The answer to this question depends very much on the mortgage broker you choose to use. For instance, some mortgage brokers offer a no-fee service for recommending a specific loan. But if you decide to go ahead with their recommendation, then there can be fees of around £500 to pay once you submit the mortgage application. The fee you pay could come alongside another commission fee that the broker would receive from the lender on completion.
Other brokers, like London & Country, offer free mortgage advice from start to finish over the phone. This means you won’t pay any fees, from when their brokers compare and source the best deals for you, to when they help you submit your online application.
While going fee-free will save you money and might sound like the way to go, it’s important to remember that many of these brokers will only be accessible to you over the phone.
Some people may wish to have access to their broker face-to-face, in which case, paying the arrangement fees and opting for a traditional mortgage broker might be a better option for you.
A fee-free mortgage broker may also try to point you towards deals that will earn them a higher commission, which means you may end up paying more in the long term than if you had opted for a deal with a bigger fee in the first place.