Mortgage advice isn’t something most people budget for. You’d be forgiven for thinking it should come free, especially with so many deals plastered across comparison sites.
But getting a mortgage isn’t just about finding the lowest rate. Knowing which mortgage lenders will accept you, what mortgage broker fees might be hidden in the fine print, and whether the mortgage deal you’re eyeing is even right for your situation.
That’s where good advice comes in. And yes, sometimes it comes at a cost.
Here’s when mortgage advisors charge fees, what’s fair to pay, and when paying fees upfront might actually save you money.
What Fees Do Mortgage Brokers Charge?
Some brokers charge. Some don’t. There’s no rule that says a broker must charge you — it’s just how some choose to run their business.
In the UK, mortgage advisers generally fall into one of two camps:
- Fee free mortgage brokers – paid solely by the lender, not by you.
- Fee-charging brokers – paid by the lender and you (via a broker fee).
All mortgage brokers receive a procuration fee — a commission from the lender — once your mortgage completes. The difference? Some are happy with that. Others charge more.
Do Mortgage Advisers All Charge the Same Way?
Not at all brokers charge the same way. That’s why it’s worth asking questions upfront.
Some brokers operate on a fee free mortgage model and get paid by the lender once your mortgage completes. Others might charge a fixed fee, a percentage of your loan size, or even an hourly rate — depending on how involved your case is and how their business is structured.
It’s not just about what you’re being charged but what that charge covers. Some brokers include everything: advice, paperwork, lender chasing, even protection — while others may charge extra for parts of the process.
This matters more than you might think, especially if you rely on the broker to guide you through a more detailed or hands-on mortgage application.
Here’s how brokers usually set their fees:
- Fixed fee – One clear cost, usually £300–£600.
- Percentage of loan – Less predictable. A 0.5% fee on a £300k mortgage = £1,500.
- Hourly rate – Rare, but still used. Always ask for an estimate.
- Combination – Some charge a mix (e.g. fixed + lender commission).
Before you agree to work with any mortgage broker, be sure to ask these 5 broker fee related questions:
- Is the advice totally free, or will a fee kick in later?
- Is it a flat rate, a percentage of the mortgage, or hourly rate?
- When does any broker fee become non-refundable?
- Will you still pay a fee if your mortgage deal falls through?
- Will they support insurance or just focus on the mortgage?
Getting clarity early avoids surprises and makes sure you’re only paying for the service you need.
Worth knowing: Fee structure doesn’t equal service quality. Some fee free brokers go above and beyond. Some don’t. Same goes for those who charge.
What Is a Procuration Fee?
That’s the commission from the mortgage lender a broker gets when your mortgage completes. Usually around 0.3% to 0.5% of the total mortgage.
So on a £200,000 mortgage loan, that’s around £600 to £1,000.
It doesn’t come out of your pocket and won’t change your interest rate or mortgage deal — but your broker should tell you what they’re earning.
Learn more about How Mortgage Brokers Get Paid
Is Mortgage Advice Ever Free?
Yes, most advice is free up to a point.
Most brokers will give some mortgage advice for free at the start. That could mean:
- A rough affordability check
- An idea of what you might be able to borrow
- A quick look at your mortgage options
But if things are more complex—say you’re self-employed or have poor credit—a broker might charge sooner. It depends on how they work. Always ask when any upfront fee applies.
If you’ve got a mortgage question or are looking for mortgage advice, get fully fee-free mortgage advice here >
How Much Do Mortgage Advisors Charge in the UK?
It really depends on your situation and the mortgage broker you’re dealing with.
There’s no set rate across the mortgage market. While some advisors will not charge you a fee, others may charge hundreds (sometimes thousands), depending on the complexity of your case.
Here’s a rough guide of the average mortgage broker fees by case type:
| Case Type | Typical Broker Fee |
|---|---|
| First-time buyer | £0 – £500 |
| Standard remortgage | £0 – £500 |
| Self employed borrowers | £500 – £1,000 |
| Bad credit / complex case | £500 – £3,000 |
| Buy-to-let / portfolio | £0 – £1,000+ |
Top tip: If your case is simple, you probably don’t need to pay a broker fee. A fee free mortgage broker may handle standard mortgage applications without charging you a penny.
What Do Broker Fees Actually Cover?
It helps to know what you’re getting if you’re being charged.
A good mortgage broker will usually offer:
- A full review of your financial situation
- Honest and unbiased advice about what you can (and can’t) borrow
- Access to whole of market lenders, including some specific lenders you can’t reach directly
- Help with the mortgage application, documents, and evidence
- Progress updates, chasing, and support with your solicitor and estate agent
Some also help arrange protection — like life insurance or income cover — as part of the service.
Ask for a Key Facts Illustration or Terms of Business. It should clearly explain:
- What you’ll pay
- When you’ll pay it
- Whether it’s refundable (usually it’s not)
Fee-Free Brokers vs Fee-Charging: What’s the Difference?
Sometimes, there’s a difference. Often, there isn’t.
- A fee free broker doesn’t charge you anything — just like our mortgage advisers. We make our money solely on lender commissions instead, because we believe expert help shouldn’t come with a price tag.
- Other brokers may charge if your case needs more attention or specialist knowledge. And sometimes, that extra support can be worth it.
In the end, don’t just ask “What does it cost?” Ask what you’re actually getting for that fee — and whether it fits your needs.
Real Example: Fee-Free vs Fee-Paid
Emma is employed full-time, has clean credit, and has a solid deposit. Her case is straightforward, so she uses a fee-free mortgage broker who sorts everything at no cost.
James is self employed, with historic credit issues. He’s a trickier case and needs access to specific lenders. His broker charges £2,000 — but finds him a new mortgage deal he wouldn’t have qualified for alone.
For Emma, going fee-free made sense. For James, paying fees helped secure the right mortgage deal he might not have otherwise been able to get.
Is It Worth Paying a Mortgage Broker?
It really comes down to your current situation, your past circumstances, and what you’re aiming for.
Paying a broker fee might be worth it if:
- You’ve been declined before
- You’ve got bad credit
- You’re self employed or have variable income
- You’re buying a tricky property (e.g., a flat above a shop)
- You want lenders that aren’t available directly
The right broker can:
- Save you money with a better mortgage deal
- Speed things up
- Avoid major mistakes
Sometimes, that mortgage broker fee pays for itself — and then some.
Do Brokers Get Better Mortgage Rates?
Yes, in some cases — brokers may have access to exclusive deals, but that doesn’t always mean better rates than going direct.
Some whole of market brokers can access exclusive deals not available directly — better rates, fewer fees, or more flexible terms.
They also understand how different mortgage lenders interpret:
- Bonus income
- Freelance earnings
- Quirky credit files
That insight can mean the difference between getting a mortgage offer — or not.
Can You Get a Mortgage Without a Broker?
Definitely — you can go direct to your bank, but that doesn’t always mean you’ll get the best rates or the right level of service.
You can go direct to a bank or building society. Just know you’ll need to:
- Compare rates from multiple lenders
- Understand their criteria
- Handle the application process yourself
- Speak with underwriters and legal teams
- Troubleshoot anything that goes wrong
It’s doable — especially if your case is simple. But if things get bumpy, a mortgage broker can save you serious time and stress.
How to Compare Mortgage Broker Charges
When it comes to mortgage broker charges, don’t just go cheap. Ask:
- Is this really a fee free model, or are there hidden costs?
- Are they truly whole of market brokers, or tied to certain lenders?
- Do they help with insurance too?
- Do they have strong reviews and good communication?
It’s not just about the price. It’s about getting the right mortgage — and peace of mind. However, it’s important to understand what mortgage fees you might face.
FAQs
What do most UK mortgage brokers charge?
Fees can vary depending on your circumstances, but most brokers charge between £0 and £500 for a standard case. If your situation is more complex — like being self-employed or having credit issues — the fee might rise to £1,000 or more. Some brokers charge nothing at all and work on a fee free mortgage model, where they’re paid by the lender.
Is using a mortgage broker worth the cost?
In many cases, yes — especially if you’ve been declined before or your income or credit history is less straightforward. A broker can help you avoid mistakes, access specialist lenders, and sometimes save money with better mortgage options. For simpler cases, a fee free broker may offer all the support you need without charging anything.
Can a mortgage adviser offer better deals than a bank?
Sometimes, but not always. Some whole of market brokers have access to exclusive deals that aren’t available directly to the public. Others simply understand how lenders work and can match you with one that’s more flexible based on your situation. Going direct to a bank might be easier, but it doesn’t always mean a better rate or experience.
What’s the typical mortgage broker fee in the UK?
The average broker fee in the UK is around £400 to £500 for straightforward applications, such as a first-time buyer or remortgage. For more involved cases, fees can go well beyond that — especially when a lot of manual work or lender negotiation is required. Always check how and when the fee is charged before moving forward.
Final Thoughts: Should You Pay a Broker Fee?
If your mortgage case is simple, you might not need professional help.
But if it’s more complex — maybe you’re self-employed, have credit challenges, or simply want an experienced mortgage professional on your side — then working with a mortgage advisor could make a big difference.
What really matters is excellent service. A good mortgage broker won’t just find you a deal — they’ll make the whole process smoother, less stressful, and easier to understand. That’s why it’s worth checking reviews on places like Trustpilot to see how other clients have been treated.
Whatever you do, make sure everything is clear: what you’ll pay, when any fees apply, and how the broker earns their money.
Still unsure? We’re happy to talk it through — no pressure. Because good mortgage advice doesn’t just save money — it can save time, hassle, and peace of mind too.
