It’s a space that’s witnessed a significant transformation in recent years – and one whose growth could be set to accelerate throughout 2022.
While private lending may once have been viewed as a niche or fringe area of the mortgage market, it’s cementing its status as a more mainstream option for brokers and their clients, not least because of its ability to find solutions where institutional lenders can’t.
Hali Noble (pictured top), senior vice president at private alternative lender Fisgard Asset Management Corp., told Canadian Mortgage Professional that the evolution of the space had accelerated since the introduction of the B-20 guidelines, a set of rules introduced by the Office of the Superintendent of Financial Institutions (OSFI) that tightened lending requirements for federally regulated lenders.
That meant that a growing number of Canadians began to explore the alternative and private spaces, Noble said, and realized that they offered a path toward buying a property.
“Canadians still believe in the dream of homeownership,” she said. “Back when B20 came in, that’s when the first big rush to the non-bank, alternative private lending market really blew up. Mortgage investment corporation (MIC) lending became much more mainstream and, since then, it’s only continued to grow.” # SANDI HALPERN # SOLD # LEASED # REAL ESTATE # PRIVATE LENDING
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