Colombian Economy & Banking Sector Analysis
Canadian Banking: Residential Mortgages
High quality, diversified portfolio
Residential mortgage portfolio of $234 billion: 38% insured; LTV 53% on the uninsured book¹
。 Mortgage business model is “originate to hold"
。 New originations² in Q2/20 had average LTV of 64%
。 Majority is freehold properties; condominiums represent approximately 14% of the portfolio
• Three distinct distribution channels: all adjudicated under the same standards
o 1. Broker (~59%); 2. Branch (~20%); and 3. Mobile Salesforce (~21%)
。 Scotiabank eHOME is our fully digital 4th distribution channel for pre-approvals and standard applications. Since the
launch of eHOME, we have processed more than 8000 mortgage applications. Most recently, we have enabled eHOME to
service the unique lending needs of MD Financial customers, which has been very positively received
CANADIAN MORTGAGE PORTFOLIO: $234B (SPOT BALANCES AS AT Q2/20, $B)
$121.9
$15.3
Freehold $201B
38%
Insured
Condos - $33B
Total
Portfolio:
$234 billion
$106.6
$44.0
$11.4
$31.0
$3.7
$32.6
$27.3
52.1%
Ontario
BC & Territories
Alberta
% of
portfolio
13.2%
$16.6
$14.6
Quebec
$2.0
$11.0
$10.8
$9.5
$0.2
$0.7
Atlantic Provinces
$8.8
Manitoba &
62%
Uninsured
Saskatchewan
18.8%
7.1%
4.7%
4.1%
1LTV calculated based on the total outstanding balance secured by the property. Property values indexed using Teranet HPI data
2 New originations defined as newly originated uninsured residential mortgages and have equity lines of credit, which include mortgages for purchases
refinances with a request for additional funds and transfer from other financial institutions
26View entire presentation