As a mortgage broker who often and regularly advertises “The Best Rate”, “The Lowest Rate”, “The Greatest Rate” and even “The Best, Greatest, & Lowest Rate”, being asked what our best rate is can sometimes be maddening and a double-edged sword.

Allow me to explain.

One of our treasured and valued REALTOR partners referred a lovely couple to me last week who will purchase a new home in Winnipeg in the coming months.   We were introduced via e-mail.   I always send out our introductory e-mail with our process, explainer videos, FAQs,  contact information, and more.   The response was,

“We only want to know your BEST RATE?”

I kindly replied and explained that each client’s situation is unique and we need to understand their needs, goals, short and long-term plans, understand their financial picture, income, down payment, and many other factors.   I advised that even if I could provide them with the lowest rate without knowing anything about them or their application it may not be the best product for their unique needs.

The reply came?

“Can you tell us your lowest rate or not?”

Of course, I can.    Or can I?  I still don’t know anything about these clients.   A phone number wasn’t provided when requested, and I have to describe my best rate.   What do they want?  What do they need?  Short-term? Long-Term? Hybrid Mortgage? Home Equity Line Of Credit?  Are they risk-loving or risk-averse? 25-year amortization? Or Longer?

I reply with another invitation to meet via Zoom or have a telephone conversation.   I know that as a broker with access to dozens of lenders, we will 19/20 times get our clients the lowest and best rate for their situation.  I know that as a broker we will provide our clients with a longer-term strategy and plan for the future.   I know as a broker we will be able to explain and educate which product may work better for them, whether it be a mortgage HELOC or Hybrid mortgage.

I include in my e-mail some recent successes.  A 4.89% 5-year fixed cottage purchase.  A refinance at 5.49% 25-year amortization.  A Hybrid Mortgage with a HELOC and 2-Fixed Rate portions a 3-year term and a 5-year term.  I go on to explain how a short-term fixed strategy may not work out due to the high premiums of short-term rates at the moment.   I share predictions of rate decreases on the 6-18-month horizon and how this could affect their mortgage.  I even try to explain how getting an insured mortgage rate and paying the default mortgage insurance can help them save money in the long & short terms (when they renew in terms 2 & 3).

I’m hoping that I was able to show them and pique their interest that they need individual and tailored advice.   I can sense that they have a rate from their BANK and are shopping it around.  I understand this as I am a person who loves a deal and to save money.  However, sometimes opting for the lowest rate, the promotional rate, or the bank’s discounted rate can cost tens of thousands of dollars in unnecessary interest and/or fees.

When asking your mortgage professional, bank, or credit union the question “What Is Your Best Mortgage Rate?”, we recommend that you change the wording just a little and ask “What Is The Best Mortgage Rate For Me?  We guarantee that if you find a home financing product that suits your individual and long-term needs you will be far better off in the long-run!

We would love to help you with your next mortgage!