Mortgage Broker Fees

Purple123

Hi,






Can I do a survey of how much average independent mortgage broker fees are? I've been quoted £1600 for a residential mortgage of £400k, plus another £508 for a BTL remortgage of approx. £120k, both with the same broker.
Thanks

kingstreet

£250 on application regardless of type and size.

We are paid commission and do not include lenders who are direct-only, or who have direct-only products.

betmunch

Is this broker going to rebate the procuration fee to you?


Or is he charging the fee on top of the procuration fee?

Kell4life

We are paying £495, but this includes a Help to Buy fee as the broker completed it for us, our developer stipulated that we had to do this and was charging £195 for this on its own. We probably could of saved £100 or so but the broker has so far been good, and has got our mortgage and Help to Buy all agreed within 2 weeks, awaiting our mortgage offer in the post anytime. It's £495 well spent.

Brokers will also get commission from the bank on top.

kingstreet

Will there be any commission?

These may be direct-only with fee as the only income, or has BM has suggested, is the commission rebated to you?

Commission (c0.35%) plus commission looks a bit OTT to me. That's £3k for the residential alone.

kingstreet

Kell4life wrote: »

We are paying £495, but this includes a Help to Buy fee as the broker completed it for us, our developer stipulated that we had to do this and was charging £195 for this on its own. We probably could of saved £100 or so but the broker has so far been good, and has got our mortgage and Help to Buy all agreed within 2 weeks, awaiting our mortgage offer in the post anytime. It's £495 well spent.

Brokers will also get commission from the bank on top.

... we complete PIFs and get nothing for it.

Makes our £250 look excellent value.

Purple123

Hi - charging on top of the procuration fee. So I'm not wrong in thinking this is steep?

Purple123

kingstreet wrote: »

Will there be any commission?

These may be direct-only with fee as the only income, or has BM has suggested, is the commission rebated to you?

Commission (c0.35%) plus commission looks a bit OTT to me. That's £3k for the residential alone.

I'm confirming on the commission piece.

Malmo

£490 + procuration fee from lender, for a reasonably straightforward case under £300K with a major high street lender.
Another broker I considered was also at a similar fee level.

dunstonh

£195 plus commission (considering only commission paying deals) or £750 with commission rebated (and non-commission deals considered)

ACG

99% of my cases fall between £500 and £999 on full offer of a Mortgage. Occasionally I do them fee free or charge more than £999 but very rarely. The difference between the £500 and £999 is down to the client, ie size of mortgage (and in turn commission) and their circumstances, do they have defaults or CCJs for example.

£1200 is very steep is everything is straight forward for the residential. The BTL Mortgage is not too bad in my opinion, its in the ball park.