After record volumes in 2020, M3 and DLC groups look to 2021
Two of the country’s largest brokerage networks overcame the challenges of a pandemic in 2020 and achieved record volumes for the year.
The M3 Group, which includes Invis, Mortgage Intelligence, Mortgage Alliance, Verico and more, reported $ 54 billion in mortgages funded in 2020.
DLC Group, which includes Dominion Lending Centers, Mortgage Architects, Mortgage Centers Canada and Newton Connectivity Systems, reported volume of $ 51.5 billion for the year, with revenues up 17% and growth in EBITDA up 30%.
CMT reached out to the two networks – which are used to battling to establish who is # 1 in the industry – for their take on their successes in 2020 and to get an overview of their plans to continue that growth until. ‘in 2021.
Highlights of the M3 group
Here are some of the strengths M3 has worked on:
- Over 30 new BOSS enhancements including SOC2 compliance
- a commitment to an open architecture, which would allow brokers to choose their preferred transaction management system
- a doubling of its brokerage insurance activity
- Since M3 Group announced its exclusive partnership with National Bank in 2019, which saw the bank return to the brokerage channel, currently only in Quebec, M3 has stated that 600 Quebec brokers have since used National Bank to fund 1 , $ 2 billion in transactions.
M3 claims to have overcome the challenges of 2020 largely thanks to its agility in “equipping our brokers and staff with the tools, applications and processes necessary to adapt to the new normal brought by the pandemic”, said Luc Bernard, president -General manager. “In the first 2 weeks, we launched the Covid-19 toolkit which offered a complete business continuity solution to our brokers. “
Looking ahead to the rest of 2021, Bernard said the company’s priorities are twofold.
“First, continuing to provide the best innovative technology to our brokers… it means accelerating our technology investment in a very significant way,” he said, highlighting the more than 30 technology enhancements to his BOSS platform that are released. throughout the year.
The second is preparing for the post-pandemic world. “The industry has been on the rise for over a year now, but we know it will end at some point, so we’ve focused on preparing ahead of time to make sure our brokers are well positioned to. compete and win, ”Bernard mentioned. “You will see some of these strategies start to take shape in the second half of 2021.”
Group Highlights DLC
DLC also had a record year in 2020, with total volume of $ 51.5 billion, a 23% increase over 2019. Some of its highlights include:
- Revenue for 2020 totaled $ 52.4 million, a 17% year-over-year increase, with net income of $ 25.6 million, which included $ 16.7 million in recovery deferred tax “for losses other than capital that may be set off against future taxable income”.
- The company says it is encouraged by the continued growth and adoption by mortgage professionals of Newton’s connectivity platform, Velocity.
- In the first quarter, DLC reported volume of $ 13.4 billion, an increase of 51% from last year.
“We are extremely proud of how we got through the early days of the pandemic,” Gary Mauris, Executive Chairman and CEO of DLC, told CMT. “Our team has come together and our communication and mutual support is second to none. As a company, we are as close as ever. 51 billion dollars of financed volume, that’s not bad either!
Mauris points to a number of factors that bode well for continued growth through the remainder of 2021, including digital adoption, permanent work from home, extended low interest rates, $ 200 billion in ‘additional savings for households (estimated by Capital Economics) and’ the city migration ‘to the suburbs’.
Regarding DLC Group’s priorities for the rest of the year, Mauris highlights the continued growth of its Velocity platform, its First Responders program, which offers special rates and up to $ 2,200 in cash back. for all police, fire and medical service first responders, and working with new chain lenders.
“This is the peak of our plans for 2021,” Mauris said. Speaking specifically to Velocity, he said the platform is “changing the way brokers do business”, offering solutions for quote, mobile, CRM, payroll, SMS, new lenders. and database. “Look for other announcements to come,” he hinted.