The much-anticipated MPC National Mortgage Broker Conference was held on October 15-17, 2022 at the Vancouver Convention Center. This event was long overdue since we have had 3 consecutive years of cancelled in person events due to the pandemic.
The anticipation as well as the excitement of having this first major conference in many years, brought together many in the broker industry over the course of the weekend and we can safely say that the event was probably one of the best ones in recent years. With incredible speakers, sessions that were educational (especially in the current economic landscape), and really addressed the common concern of the elephant in the room, interest rates and inflation, what can we expect in the mortgage industry next year and how you can keep your business treading above water and even thriving during these economic times.
To recap some of the highlights of the 2-day event, here are a few sessions we attended, and a quick recap of these sessions.
We had the pleasure of attending the Broker Panel, which included 3 seasoned broker panelists and a moderator. The broker panel session provided a great forum to discuss what many brokers are feeling and thinking in the current situation, and this panel of experienced brokers provided a lot of great advice to share with the brokers in the room.
Many people are of course concerned about how the rising interest rates are going to affect their business as many are already experiencing a dip in their regular flow of business. The consensus from the panel was that during this time and even next year as business is slowing down, was to follow up with past clients. When business is booming, many brokers don’t have the time to follow up with clients, but now that there is time, following up will show your clients that you care, that you are concerned and that follow up can lead to more referrals.
Mine your database. 60% of clients are repeat clients. So go through your database of clients and be proactive and reach out. Many clients are now in a hard place financially and you will need to have the tough conversation with them about renewals or even those that you originally suggested a variable rate mortgage with, those conversations will be uncomfortable, but having the conversation will put you top of mind for other potential deals or referrals with clients or even their family/friends.
Call your clients who are currently in a fixed rate mortgage. Many are still spending and not realizing what the rates will be at renewal. Reach out to them before their renewal so that they are aware of what they can expect for their new mortgage payments. Your clients will thank you for your concern and again this will put you at the top of their books when it comes to looking for other financial products or when their friends and family are looking for a recommendation for a broker. Remember, it’s better to call these clients first than for them to call you.
Ask your clients about their parents. Many Canadians 55+ still have a mortgage and some may be in a fixed rate mortgage up for renewal. You may be able to provide assistance to their parents including the possibility of even introducing them to a reverse mortgage if they are struggling and wanting to increase their monthly cash flow.
Remember, being a mortgage broker is a very personal business. With the pandemic, many bank branches are starting to transform their branches to a lounge-like setting and moving more towards technology as the service agent. This is where brokers can rise and differentiate their service as a personal financial advisor.
Keynote Speaker – Benjamin Tal
One of the most anticipated sessions was the keynote address on the second day of MPC National from CIBC deputy chief economist, Benjamin Tal.
He discussed inflation and how it is the biggest problem that the Bank of Canada is dealing with right now. He mentioned that when it comes to choosing between slowing inflation or going into a recession, the Bank of Canada will always choose to stop inflation, even if it means going into a recession.
Another big factor for the current inflation we are experiencing is the supply chain issues. We consumed 4 years worth of goods in 2021 alone, with the demand for these goods being placed on a broken supply chain. Nearly half the inflation we are seeing today is a result of these supply chain issues. The good news is that these supply issues are already starting to correct themselves and we should see it being resolved shortly.
The aggressive interest rate hikes in 2022 is a result of The Bank of Canada showing Canadians that they mean business. They will likely overshoot their target by raising rates more than needed, since inflation is a lagging indicator. As a result, Benjamin says that we can expect 1-2 more increases in 2022, and then The Bank of Canada will hold for about a year to ensure inflation has tapered. We may see Interest rate cuts start in early 2024, but don’t expect it to drop to early COVID levels.
Finally, Benjamin mentioned that “Yes, COVID will be with us even next year, but it will not dominate us – it might impact the agenda, but it will not dominate it, like it has over the past two and a half years.”
Intentional Social Media Planning – Sarah Strauss
Another session we attended was the session on social media. With the current economic landscape, having a presence on social media is going to be more valuable for your business than ever before.
Sarah talked about the 3 pillars: Be Social, Be Consistent and Be Vulnerable. She discussed how it’s not as simple as making a post, but rather to also engage with others on the social platform. Engaging with your clients can make them feel socially validated and in turn, your client may even think of you when their mortgage is up for renewal.
Consistency is key on social media. Make a plan and stick to it. If you decide to post 3 times a week, then make sure you stick to that consistency, otherwise, just like a recording artist, if you go dark, people will forget about you and even unfollow you.
Don’t be afraid of showing vulnerability on social media. Your vulnerability will stand out and ultimately, it may inspire others to do the same. Showing your followers that you are real and have insecurities can provide a connection with your followers and even clients.
MPC National Expo
The MPC National Expo was a huge success, with many exhibitors setting up incredible booths and providing such valuable conversations with familiar broker partners and even conversations with new broker partners. We thoroughly enjoyed the conversations and connections we built during the expo over the course of the 2-day event and look forward to many more events like this to foster even more partnerships.
After a long 3-year hiatus, we can safely say that the broker industry is happy to have in person events back up and in full force. MPC National 2022 raised the bar high for broker events post-pandemic. The industry is preparing for a slow 2023, but with the help of all of the session speakers and panelists, brokers are now more knowledgeable and equipped to weather the storm of 2023 and may even come out the other side stronger and better for it.
If you would like to find out more about how the CHIP Reverse Mortgage from HomeEquity Bank can help your 55+ clients in the current economic landscape, please reach out to a Business Development Manager here.
- Posted by ajoshi
- On October 27, 2022
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