Canadians Hardly Shop For Their Choice Of Mortgage

According to a survey that was recently done online, the results showed by the LowestRate.ca services revealed that Canadians have a higher chance of searching for vacation location on the net rather than go mortgage shopping. An average consumer in Canada uses up 5.75 hours in looking for their mortgage and an average of 7.75 hours to research on travel related issues.

Lovett-Reid concluded; “That may be because Canadians have a blind loyalty to big banks and they’re not shopping around before signing a mortgage that’s potentially costing them more than $30,000 over the lifetime of the contract.” This observation was supported by a study that 67 per cent of most respondents gets information about their mortgage through their chosen banks, another 22 per cent corresponded with brokers, while the other 13 per cent worked with credit unions.

The online thresholds that were used to compare rates has gone through a lot of technological development over the years. Although most of the respondents mentioned their intention on using the comparison sites, only 8 per cent went ahead with it and used if for their surveys. About 40 per cent went with what was provided to them by their mortgage seller and did not use the site to do any comparisons at all.