Survey finds obtaining a mortgage is complicated and time consuming
Haggling for a rate and deciding on the right term are among the most stressful parts of getting a mortgage, new ING DIRECT poll reveals
TORONTO, March 12, 2013 /CNW/ - As mortgage season heats up, a new survey commissioned by ING DIRECT finds that a majority of Canadians (67%) who have had or currently have a mortgage feel the process is either complicated (31%), confusing (20%) or hard to figure out (16%). Thirty-eight per cent of current or former mortgage holders say getting a mortgage is time consuming while one in five describe the process as annoying. By comparison, a mere 7% of respondents feel the process is stress-free.
"Whether you're a first-time home buyer or shopping around for a new mortgage, applying for a mortgage doesn't have to be a confusing or complicated experience," said Peter Aceto, president and CEO at ING DIRECT. "Choosing a bank that provides a great rate up front and offers flexible terms means saving both time and money over the long run. We're committed to making the process of getting into your home easier and giving clients the option to pay off their mortgage faster."
The survey revealed that negotiating for a rate (59%), deciding on the right term and payment schedule (55%) and getting customer service help from the lender (35%) are among the most stressful aspects of obtaining a mortgage. Respondents age 18 - 34 indicated haggling for a rate (65%) was among the most stressful part of the process while over half (56%) agreed researching and comparing offers made the process more difficult.
"There's an assumption that getting a mortgage from a branchless bank is more difficult. In fact, our mortgage Clients have a dedicated mortgage specialist to help them along the way," said Nicole Wells, Head of Retail Lending at ING DIRECT. "We always offer our Clients a great rate, and options that provide value and make the process simpler. Better yet, our Clients never have to go to a branch at all - they can apply for a mortgage from the comfort of their own couch."
Additional survey stats:
- Respondents indicated that simplified language in mortgage contracts (41%) and the ability to obtain a mortgage from the comfort of their homes (16%) would make the process of obtaining a mortgage easier
- 20% of those age 35-54 feel the ability to obtain a mortgage from home would make the process easier
- 16% of respondents feel getting a mortgage would be easier if they had access to more education about mortgages
- Current and former mortgage holders feel lenders (34%), brokers (20%) and family/friends (13%) provided the most help when obtaining a mortgage.
About the Survey
On February 27, 2013, an online survey was conducted among a sample of 1,519 Canadian adults who are Angus Reid Forum panel members. The margin of error — which measures sampling variability — is +/- 2.5%, 19 times out of 20. The sample was balanced by age, gender and region according to the most recent census data. Discrepancies in or between totals are due to rounding.
About ING DIRECT
ING Bank of Canada, operating under the trade name of ING DIRECT, is a wholly owned subsidiary of Scotiabank. ING DIRECT is Canada's leading direct bank with over 1.8 million Clients and close to $40 billion in total assets. ING DIRECT is a bright way forward in everyday banking for Canadians, offering value added, simple products such as high interest savings accounts, including TFSAs, GICs and RSPs with no fees or service charges, low rates on mortgages and a no-fee, daily chequing account that actually pays interest. Low cost, index based mutual funds are sold through ING DIRECT Funds Limited. ING DIRECT has been operating in Canada since 1997, and has paid more than $5 billion in interest to Clients. ING DIRECT is open for banking 24 hours a day, 7 days a week, at ingdirect.ca, on mobile devices at m.ingdirect.ca or by calling 1-800 ING DIRECT (1-800-464-3473).
ING Bank of Canada and its subsidiaries have been acquired by The Bank of Nova Scotia and are no longer affiliated with ING Groep N.V. The trademarks ING, ING DIRECT, ING Lion, the ING Lion logo and any derivation, variation, translation or adaptation thereof are trademarks of ING Groep N.V. and are used under license.
SOURCE: ING DIRECTFor further information:
For more information or to arrange an interview, please contact: