FAQs for Real Estate Brokers/Agents

 

  1. Do Real Estate Brokers need to be licensed in order to deal in mortgages?


    Under the Mortgage Brokerages, Lenders and Administrators Act, 2006, Real Estate Brokers do not need to be licensed if they are only providing referrals that provide limited information about a borrower to a potential lender (and vice versa). However, the Act does require a Real Estate Broker to become licensed, if he/she is carrying out mortgage broker activities.
  2. Under the Mortgage Brokerages, Lenders, And Administrators Act,2006, is a Real Estate Broker allowed to use a second name, in addition to the legal name that is registered with FSCO?

    All Mortgage Brokerages must be licensed under their legal name. They may also use one other name that is registered to the company under the Business Names Act.
  3. I am a registered Real Estate Broker and want to conduct mortgage brokering activities.  Do I require a Mortgage Broker or Agent licence?

    If you are a registered Real Estate Broker with the Real Estate Council of Ontario (RECO) as of July 1, 2008 and wish to conduct mortgage brokering activities, you must be licensed as a Mortgage Broker or Agent under the Mortgage Brokerages, Lenders and Administrators Act, 2006.  To be licensed you must be authorized to act on behalf of a licensed Mortgage Brokerage.
  4. I am a registered Real Estate Broker. Do I need a Mortgage Broker licence to arrange vendor take-back mortgages?

    Real Estate Brokerages, Brokers or salespersons who are registered with the Real Estate Council of Ontario (RECO) are exempt from the requirement to have a licence under the Mortgage Brokerages, Lenders and Administrators Act, 2006 (the Act), when arranging vendor take-back mortgages as part of a real estate trade.  This exemption only applies if the Real Estate Brokerage, Broker or salesperson does not hold himself/herself out to be dealing in mortgages, and does not engage in any other activities that require a licence under the Act.
  5. I am a Real Estate Broker with RECO as of July 1, 2008.  How long do I have to apply for a Mortgage Broker licence if I want to be exempt from the Mortgage Broker education and experience licensing requirements? 

    If you are a registered Real Estate Broker with the Real Estate Council of Ontario (RECO) as of July 1, 2008, you must apply for a Mortgage Broker licence before July 1, 2009 to be exempt from the new Mortgage Broker education and experience licensing requirements.
  6. I am a Real Estate Broker that registered with RECO after July 1, 2008.  Will I be exempt from the Mortgage Broker education and experience licensing requirements if I apply for a licence? 

    No, the education and experience exemption only applies if you were registered as a Real Estate Broker with the Real Estate Council of Ontario (RECO) as of July 1, 2008.  In this case you have until July 1, 2009 to apply for a Mortgage Broker licence.
  7. I am a registered Real Estate Broker.  How do I apply for a Mortgage Brokerage licence?

    If you are a registered Real Estate Broker with the Real Estate Council of Ontario (RECO) and wish to apply for a Mortgage Brokerage licence, you need to download the Mortgage Brokerage Application Form and Instructions from FSCO’s website.  Make sure you carefully read the instructions and complete the application form. 
     
    Please note:
    To apply for a Mortgage Brokerage licence your business needs to be a corporation, partnership or sole proprietorship.
  8. Can a Mortgage Brokerage hire Mortgage Agents, if both the Mortgage Brokerage and Principal Broker are licensed?

    Yes, the Mortgage Brokerage can hire Mortgage Agents.  However, the Mortgage Agents must be licensed with FSCO before they can conduct mortgage brokering business on behalf of the Mortgage Brokerage.
  9. How do Mortgage Agents get licensed?

    The Mortgage Brokerage’s Principal Broker needs to initiate the Mortgage Agent licence application in FSCO’s online application system, Licensing Link.

 

For full details on how to get licensed as a Mortgage Agent, refer to the web page Becoming Licensed as a Mortgage Agent.

 
Follow FSCO on social media  

Outage  Scheduled Online Service Disruption Notice
Please consult our outage schedule for more details.