Questrade launches online mortgage service QuestMortgage

Toronto-based online brokerage and wealth management firm Questrade Financial Group has officially launched an online mortgage service.

According to Questrade, QuestMortgage is a “quick, easy-to-use mortgage service” designed to serve those looking to buy a home or renew their mortgage.” The company describes the QuestMortgage process as “an alternative to traditional mortgages,” touting the online product as simple and transparent.

QuestMortgage is a direct-to-client mortgage service provided by Community Trust Company, which Questrade acquired in 2019.

QuestMortgage is a direct-to-consumer prime mortgage service provided by Community Trust Company (CTC), which Questrade acquired in 2019. Mississauga-based CTC, which specializes in commercial and retail mortgages, is a federally-regulated Canadian trust company. Questrade CMO Rob Shields told BetaKit that the company’s acquisition of CTC “helped provide the foundation” for QuestMortgage.

Questrade President and CEO Edward Kholodenko said QuestMortgage’s launch “signifies the next step in Questrade Financial Group’s continued vision to revolutionize financial services.”

Founded in 1999, Questrade provides a discount brokerage platform to Canadians. The company claims to be Canada’s fastest-growing online brokerage, adding over 250,000 new accounts annually. Best known for its TV commercials, Questrade has $30 billion in assets under administration.

In recent years, Questrade has faced growing competition from fellow Toronto-based startup Wealthsimple, which it competes against for digital trading customers.

For Questrade, online mortgages could serve as a differentiator, as Wealthsimple does not currently operate in this space. However, in 2020, Wealthsimple CEO Michael Katchen teased mortgages as on his company’s product roadmap.

Canada’s digital mortgage space also features players like Montréal’s Nesto and Toronto-based Homewise.

With its move into online mortgages, Questrade isn’t alone; other Canadian FinTech firms like Toronto’s Ledn have also chosen to expand into the space—albeit with a different approach, offering Bitcoin-backed mortgages.

The country’s broader proptech sector, which houses startups like Toronto’s Properly and Ottawa-based Unreserved, has been heating up in recent months, as companies have sought to capitalize on Canada’s hot housing market.

Shields described QuestMortgage as “an alternative to the traditional way of getting a mortgage, with multiple trips to the bank and never-ending paperwork.”

Questrade first began rolling out QuestMortgage to existing customers in March 2021. Today, QuestMortgage is available to users across Canada in all regions except for Québec and the territories. Questrade plans to roll out its mortgage service in Québec at a later date.

QuestMortgage features an online application process, dedicated mortgage advisors, as well “low rates” and prepayment privileges.

Feature image from QuestMortgage.