A US-based mortgage Goliath is entering the Canadian market via an Ontario upstart.
Canadian mortgage brokerage Edison Financial was founded in 2020, works with 50 lenders, and has more than 140 employees.
“Our mission when we launched over two years ago was to use technology to improve the mortgage experience in Canada, making life easier for homebuyers and homeowners,” stated Hash Aboulhosn, president of Rocket Mortgage in Canada.
Rocket’s expansion comes amid a potential slowdown in Canada’s housing market. According to economists at the Canadian Real Estate Association, home sales are projected to fall this year and next. Canada’s central bank Bank of Canada recently raised interest rates by a full percentage point, marking the largest one-time increase since 1998.
Rocket estimated that the Canadian mortgage market has approximately $761 billion of mortgage originations every year.
It previously acquired Lendesk, a Canadian fintech company.
“[Getting a home loan fast] is something that has been lacking in the Canadian market, and we are eager to help our sister company show Canadians just how simple getting a mortgage can be,” said Bob Walters, CEO of Rocket Mortgage.
Rocket Mortgage plans to become a direct lender in Canada later this year.