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The average income for an employed mortgage broker in the UK is around £43-50k. Many also earn commission on top of that, which will likely be at a percentage of what the brokerage they work for takes. Self-employed brokers rely entirely on commission, but can earn just as much, if not more than employed brokers, depending on their fee structure and their clientele.
In any commission-based role, higher earnings can be made from clients who spend more money, so larger fees can be earned from larger mortgages with more add-ons.
Common fee structures
If you’re employed as a mortgage broker, you’ll typically get a flat fee for each type of mortgage you sell, as well as additional fees if you also add protection insurance, or other additional services, such as will writing. Fees may vary depending on lender, or by product type. Some employers may even have thresholds whereby your fee is higher if you sell a mortgage in a higher value band.
If you’re a self-employed broker, how much you earn will depend on whether you charge:
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A flat fee or your services - this usually ranges between £500 and £1000 per mortgage
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A percentage of the loan amount - this is typically 1-2%, so on a £200,000 mortgage you might earn £1000-£2000
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Nothing to the client - but rely on referral fees from the lender, or insurance company. Commission paid by a lender is typically 0.35-0.4% of the loan size, so on a mortgage of £300,000, you would earn around £1050-£1200
Of course, the more mortgages you arrange, the more commission you could potentially make. A typical broker relying solely on commission could expect to make upwards of £100,000, based on the Financial Times data that suggests the average broker sells 103 mortgages per year.
How to increase your earnings as a broker
There are several ways to maximise your income potential as a mortgage broker, but these opportunities are typically more available to self-employed brokers. However, that isn’t always the case, and an employed role usually provides more security, so it depends on your priorities.
In addition to standard mortgage referral fees, here are some other ways to potentially increase your income:
Upselling add-on services
Both employed and self-employed brokers usually have the opportunity to increase their earnings by upselling additional services with a mortgage. This could be:
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Protection insurance
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Legal services directly related to the mortgage (recommending a conveyancer)
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Surveyors services
Referral fees vary depending on the services you’ve upsold, but you’ll typically receive a percentage of the business value. With solicitors, for example, larger value products, such as wills, will, therefore, earn you more than the average conveyancing fee.
See our guides on cross-selling willing writing services and upselling protection insurance for tips to help you in these areas.
Upskilling
Many brokers increase their income by specialising in certain areas of the industry. For example, you might train to become qualified as an equity release adviser. A Certificate in Equity Release (CeRER) or Diploma for Financial Services (DipFA) can be worth their weight in gold, allowing you to advise on a more diverse and specialist range of products with higher earning potential.
Commercial leads
Making contacts in other areas of business, such as the commercial mortgage sector, may allow you to sell more mortgages and related products. Networking events and LinkedIn are a great way to connect with others in your industry, as well as those in peripheral industries. This can broaden your pool of prospective clients.
Selling leads
If you generate substantial leads, perhaps you have a particularly successful website that competes well for Google traffic, there is a chance you’ll bring in more leads than you can possibly advise on. Some brokers sell these leads to other brokers for a small finder's fee of around 10%. This is a good way to ensure your hard work in creating a reputable brand does not go to waste.
Last updated 21 May 2025