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What is a fair mortgage broker fee?

1 reply

Crouton19 · 07/02/2025 10:50

I've seen ranges from none to a percentage of the loan. We are using a broker in case they have any additional insight or if the transaction gets tricky and they need to use their relationship with the lenders, but their terms of business charge a fee at completion of 1% of the loan, less any commission from the lender. What level is the commission usually?

OP posts:
housemaus · 07/02/2025 10:59

1% is on the higher end IME, but not out of the ordinary at all. I paid £695 for our broker (which worked out at 0.5% of the loan size), and I would have paid twice that as he had difficult circumstances to work with and put a lot of time into our case.

Lenders proc fees (what they pay to the broker as commission) vary so you might end up paying closer to 0.5%/0.65% so I'd say that's about right!

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