Geographical area and local custom usually dictate who pays for these fees. This is often negotiable. It is the Mortgage Broker's job is to find you the best loan. He or she does not lend money . A good broker will shop for a loan for you, explain all of your options, and can assist you through all the paperwork involved.
Mortgage Brokers are in the business of selling mortgages.
The interest rate that you get and the points you have to pay should be the same as if you went directly to the lender for the loan. A broker should do business with a wide array of lenders offering the most competitive pricing and programs. If your broker only works with the same lenders over and over you are not getting the best representation. Your broker should be able to go into detail with you on every program and explain how they differ and how they work. Friends and relatives who have had a good experience when obtaining a mortgage loan can sometimes make good recommendations on a lender.