, mortgage expert DLC Origin Pinsky Mortgages Age: 32

Eitan Pinsky credits two books for helping him build a successful business: The E-Myth Revisited and Millionaire Real Estate Agent. “[These] two books taught me that systems and processes are what make our business run like a well oiled machine,” he says. Jumping into the industry in 2007 as a commercial real estate underwriter, Pinsky soon realized his calling was in helping individuals and families purchase homes. Today, he leads a team of three brokers and one administrative assistant.

CHRIS ALLARD Mortgage agent DLC Smart Debt Age: 27

ADVICE TO NEW BROKERS “At the beginning of your mortgage career, if you are in the office, you are not making money. Go out and meet other industry professionals who can share business with you.”

When asked how he has built a successful business, Chris Allard simply says, “I just go to work trying my best every day to help borrowers.” In his first years as a broker, Allard networked with Realtors and financial planners to build his business, which has clearly paid off. In 2016 alone, he closed more than 100 mortgages, and this past April, he was one of the top 50 brokers in the DLC network in terms of mortgages funded. Prior to becoming a mortgage agent, Allard co-owned a painting company and an entertainment business geared toward university students. These days, “the pleasure of helping educate borrowers about mortgages [really] makes my day,” he says. When he’s not working on mortgages, Allard commits his time to the Telfer School of Management at the University of Ottawa, where he has been a member of the board of advisors for the Entrepreneur’s Club for the past four years. In addition, he is involved with many mastermind groups with professionals in adjacent industries and has conducted clothing drives for men’s professional wear.

JON MCKAY Mortgage professional DLC Mortgage House Age: 28

Known as ‘The Mortgage Slugger,’ Jon McKay specializes in hard-to-place mortgages in Ontario and Newfoundland, where he works with a wide range of lenders who will fund first, second and third mortgages for clients of all credit levels. An Accredited Mortgage Professional, McKay was honoured in 2014 by the readers of the Scarborough Mirror with a silver award for Best Mortgage Broker. A firm believer in giving back to his community, McKay has sponsored the African Canadian Achievement Awards for three years. He also supports the Bikes for Kids Foundation, which gives underprivileged children their first bike.

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CHRISTINE BUEMANN Mortgage broker DLC Canadian Mortgage Experts Age: 32

Passionate about educating her clients and providing guidance throughout the entire home purchasing process, Christine Buemann has been a mortgage broker since 2010, serving Northern British Columbia. With a friendly and positive demeanour, Buemann has created lasting relationships in the business, and she cherishes the connections she has made through her experience in the industry. As a mother of two, Buemann notes that her biggest challenge has been â&#x20AC;&#x153;to find the coveted balance between home and work.â&#x20AC;?

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FEATURES

COVER STORY: YOUNG GUNS VARUN CHAUDHRY Director Kraft Mortgages Canada Age: 34

After arriving in Canada as a student in 2003, Varun Chaudhry earned a degree in accounting and financial services before completing the Canadian Securities Course and taking on a role as a bank teller. After several years as a successful bank officer, Chaudhry jumped at the opportunity to operate beyond the restrictions present in the bank environment. Today, Chaudhry oversees 40 brokers at Kraft Mortgages, where he uses his wealth of knowledge and experience to train and mentor new brokers. Last year, Chaudhry funded more than $50 million in personal volume, accounting for more than 10% of his firm’s annual volume and landing him on CMP’s Top 75 Brokers list earlier this year.

KEVIN HUYNH Mortgage broker Mortgage Financial Corporation Age: 31

Focused on growing his business and team, Kevin Huynh firmly believes that exceptional customer service must always be present. “It has been the backbone of my business, and as I continue to grow, it will always be paramount in our mission statement,” he says. That belief trickles down to Huynh’s community involvement. Through the years, he has invested in his home base of Hamilton, Ontario, in a number of ways. He moved his office from Burlington to downtown Hamilton, and he has also invested in local restaurants, bars and coffee shops to ensure the community has a variety of amenities. “By supporting the community, the community will support you,” Huynh says. Prior to being named a CMP Young Gun, Huynh was recognized as one of Hamilton’s Top 40 Under 40 by Business Link Media Group, and he was honoured with the Hamilton Spectator’s Reader Choice Award for a mortgage broker. “All the [accolades] are great,” he says, “but what I what really cherish the most is really giving back to our next generation of future leaders. On top of supporting local charities like Food 4 Kids, City Kidz and the Nicholas Morelli Foundation in the upcoming year, I will be rolling out our scholarship program from a grassroots elementary school level all the way up to a post-secondary award to the student who best exemplifies excellence in academics, athletics and community involvement.”

STACEY DORAN Senior mortgage specialist DLC Origin The Mortgage Hub Age: 35

Although Stacey Doran has been in the industry for just five years, she has already been recognized numerous times for her contributions to Dominion Lending Centres. In 2013, she won the company’s Rookie of the Year Award; since starting in the industry in 2012, she has funded more than $100 million in mortgages. A former investment advisor, Doran made the leap into the mortgage industry because she wanted “a career where I could work in finance but also still be involved with clients. To be able to help clients with the most important purchase of their life was very appealing.” Outside of the office, Doran has been an active member of the Canadian Cancer Society Daffodil Ball Committee for the past five years, and has helped raise approximately $9 million for cancer research.

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CHASE COOPER

FRANCIS LORTIE

Mortgage associate

Principal broker, president and owner

DLC Mortgage Excellence Age: 33

Martel Mortgages Age: 30

Chase Cooper started working as a broker in Calgary when he was 23, eventually deciding to move back to his hometown of Fort St. John. Cooper has been a top producer for DLC for the past six years, and is frequently recognized for his production volume and sales. In his worst year, he still managed to fund nearly $20 million amidst a struggling oil market; this year, he is on pace to fund $25 million in volume. “[Chase’s] professionalism and customer guidance are second to none, and his integrity towards lenders is AAA,” a colleague says. In addition to speaking about strategic planning for business at accounting firms, Cooper recently started organizing seminars for first-time home buyers, and also launched the Y Nation podcast to talk about topics in his community.

Having always had an interest in real estate and “the numbers game,” Francis Lortie completed a Realtor course before pursuing a career as a mortgage broker. To date, Lortie’s biggest accomplishment has been purchasing his brokerage after just a few years in the industry. “I was able do this through a lot of hard work, a supportive family and by building a solid client referral base where former satisfied customers support my consistent growth,” he says. For new brokers looking to enter the industry, Lortie suggests doing research prior to committing to a brokerage. “Select a brokerage that specializes in new agents and is willing to invest the time and energy in you,” he says.

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FEATURES

COVER STORY: YOUNG GUNS STEVE DYMENT Mortgage broker Verico Xeva Mortgage Age: 33

ANDREW STERN Director, underwriting Moskowitz Capital Management Age: 34

In Andrew Stern’s seven years in the mortgage industry, he has worked to organize and host seminars and webinars with the goal of educating brokers on effective origination and packaging private mortgage deals. Stern has found that mortgage lending allows him to combine his academic training in finance with his desire to obtain “realworld results.” Thanks to a boom in urban real estate development, Stern foresees more young professionals entering the industry as cities continue to densify, requiring creative solutions to help execute projects. “Canada’s population continues to grow, and finding housing solutions that are environmentally, economically and lifestyle friendly will pose a great challenge in the next 20 years,” he says. “For these reasons, I believe that many young people see developing the world around them through real estate as a rewarding career choice.”

Steve Dyment went from borrower to broker after getting a good picture of how the industry works while building his own home. “I got into this industry when my wife and I decided to build a spec home and were introduced to a mortgage broker for the financing,” he says. “I immediately thought that the blend of finance, sales, real estate and self-employment would be a great fit for me personally and decided to make the career move. I’m so glad I did as I find out how everything remains interesting, challenging, exciting, varied and fulfilling.” Dyment’s most recent accomplishments include quadrupling his business from 2014 to 2016, and winning Verico’s 2016 Veris Award for being one of the top three brokers in British Columbia for total units, as well as the network’s Chairman’s Club Award for funding $50 million over 110 deals. Dyment’s next goal is to land a spot on CMP’s Top 75 Brokers list while still maintaining a maximum of 40 hours a week to keep a good balance between work and family life. To help recruit new brokers into the industry and prepare them for the constantly changing environment, Dyment serves as speaker at various conferences and workshops, such as the annual Xeva Rising Leaders Conference, events organized by the Mortgage Brokers Association of British Columbia, and finance and real estate talks in his community and at his church.

AGRON BAJRAKTARI Mortgage broker DLC City Wide Mortgage Services Age: 21

At 21, Agron Bajraktari is one of the youngest mortgage brokers at City Wide Mortgage, but he has already accomplished a great deal in the few years he has been in the industry. Believing that transparency and honesty are the most important aspects when building a business, he has grown his mortgage volume impressively by working relentlessly for clients and always finding the right solution. After traveling around Europe as a professional soccer player, Bajraktari realized how important social media and technology are for keeping in touch. He has implemented these two tactics to stay connected with past and present clients, because for Bajraktari, “once a client, always a client.”

www.mortgagebrokernews.ca

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DEREK MACLEAN Senior mortgage agent Verico Capital Mortgages Age: 35

Already an industry veteran with more than a decade of experience in the mortgage industry to his name, Derek MacLean has built a reputation as an expert in residential, commercial and construction mortgages in the Ottawa region. MacLean’s experience and effective use of technology have allowed him to create systems that not only function at a high level, but also easily adapt to recent changes in the business. “My focus is rather simple: Knowledge is power,” he ADVICE TO NEW BROKERS says. “We are at the forefront of the communication era. Therefore, we strive to provide key insight, “Being able to develop your choice and opportunity to clients across a wide array of lending channels.” industry knowledge and skill Recently, MacLean won Verico’s National Top Funding Award for 2016; he attributes his success set under the guidance of to the implementation of a sound communication strategy that has produced loyal repeat clients an experienced mortgage and dedicated referral sources. MacLean also received the company’s Diamond Award last year professional is invaluable if you for being the number-one income-generating agent, as well as the Milestone Funding Award, Rain are looking to enter the business.” Maker Award and Platinum Funding Award.

www.mortgagebrokernews.ca

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FEATURES

COVER STORY: YOUNG GUNS SARAH SPEARN

ADIL MAWJI

Underwriter, residential underwriting

Mortgage broker

First National Financial Age: 27

Invis Age: 32

Winner of the award for Best Newcomer, Lender Underwriter at this year’s Canadian Mortgage Awards, Sarah Spearn began her mortgage career after university when she moved to Sydney, Australia, and took on a role as the client services assistant for mortgage brokerage MortgagePort. In 2013, she returned home to Toronto and continued to pursue her interest in mortgage financing, eventually developing an interest in the lending side of the business. Today, Spearn works directly with underwriters and brokers in documentation review, and she continues to learn and expand her skills on a daily basis. Spearn recognizes that the mortgage industry offers a wealth of opportunities for young professionals. “I was working in customer service when I developed an interest in mortgages, but strived to learn more,” she says. “There were so many areas to explore: lender underwriting, brokering, mortgage sales, etc. I think young professionals are attracted to the industry because of its fast-paced, challenging and fun nature. That said, it can be difficult – regulations, rates and processes can change on a weekly basis. In order to succeed, you need to be adaptable and open to learning.” Outside of the industry, Spearn spends her time volunteering with the Good Shepherd Mission in Toronto, an organization that helps feed and shelter the homeless, as well as Yes! Toronto.

MELANIE ANTAYA Mortgage professional Neighbourhood Dominion Lending Centres/ VanderDuim Mortgage Team Age: 31

Melanie Antaya’s passion for the mortgage industry began 14 years ago after she completed university. Since that time, she has gained experience in a range of situations, from first-time homebuyers to restructuring situations. Her diligence in following up and retaining charts and graphs have resulted a funding ratio in the mid-90s for her office. In addition to her mortgage work, for the past 11 years, Antaya has helped organize an annual charity client event supporting a local community cause.

Regarded as a hard-working broker by his peers, Adil Mawji has won numerous awards for his service to the industry and his community. Mawji is an AMBA and MPC board member, and sits on both the Real Estate Council of Alberta’s Mortgage Broker Advisory Committee and the Economic Planning Board for the Ismaili Community of the Prairie region.

HARMAN SIDHU Mortgage broker Blue Pearl Mortgage Group Age: 31

A top broker at Blue Pearl Mortgage Group, Harman Sidhu has been recognized as Broker of the Year at the firm for the past two years. From 2015 to 2016, he doubled his client growth, and he recently expanded his market to Ontario. A mentor for junior brokers at Blue Pearl Mortgage Group, Sidhu also devotes time to mentoring young students at Senator Reid Elementary School. “I am very passionate about helping my clients achieve their financial goals,” he says. “The freedom and satisfaction of helping others can be a rewarding motivator for young professionals wanting to be in the mortgage industry.”

www.mortgagebrokernews.ca

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MARCUS ARKAN Broker and managing partner Syndicate Mortgages Age: 34

Recently, Marcus Arkan and his team at Syndicate Mortgages established an operation in the US, becoming the first intercontinental brokerage in North America to use the same name within Canada and the US. In addition to the expansion, Syndicate Mortgages also launched an online company, ACalculator.com, which offers more than 400 different financial calculators to help consumers better understand their mortgages. “This year we are working diligently to create a strong connection between the US and Canadian real estate markets,” Arkan says. “There are many incredible investment opportunities in many US cities that are experiencing a huge growth in their infrastructure that can provide great ROIs. In return, we want to also bring in more Americans to Canada ... to obtain reliable real estate investments.” Arkan has always felt a strong pull to help his fellow Canadians in any way he can. That, combined with his natural strengths in math and finance, drew him to the mortgage industry. “Everyone’s financial background varies, and not every lender has an appetite for every deal,” he says, “so it becomes an art to structure an application ethically for a lender to appreciate the file. Many of us are great artists who paint a story with numbers.”

www.mortgagebrokernews.ca

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PEOPLE

BROKER INSIGHT

Starting from scratch Sally Kwan of ETC Mortgage reveals how she went from knowing nothing about the industry to becoming an award-winning broker

CMP: What made you first get into the mortgage broker industry? Sally Kwan: I never planned on getting into the mortgage broker industry. Actually, when I saw a job advertised for a broker, I thought, what is a mortgage broker? I came from Hong Kong, where there are no mortgage brokers. But a friend told me that it’s like working for the bank, except that you’re self-employed and you can control your own time. It sounded good! That’s history now – I’ve been in the industry in Canada for 25 years.

CMP: How would you describe your time in the industry? SK: It’s been a very enjoyable career because every day is different. It’s a very challenging but very happy industry. When a client wants to buy a home and you can satisfy them with good financing – or a range of financing – they are so happy. It’s great to help people. The banks are also appreciative because you give them good clients and good business, and we’re happy because we get paid.

CMP: How have the recent regula tory changes impacted you and your clients? SK: I’ve seen a lot more deals be declined by the big banks. As a result, those declined deals are being pushed to B and C lenders – we’re seeing that happen more and more.

Also, before the regulations, people were able to refinance and release money to buy another property, but it’s now harder to do that with A lenders. It has created challenges for me. It looks like we’re back to the ’90s, when I first started in the industry. At that time, there was also quite a lot of B and C lending. I operate mainly in the Lower Mainland, and I think the B and C lenders will see even more deals this year. I have heard from a couple of these lenders that they are extremely busy doing deals. When you work with A lenders these days, the guidelines are really strict. If you are in a time crunch, that creates a challenge. B and C lenders have much quicker turnaround times. It’s still too early to say whether I will beat my sales volume from 2015 or 2016 – hopefully I will be more or less at the same level. It will be challenging to exceed those years.

CMP: What’s your view on the foreign buyer tax in BC?

SK: It did have a bit of an effect on the market, but I don’t think it will have the impact on house prices that the government hopes or expects it will. Just like any other taxes, over time, people get used to it.

CMP: What’s the secret behind your success? SK: There is no secret – you just have to enjoy what you do and be self-disciplined. That’s most important. Do your best to match the needs of both sides – the client and the lender. The broker is like a bridge between the two. I enjoy the people side of the business because I have different types of clients, and I like chatting with them and understanding what their real needs are. Sometimes the things they want may not be what they need. You really have to sit down and get to know them. I see all of my clients at least once or twice to understand their short- and longterm needs. After understanding what they need, you can present options.

KWAN’S TIPS FOR OTHER BROKERS “You have to know your products. Take the time to get familiar with what lenders are offering. The level of confidence a broker has in their products really shows. There are many avenues to get that level of understanding – you can get to know your lenders more closely and study their product guidelines. It’s not an industry where you can ‘wing it’; you have to know what you’re talking about to create a good match for the client and the lender.”

www.mortgagebrokernews.ca

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FAST FACTS: SALLY KWAN

Owner of ETC Mortgage in Vancouver

Has been a mortgage broker for 25 years

Specializes in residential and commercial loans, including construction financing

Was one of CMP ’s Top 10 Commercial Brokers in 2015

“When you work with A lenders these days, the guidelines are really strict. If you are in a time crunch, that creates a challenge. B and C lenders have much quicker turnaround times” I get most of my new clients through referrals, but I do some advertisements and also belong to some business organizations.

CMP: What do you get up to in your spare time? SK: Normally, if I have time off, I go away for trips. I try to get away three or four times a year.

I also love reading books, but not fiction. I like to read up on all types of subjects. When I went to the UK, I went to Buckingham Palace, so I bought a book on the queen. I like to learn about what people have gone through, to look at other people’s lives and see what their strengths and weaknesses are and how I can learn from them.

Was fourth on CMP ’s Top 75 Brokers list in 2016

Closed a commercial deal worth more than $100 million in 2016

Finalist for Mortgage Broker of the Year at the 2017 Canadian Mortgage Awards

www.mortgagebrokernews.ca

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FEATURES

INNOVATION

Making innovation practical Dr. Amantha Imber, author of The Innovation Formula, presents a ‘no-fluff guide’ to getting you and your team thinking outside the box

INNOVATION IS a term that is surrounded by fluff. Many people will offer opinions on how to innovate more effectively, but few actually base this advice on any sound evidence. As is often the case, the voice of popular culture and fad-ridden management books wins out over the voice of scientific research. However, the scientific research into how to drive innovation is both plentiful and precise. Let’s explore some of the methods that have been scientifically proven to improve your innovation efforts. Why brainstorming doesn’t work – and what to do about it There are several big problems that go handin-hand with brainstorming. A lot of us don’t generate our best ideas most effectively in a group, but rather when we have time to think about it on our own for a bit. Likewise, brainstorming suits highly extroverted people who are comfortable putting their thoughts on the table, but less extroverted people do not work so effectively in these types of situations. In addition, groupthink, in which group members start to think and behave in similar ways, can significantly reduce the effectiveness of a brainstorming session. To overcome the huge shortcomings of brainstorming, try adopting a technique called ‘shifting.’ Shifting involves getting people to generate ideas on their own for five minutes or so – and then, after they have had enough individual idea generation time, getting the group to re-merge, giving everyone a turn to share their ideas. Finally, the group works

together to flesh out the ideas that have the most potential. At Harvard University, researchers found that groups using shifting generated significantly more and significantly broader ideas compared to traditional brainstormers. So if you do decide to use this technique, you can expect a whole lot more ideas – and more diverse ones at that.

The happiness hangover Our emotional state has a big impact on our ability to be innovative. Researchers at Pennsylvania State University conducted a study that examined the impact of happy and sad moods on idea generation. To put them into the required mood, participants were first asked to describe a recent life event that

analysis of these diary entries showed that people were more likely to come up with breakthrough ideas when they were feeling happy, even if this happiness was experienced the day before the idea was generated. When we are happy, the level of a brain chemical called dopamine increases. In the frontal lobe, dopamine controls the flow of information to other parts of the brain. When people feel happy, information flows more freely, thus opening up connections between concepts that are only remotely associated with one another. By contrast, when people feel sad, they become more detail-oriented in their thinking, which means they often will not see the greater possibilities. In other words, they get focused on the trees to the exclusion of the forest.

Creative behaviour occurs when employees have the freedom to work out for themselves how to reach their challenging targets made them feel happy or sad. Following the mood manipulation, participants were asked to write down as many things they could think of that could fly. On average, participants in the ‘happy’ group came up with almost 50% more ideas than the ‘sad’ group. The happiness hypothesis was also explored by Teresa Amabile at Harvard University. Amabile asked several hundred people to keep a work diary that detailed their daily activities, moods and other workplace events. An

Recognize, but don’t reward Think back over the past few years and consider how your performance at work has been rewarded, or how you have rewarded others in your organization. Has cash or recognition featured more strongly? Many universities and researchers around the world have studied pay-for-performance reward systems. In one such study, researchers found that individuals who were rewarded in this manner tended to avoid risky behaviour.

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are allowed to work autonomously, rather than being given step-by-step, day-by-day instructions on how to reach these goals. Creative behaviour occurs when employees have the freedom to work out for themselves how to reach their challenging targets. However, it is important that employees do not feel too stretched, as this can lead to frustration. Likewise, not feeling stretched enough can lead to boredom. At many organizations, matching projects to employees is not something that tends to take priority. Instead, it is simply a matter of working out who is up to their eyeballs in work and who has time to take on extra work. However, this traditional approach to task allocation hinders innovation. The assignment of tasks needs to be based instead on skill level and whether the employee would feel challenged by the task. A project should be assigned to an employee who can understand the task and not be completely daunted by it. Likewise, the task should challenge them and not be too simple for them to complete.

Crush some assumptions

People got so caught up in achieving their targets that they focused on repeating what they had done in the past and tried not to do anything that might mess up their rewards. When people try to avoid risk, creativity is one of the first things to fly out the window. Creativity and innovation, of course, require a degree of risk and often a large number of failures before a breakthrough happens. On the other hand, recognizing employees for their achievements and contributions will go a lot further than monetary rewards in keeping staff satisfied and increasing their ability and motivation to think creatively at work. You can recognize staff in a number of different ways. Many organizations hold annual awards ceremonies in which people

who have contributed great ideas to the company are crowned ‘innovators of the year.’ Others award an ‘idea of the month,’ and the winner receives a voucher for his or her efforts and is publicized through the internal company newsletter or intranet. And of course, informal recognition is important too.

Find the right amount of challenge One of the strongest predictors of innovation in the workplace is whether employees feel adequately challenged by their jobs. Those who feel their jobs are challenging and that their objectives and goals stretch their capabilities are more likely to behave more creatively. This effect is enhanced when employees

Assumptions are one of the biggest innovation killers in organizations of all sizes – those nasty things that sit around in the back of your head and stop your thinking from going anywhere interesting. Chances are, if you have a problem you are trying to crack, you hold a whole lot of assumptions or preconceived notions that are boxing in your thinking. Take some time to identify the assumptions that are governing your thinking around problems you are trying to solve. Once you have identified those assumptions, deliberately crush them by asking: What if the opposite were true? By asking this question, you will unlock significantly more creative solutions.

Dr. Amantha Imber is the founder of Inventium, a leading innovation consultancy. Her latest book, The Innovation Formula, tackles the topic of how organizations can create a culture in which innovation thrives.

www.mortgagebrokernews.ca

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FEATURES

MILLENNIALS

A generation set up for failure? Much like millennials have changed the way we work, soon they will change the way we lead. Hiam Sakakini suggests the old leadership development models will not work for this generation

WE’VE NOW moved firmly into an era in which millennials are taking on the responsibility of managing people. The problem is, their predecessors haven’t given serious consideration to the unique ways millennials learn, adapt and grow as professionals, and consequently are not arming them with the critical leadership capabilities that ensure future sustainability of an organization. I see it everywhere: Senior leaders are taking a page from the old textbook on how to manage and grow a workforce. But this advice simply doesn’t work for the 6.1 million millennials in the workforce today. How scary to think we are potentially missing easy opportunities to engage this segment of future leaders. Having spent a significant portion of my career both managing a team of millennials and learning about their needs, it has become apparent to me that this old way of developing our future leaders doesn’t develop leaders anymore. To get some perspective, let’s look at the trends Gen Y bring with them: • Millennials typically have itchy feet and tend not to stay in a position longer than two to three years. • They like to work in sprints – short projects with rotating teams increase their productivity and engagement. You’ll notice that emergent leaders will feel compelled to solve a problem presented through a project and then retreat to

being part of the team once the problem they noticed is solved. • They prefer a leader who is involved and inclusive – a mentor and a coach as well as a friend, and someone who is accessible, not hierarchical. They want a leader who genuinely cares about them as a whole person, not just during their

working hours. • They need immediate feedback on their performance – they want it straight after a milestone is achieved. They are natives of the digital world, which has propelled the art of instant feedback. • They are driven by their core values, which anchor their every decision.

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This seems to be instilled by a great relationship with their parents, who tend to be the key influencers in their decision-making. • They enjoy a challenge, they like to be constantly stimulated, and they aren’t afraid to stretch themselves out of their comfort zone – especially when the project has impact. With these trends in mind, the challenge now is how do you grow leaders who typically don’t spend very long in a single role or with one employer? What strategies do you need to implement to fulfil their need to feel challenged and learn best on the job? And how do you factor in their care about impact, not status and titles? How you incorporate all of this into a journey that develops leaders for the future will determine the long-term success and stability of your organization.

It starts with managers of managers Typically, promotion – and therefore, by default, succession planning – rewards bottom-line results. Type A personalities who are driven, fearless, competitive and focused do exceptionally well as individual contributors, rising through the ranks because they are as goal-driven with their careers as they are with their KPIs. They get noticed, they openly ask for promotions, and they are seen as natural leaders over those who seem ‘too emotional.’ I will admit that, as a young saleswoman at Google who loved to smash through every target handed to me, I was that person. Before I knew it, I had a team and was expected to teach them the tips and tricks that I knew instinctively. The problem was, I was never equipped to coach, and as a result, I faltered – badly. How can managers of managers play a crucial role? 1 Pay attention to how your superstars are achieving their KPIs. Are they collaborative? Are they inclusive? Do they ask for feedback from their teammates as well as from you? Are they helping their team toward achieving their collective goals? Rewarding the how as much as, if

CHANGING STYLES OF MANAGEMENT Old-school

New-school

Hire for a specific team

Hire for personal values and cultural fit

Hire for skills and experience

Hire for motivation, growth mindset and aptitude for change

Promote based on bottom-line results and short-term achievements

Promote based on results combined with behaviours and long-term impact

Develop leaders through high-potential fast-track plans and programs

Develop leaders through experiential on-the-job projects that bake in coaching, reflection, tools and guides

Give feedback at performance review time

Give feedback in real time

Rewarding the how as much as, if not more than, the what will, by default, get the right future leaders into the next leadership layer not more than, the what through your competency and behaviour frameworks will, by default, get the right future leaders into the next leadership layer. 2 Support your new managers in learning the art of coaching. This is a new skill that typically only gets taught after an individual contributor becomes a manager, and it is crucial to their success and the success of their team. Be the meta-coach.

Deconstructing leadership learning This is a challenge, and it will require an investment of time and the support of a good internal or external learning & development business partner, but the investment will pay off. Within everyday workplace teams, projects and initiatives, there exist golden opportunities to learn valuable leadership lessons. This all starts with a) identifying the learning opportunity, b) keeping the right tools, principles and techniques at your fingertips to match the scenario at hand, and c) having the guidance of an experienced facilitator who allows the team time to stop, reflect, give feedback and experiment.

I don’t think leadership programs will entirely be replaced by this approach; however, the tools and principles that lie within them can be deconstructed into bite-sized, easy-to-use downloadables, facilitator guides and how-to videos that can be used within the life cycle of any project or initiative. Capitalizing on the learning opportunities within everyday business projects will mean a richer experience for all involved and potentially less time and money spent on formal leadership learning courses. Ultimately, the ramp-up time to upskill future leaders will be significantly shorter, coinciding with the trends of millennials and their itchy feet. Hiam Sakakini is the co-founder of Think Change Grow. During 14-plus years of working for Fortune 500 companies in a range of roles, Sakakini has developed a passion for pinpointing the simplest strategies to help individuals and teams build the skills, confidence and competence needed to become genuinely customerfocused and deliver outstanding bottom-line business results. Visit thinkchangegrow.com.

www.mortgagebrokernews.ca

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10 AM

PEOPLE

CAREER PATH

SERIAL ENTREPRENEUR

Bryan Jaskolka says perseverance is the key to succeeding in business – and having launched several companies, he ought to know As a teenager, Jaskolka turned the expertise accrued from his high-school computing classes into a small business, first building websites before writing a business plan that won a national competition and secured seed money for the enterprise “I was a tech-y kid and had an entrepreneurial streak. As early as I can remember, I was messing about with software development and e-commerce”

1999

MAKES HIS MARK AS AN ENTREPRENEUR

2001

FOUNDS HIS FIRST COMPANY After graduation, Jaskolka focused on Nevidia Internet Solutions, the business he founded while still in school. Nevidia attracted the attention of an American company, which Jaskolka collaborated with before ultimately selling “It was a fast-moving business. I was always looking for efficiency. One of the reasons we were bought up was the efficiency of the operation”

2004

DISCOVERS MORTGAGES VIA A FATEFUL ACCIDENT During university, Jaskolka was in an accident that left him unable to walk for months. Bedridden but still driven to work, he intensified his focus on his business. At the same time, a friend introduced him to the mortgage industry

“I had identified no tech competencies at many brokerages; I realized it could be an opportunity to bring my tech background to the mortgage space as a key competitive advantage” 2011

MOVES INTO LENDING The success of CSI led to the founding of CLI, a private lending division, heralding a new direction for Jaskolka’s business “We shifted our focus to the lending side; they were complementary. I’m a serial entrepreneur – my mind has always worked that way. I see the opportunities and synergies”

2005

STARTS CANADIAN MORTGAGES INC. Together with his real estate broker father, Jaskolka founded Canadian Mortgages Inc. [CMI], a mortgage brokerage with an emphasis on online marketing “We hit it pretty well right out of the gate. My analysis was accurate in that my tech background was a good advantage”

2009

ENTERS A DOWN MARKET Finding himself in a depressed market after the financial crisis, Jaskolka shrunk the company considerably. By 2010, it had rebounded with the foundation of a mortgage administration division, CSI “The experience had been shocking; it was hard to know what was happening. We were afraid to grow for a good couple of years”

2015

FOUNDS A MORTGAGE INVESTMENT CORPORATION The success of CLI inspired Jaskolka to start the CMI MIC. The new company topped $5 million in capital within 18 months “We’re coming out of startup mode. Simultaneously, we have built the brokerage into a multi-provincial powerhouse. I consider starting companies exciting – for me, that’s my video games. It’s second nature”

www.mortgagebrokernews.ca

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PEOPLE

OTHER LIFE

TELL US ABOUT YOUR OTHER LIFE Email mortgagebrokernews@kmimedia.ca

UP AND RUNNING When he’s not brokering mortgages, David Larock is usually on the run FOR DAVID LAROCK, president of Torontobased Integrated Mortgage Planners, running was always either a punishment or a warm-up for a different sport. So when the lifelong athlete took up running eight years ago as a means of fitness, it was an act of sheer will. However, the combination of starting a new business and raising two young children made his nightly jog through Toronto’s ravines a welcome conclusion to stressful days. “I did it to stay sane,” Larock recalls. “If I had a frustrating day at the office, I could go and have a good run that day and feel positive. It very quickly became a positive influence in my life, and there were health benefits – by the time my business took off, my love for running was ingrained.” That, plus a goal to run a marathon by the age of 40, put Larock on a path that now sees him running up to 10 races a year. “I’ve surprised myself with what’s possible,” he says. “Running is a reminder that if you stick to something and you’re passionate about it, you can achieve things that at first seemed impossible. I thought a 10k run would be impossible; then I thought 10 miles would be impossible; then I thought a half-marathon would be impossible – the impossible became possible.”

Number of marathons Larock has run

3:28

Larock’s personal best time in the marathon

Estimated pairs of running shoes Larock has gone through

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13/07/2017 7:48:34 AM

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2017-07-05 10:20 13/07/2017 7:48:38 AMAM

INTRODUCING THE NEW

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