Getting a mortgage is one of the biggest financial decisions you will make and comes with a lot of responsibility.
For many buyers, appointing a mortgage broker can help them make sense of the market and decide what option best suits their circumstances.
A mortgage broker can be particularly useful for buyers with smaller deposits, the self-employed or people who have not been with their current employer for long, who might need some extra help to find the right deal.
However, as with any form of adviser, it is important to do your research before appointing a mortgage broker.
There are 12 questions you should ask your prospective mortgage broker to determine if they are the right fit for you, and have the most suitable mortgage deal for your needs.
Do your prep: Getting a mortgage is one of the biggest financial decisions you will make
1. Which lenders do you work with?
A mortgage broker who works with a broad range of lenders can offer you more options. Some only work with a selected ‘panel’ of banks and building societies, while others cover the whole market.
Jonathan Bone, head of mortgages at online mortgage broker Better, said: ‘If they work with only a select few, you could be missing out on better deals elsewhere.’
Nicholas Mendes, mortgage technical manager at John Charcol, told the Daily Mail: ‘The breath of a broker’s panel directly determines the options you’ll see.
‘Whole-of-market access means high street banks, building societies and specialist lenders are all in play.
‘That increases the odds of matching unusual income, property type, or credit history to a lender that truly fits.’
He added: ‘With a restricted or tied proposition, you may never even see a product that would have been better for you.’
2. Are you independent?
Brokers who are tied to certain lenders may be limited in their offerings.
Bone, said: ‘Independent mortgage brokers offer impartial advice because they aren’t tied to any specific lender.’
3. Are you regulated?
Mortgage brokers should be regulated by the Financial Conduct Authority in one of two ways.
You can check on the FCA’s online register to ensure the firm or individual broker you are considering is regulated.
‘Mortgage brokers must either be authorised by us or become an appointed representative of another firm that has the relevant permissions’, the FCA says on its website.
4. How are you paid and what fees are involved?
Clarity on fees and commissions from the outset will help prevent ‘nasty surprises’ later, Mendes said.
He added: ‘It also helps you compare brokers on value rather than just headline promises.
‘Knowing when fees are due – upfront, on offer, or on completion – lets you manage cash flow during a costly move. Full disclosure on fees reduces the risk that remuneration influences the recommendation you receive.’
Bone, of Better, added: ‘Some mortgage brokers charge a fee for their service, while others are paid a commission by the lender.
‘Ask for a clear breakdown of the costs involved – some brokers may offer free initial consultations but charge a flat fee or percentage later on.’
5. Who will you share my financial details with?
Check who the broker plans to share your financial details with if you appoint them.
Bone, said: ‘If a mortgage broker was recommended by an estate agent, it is important to know if and how they share your financial information.
‘You want to ensure that your mortgage broker is working in your best interests and not revealing sensitive details like how much you can afford, which could be used to influence property negotiations.
‘It is essential to clarify the broker’s policy on confidentiality to protect your financial privacy.’
6. Will you do hard or soft checks on my credit file?
It is important to know what sort of credit checks are likely to be carried out on you and when.
Mendes said: ‘Poorly sequenced hard searches can erode your score right before an underwriter looks at it. Soft searches are less intrusive and can be used to gauge eligibility.
‘A careful plan limits footprint while still moving your case forward. This protects approvals and preserves options if you need a plan B.’
Options: Porting your mortgage deal means staying with your existing lender when you buy a new home
7. What stress tests will be used to assess affordability?
Mortgage lenders test your budget at a higher rate than the one you will pay initially.
Knowing the ‘stress rate’ they use, or a ballpark estimate of what this might be, helps set a realistic price range and avoid failed applications.
‘A broker who models this with you upfront saves time and disappointment’, Mendes said.
8. What will the true cost of the mortgage be?
Headline rates can distract from chunky product fees, valuation and legal costs, and short incentive periods.
Asking for the total cash cost over, say, two or five years lets you compare like-for-like.
You can also use This is Money’s true cost mortgage calculator to run these figures.
Mendes said: ‘Sometimes a slightly higher rate with minimal fees is cheaper overall than a rock-bottom rate with a big fee. A good broker will lay this out clearly so you can see the pounds-and-pence difference.’
9. Is the mortgage portable?
Porting your mortgage deal means staying on your existing mortgage deal when you buy a new home.
According to Yorkshire Building Society: ‘It can be a good money-saving option especially if you are part way through a deal which carries exit fees and early repayment charges, since you could avoid having to pay.
‘It can also save you money if the mortgage rate you are already on is lower than any of your lender’s current deals.’
Mendes added: ‘Porting isn’t automatic approval. You must still pass affordability checks, and the new property must meet certain criteria.
‘Timelines can be tight, and chain complications can derail a port. You may also need a top-up loan at a different rate, changing the overall cost. Knowing the process and pitfalls upfront can save a deal from falling apart mid-move.’
10. Why is this deal best for me?
There are different types of mortgages available and your broker should help you find the best fit for you.
Mendes said: ‘The right structure should mirror your income pattern, savings habits, and tolerance for rate movement.
‘Fixes buy budgeting certainty, which can be invaluable for families or first-time buyers. Trackers can work if you can handle fluctuations and want the potential to benefit if rates fall. Offset mortgages can dramatically cut interest for savers and freelancers who carry cash balances.’
You will also need to be clear what, if any, early repayment charges apply and how much you can overpay if you are in a position to do so.
11. What documents will I need to provide?
Most mortgage application delays stem from paperwork gaps or inconsistencies.
Mendes said: ‘Having precise bank statements, payslips or SA302s, identity documents and deposit proof ready speeds things up.
‘Clean bank conduct in the run-up to application also helps underwriting. A detailed checklist from your broker can shave days or even weeks off the process.’
12. What happens if the mortgage application is rejected?
Mortgage applications do not always go smoothly and it is important to know what your broker will do if things do not go to plan.
If your initial mortgage application is declined, your broker should have a plan B.
Mendes said: ‘Criteria and appetite can shift mid-process, even for strong cases.
‘A prepared fallback avoids losing momentum and keeps your move alive.
‘Clear fee terms reduce anxiety if you have to switch lender or product. You want a broker who is proactive under pressure, not reactive after a setback.’
