Sometimes. A higher split wins for a high volume broker who needs nothing carried. It loses when fees, bottom tier lender status and no support cost more than the extra points.
A higher split is better when you fund enough volume to spread fixed fees thinly, you already have processing and compliance handled, you do not need an underwriter, and your lender relationships are your own. That describes some experienced brokers, and for them a high split, low service brokerage is the right answer.
It is worse when the fees behind it add up to more than the extra points, when your files carry bottom tier status because the brokerage's volume is thin, when a hard file has nobody to call and gets referred away, or when compliance is left to you and a licence deadline slips. Each of those has a cost, and on a sheet it is usually larger than the split difference.
The honest test is net income at your volume with every line included, plus a hard look at what happens on the file you cannot place. Run the worksheet before you decide either way.
We publish how to compare us with everyone else because the comparison holds up. Every fee is in writing before you sign. Lender status is top tier from your first submission. Processing, compliance and payroll are carried at head office. The portal is included; BrokerDam is a paid CRM at a member rate, never a bundle. Compensation is top tier and competitive, set against your volume, and worked through on a discovery call with your last twelve months in front of us. We provide the infrastructure. You build the book.
The full guide, with the detail and the numbers.
Net income, not split: how to compare offersSix things that decide whether a new mortgage agent funds files in year one: training, a mentor, lender status, underwriting support and a 90 day plan.
Ten brand names, three parent companies. Who owns what in Canada's mortgage brokerage networks and how that changes the way you read a recruiting pitch.
Most recruiting pitches compete on one number. A framework for comparing brokerages on what lands in your account after fees, royalties and lender status.
Bring your questions to a discovery call and a broker owner will answer them directly.