This guide provides general information and is not a substitute for personalised mortgage, tax or legal advice.
Written and reviewed by the Highhouse Money mortgage team · Last reviewed: 25 August 2026
The direct answer: some do and some do not. Brokers are commonly paid a commission by the lender when your mortgage completes, and some also charge you a fee. Whatever the arrangement, it must be explained clearly before you proceed.
Searches for a 'free mortgage broker' usually mean a broker who charges the client no fee. This guide explains the payment models in the market, what to ask and how to weigh cost against the value of the advice. It is general information, not financial advice, and does not describe any individual firm's charges — ask any adviser, including us, for their own terms.
Questions to ask any broker about cost
- Do you charge me a fee, and how much?
- When is the fee payable?
- Is any of it refundable if the mortgage fails?
- Will you receive payment from the lender?
- How many lenders will you search?
- Are protection or other products advised separately?
The three common payment models
| Model | How the broker is paid | What to check |
|---|---|---|
| Lender-paid only | Procuration fee from the lender on completion | Range of lenders considered |
| Client fee plus lender payment | A fee from you as well as the lender's payment | Amount, timing and refunds |
| Fee-only | You pay a fee; lender payments may be rebated | Total cost versus advice scope |
General descriptions of market practice.
What a procuration fee is
Lenders pay brokers for introducing completed business. This is standard practice and is built into lenders' distribution costs rather than added to your deal. Regulation requires brokers to act in your best interests regardless of how much a lender pays, and to recommend a suitable product.
Why some brokers charge a fee
Complex cases — adverse credit, self-employed income, large loans, specialist property or later-life lending — can require considerably more research, lender liaison and underwriting support. Some firms charge a fee to reflect that work. Others absorb it. Neither approach is inherently better; transparency is what counts.
Comparing total cost fairly
A broker fee is only one part of the cost of a mortgage. Arrangement fees, valuation fees, legal costs and, above all, the interest rate over the deal period usually matter far more. A broker who finds a more suitable deal, or secures an acceptance where you might otherwise be declined, may add more value than any fee difference.
- Compare total cost over the deal period, not just the headline rate
- Check whether lender fees are added to the loan, increasing interest
- Read the broker's initial disclosure before any advice
- Ask how the broker searches the market
This page is general information, not financial advice. Your home may be repossessed if you do not keep up repayments on your mortgage.
Frequently asked questions
Are mortgage brokers free?
Some brokers charge the client nothing and are paid only by the lender when a mortgage completes. Others charge a fee as well, either fixed or linked to the loan size. Both models are common, and the broker must tell you how they will be paid before you commit.
What is a procuration fee?
A procuration fee, often called a proc fee, is a payment a lender makes to the broker when a mortgage arranged through them completes. It does not usually increase the rate or fees you pay the lender.
When would I pay a broker fee?
Fee-charging brokers may take payment on application, on offer or on completion, or split across stages. Ask whether any fee is refundable if the mortgage does not go ahead.
Is a fee-free broker worse than one that charges?
Not necessarily. What matters is the range of lenders considered, the quality of advice and how well the broker understands your circumstances. Complex cases may involve more work, which some brokers reflect in a fee.
Where can I find out what a broker will charge?
Brokers must set out their charges and how they are paid in their initial disclosure, before giving advice. If anything is unclear, ask for it in writing.
Sources and further reading
Where figures or rules can change, the position described is correct at the time of writing (25 August 2026) — always check the linked authoritative source for the latest position.
Related pages
Talk it through with an advisor
Every case is different. A short, no-obligation conversation with a whole-of-market advisor is often the fastest way to understand your options. Call 0345 512 0077 or send us a message.
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