What does a mortgage broker do?
Mortgage brokers, mortgage advisors (or at Mojo, Mortgage Experts) give advice on and arrange mortgages between customers and mortgage lenders.
In this guide, we explain what a mortgage broker does and how using a broker could be a game-changer for your home buying journey.
Speak to an expert today about your needs and the current market
Clear mortgage recommendations with access to 70+ lenders & broker exclusive products
We've helped 1000s of people find and get their mortgage
Author - Luke Hollingdale Editor - Stuart Bowman
Last reviewed on 26th February 2025
The role of a mortgage broker
A mortgage broker takes the time to understand your situation, research the best deals available, and recommend the best mortgage match. But a broker does so much more than simply helping you secure a mortgage product. They’ll be by your side from start to finish, providing expertise and reassurance when you need it most.
Here’s what you can expect from your mortgage broker...
-
Find out more about you
Your broker will start by understanding your circumstances, financial position, and what you're looking for in a mortgage. This helps them tailor their advice to your needs. Together, you’ll discuss the different mortgage types available, how much you can afford to borrow (taking loan-to-value ratio into account) and what term and deal lengths might be most suitable for you.
-
Search the market for deals
Whole-of-market brokers like Mojo search thousands of mortgage products to find the best deal that matches your requirements and financial situation.
-
Assess your affordability and eligibility
Your broker will check your eligibility against lender criteria to make sure you’re only applying with those most likely to accept you. As an added bonus, they’ll also offer tips on strengthening your application, such as improving your credit score or boosting affordability.
-
Arrange your mortgage in principle
A mortgage in principle (MIP), also known as an agreement in principle or a decision in principle, gives you an idea of how much you could borrow. This helps you kick-start your property search with a clearer budget in mind. Once you’ve found the perfect home, your broker will help arrange your formal mortgage application.
-
Complete the mortgage application on your behalf
Gathering everything you need to submit your application (and checking it twice) can be a time-consuming task. But your broker’s done it all before, many times. They’re experts in preparing and submitting applications with a high chance of success, so you can leave them to it.
-
Support your mortgage journey
A mortgage broker doesn’t just find you a deal and disappear. They’ll liaise with lenders, estate agents and solicitors to keep things on track and prevent any delays.
What can a mortgage broker help with?
Our brokers spoke with over 55,000 people about their mortgages last year alone, from helping first-time buyers get their foot on the property ladder right through to advising on property investment.
Here are just some of the ways a broker can help…
Buying your first home is exciting, but it can also feel overwhelming. Having an expert on your side can make all the difference. They’ve seen it all, know the market and can advise you every step of the way.
-
Home mover mortgages
Upsizing, downsizing or just ready for a change? A broker can help you find a competitive mortgage deal, making your move as smooth as possible.
Over half the people we spoke to last year came to us looking for remortgage advice. With rates having risen in recent years and still sitting at relatively high levels, it can be useful to talk through your options with an expert who has a deeper understanding of the mortgage market.
Thinking of stepping into the world of property investment? A broker can walk you through the different mortgage options, lender criteria and how much you might be able to borrow based on your rental yield and financial situation.
-
Complex financial situations
A mortgage broker’s knowledge really comes in handy if your financial situation is a little more complex. For example, if you haven’t been with your employer for very long, you’re self-employed, have experienced credit issues in the past or you’re looking to borrow into your retirement. A specialist broker will know which lenders are more likely to accept your application, saving you time and hassle.
-
Non-standard properties
Buying something a little out of the ordinary? If your property is built with non-standard materials or is a unique conversion, securing a mortgage can be trickier. A broker might be able to help navigate lenders’ stricter criteria and find a suitable deal.
Speak to one of our expert brokers
Mojo Mortgages' advisors can search across 70+ lenders to find the right mortgage deal for you.
Simply answer questions about your mortgage needs, and if you're eligible, we can book you in to speak to one of our experts.
Different types of mortgage broker
There are two main types of mortgage broker:
Whole-of-market brokers
Whole-of-market brokers have much broader access to the mortgage market, which tends to include most lenders (except those who only work directly with customers). Whole-of-market brokers are therefore able to compare a much larger range of mortgage deals.
Tied brokers
Tied brokers can only recommend mortgages from a single lender, whereas multi-tied brokers are restricted to a small panel of lenders. This means their advice is more limited compared to a whole-of-market broker.
No matter which type of broker you choose, they must be regulated by the Financial Conduct Authority (FCA). So, before you appoint a broker, it’s always a good idea to check they’re on the Financial Services Register.
Difference between traditional and online mortgage brokers
Traditional | Online | Mojo’s approach |
|---|---|---|
You’ll work with one individual broker throughout the application process. They may be happy to speak over the phone, though others will recommend face-to-face appointments | The process will mainly be handled digitally, either via chatbot or email. | We combine our state-of-the-art tech with real broker expertise, giving customers the best of both worlds |
Gives customers one-on-one attention to understand their circumstances | Streamlines the process as face-to-face meetings aren’t required | Some parts of the application process (such as filling out paperwork) can be completed online at your convenience, with a qualified broker stepping in to provide personal advice when it matters |
Some customers prefer to deal with a broker they’ve spoken to or seen in-person, particularly when discussing sensitive financial information | Lacks the personal connection compared to traditional brokers, which may be preferred by customers used to dealing with their finances online | Buying a house is a big deal, and we think it’s important to have human input. Our brokers are always on-hand to discuss your options and answer any questions |
May not have access to advanced technology to assess the mortgage market as quickly and efficiently | Robo-advisors rely on algorithms to compare the market, but may not provide in-depth, personal advice | We use our advanced technology to research and compare mortgages - but a real broker is always involved in the process, tailoring their advice to your specific needs |
Will usually charge a fee for their services | Likely to be fee-free for customers | Our service is always free to customers |
Which option is right for you?
Whether you choose a traditional or online broker depends on how you prefer to communicate, how comfortable you are doing everything online, and how much time you want to spend speaking with your broker.
"There’s been a natural shift away from face-to-face appointments - especially as people try to squeeze in consultations and catch-ups around full-time work and other commitments. That said, you really can’t beat a proper conversation with your broker. Personally, I think it’s all about striking the right balance."
Emily Smith, Mortgage Expert
How much does a mortgage broker cost?
Mortgage brokers are usually paid in one of two ways, either by charging a fee to the customer or by receiving a commission from the lender they recommend. When a broker is paid by the lender, it’s often referred to as a fee-free service, as you don’t pay the broker directly. Mojo mortgage advisors always provide CeMAP qualified advice for free.
Brokers that do charge the customer directly typically either charge a flat fee (usually around the £500 mark), or a percentage of the total mortgage amount. This percentage charge can vary greatly, but it’s usual for a broker to charge anywhere between 0.3% and 1%.
All brokers are obliged to be clear about their fees under the requirements of the FCA (Financial Conduct Authority). It’s a good idea to check how a mortgage broker gets paid before you proceed, to make sure you don’t run into any unexpected costs down the line.
No - a mortgage advisor and a mortgage broker are the same thing. Both help customers find a suitable mortgage deal.
You may hear the term ‘mortgage advisors’ more commonly used by lenders, who use internal advisors to give people mortgage advice. As these experts only have access to their own products, however, they can't 'broker' a deal in the same way a whole-of-market mortgage broker can.
Working with a qualified mortgage broker could save you time, hassle and money by:
Seeking out competitive mortgage deals
Checking your eligibility to improve your chances of approval
Submitting your application on your behalf
Ultimately, it’s all about having an expert on your side to make the process smooth and less stressful. Find out more about the advantages of using a broker here.
No, you don’t have to use a mortgage broker. However, many home buyers find it useful to have an expert scour the market for the best deals - and to be on-hand to answer any questions.
Some buyers prefer to do their own research and apply directly with a lender, especially if their situation is straightforward. Our guide breaks down the difference between applying for a mortgage with a broker vs with a lender.
Yes, while it’s perfectly possible to arrange a mortgage without using a broker, there are risks:
You might not find the most suitable mortgage option, missing out on more competitive deals that could save you money
You could end up applying for a mortgage that you’re not eligible for, leading to rejection and delays
Unsuccessful applications could damage your credit score
You won’t enjoy all the extra benefits of working with a broker - you’ll have to do everything yourself, from comparing deals to submitting and tracking your application
Opting for a broker adds an extra layer of protection. If the mortgage they recommend turns out to be unsuitable, you may have the option to take your complaints to the Financial Ombudsman Service.
Some estate agents offer in-house mortgage services. And, while it might seem convenient to use your estate agents’ preferred broker, do be aware that estate agents almost always receive commission for recommending them.
It’s a big red flag if an estate agent tells you that you must use their in-house mortgage broker (they may even suggest your offer won’t be passed on if you don’t, which is illegal). You’re under no obligation to choose a specific mortgage broker. We always recommend doing your own research to find a broker whose services and approach suit you best.
It’s important to feel comfortable with the person you choose as your broker, so do your research to make sure you’re happy with the broker’s style and approach. You should also make sure your broker is suitably qualified (they should always hold a Certificate in Mortgage Advice and Practice or a CII Certificate in Mortgage Advice) and is FCA regulated.
It’s certainly worthwhile looking at the feedback of other customers, too, or considering recommendations from friends and family members if they’ve used a good broker. However, keep in mind that the same style of broker won't necessarily work for everyone.
Take a look at our tips on choosing a good mortgage broker.