What Does a Mortgage Broker Do?

Published 28 September 2026

The below article has information contained within that was correct at the time of publication but is subject to change. This is for information purposes only and does not constitute advice.

What Does a Mortgage Broker Do?

Written by Doug Miller, Director at Lansdown Financial Services.

Doug Miller is a mortgage broker and co-founder of Lansdown Financial Services, based in Bath, quoted in 30+ news articles including the Guardian, Sky News, This is Money and the Sun.

If you’re buying a home or remortgaging, you might be wondering whether you actually need a mortgage broker. After all, you can approach your bank directly or search for mortgage deals online.

So what does a mortgage broker do, and what are the benefits of using one?

A mortgage broker, also known as a mortgage adviser, helps you find and arrange a suitable mortgage based on your financial circumstances. They assess your borrowing options, compare lenders and mortgage products, recommend an appropriate deal and help manage the application through to your mortgage offer.

But a good mortgage broker does considerably more than simply find a competitive interest rate.

Key Points: The Short Version

Don’t have time to read the full article? Here are the six key things you need to know.

• A mortgage broker helps you find a suitable mortgage: They assess your finances, borrowing requirements and lender criteria before recommending a mortgage.
• They can compare multiple lenders: A whole-of-market mortgage broker can consider products from a broad range of banks, building societies and specialist lenders, rather than being tied to one provider.
• They help with the entire application: From calculating borrowing potential and arranging a Mortgage in Principle to submitting your application and dealing with lender queries.
• They can be particularly useful for complex circumstances: Including self-employed applicants, company directors, contractors and borrowers with multiple income sources.
• A mortgage broker doesn’t always charge a fee: Some charge clients directly, while others receive a payment from the mortgage lender.
• Lansdown Financial Services provides free mortgage advice: We’re a whole-of-market mortgage broker with access to more than 70 lenders and don’t charge clients a separate broker fee for our mortgage advice.

The bottom line: A mortgage broker helps you understand your borrowing options, identify suitable lenders and navigate the mortgage process. The value isn’t simply finding a low interest rate — it’s finding a mortgage that works for your circumstances and helping you get it arranged.

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The Full Guide: What Does a Mortgage Broker Actually Do?

Want to understand the detail? Below, we explain what happens when you use a mortgage broker, how brokers compare lenders, what they charge and when professional mortgage advice can be particularly valuable.

In This Guide

• What a mortgage broker is
• What happens when you use a mortgage broker
• How brokers find suitable mortgage lenders
• Mortgage brokers versus going directly to a bank
• How much a mortgage broker costs
• When using a mortgage broker can be beneficial
• Frequently asked questions

What Is a Mortgage Broker?

A mortgage broker is a qualified professional who helps individuals find and arrange mortgages.

You’ll also hear the term mortgage adviser, which is generally used interchangeably.

A mortgage broker acts as an intermediary between you and the mortgage lender.

Instead of approaching individual banks and building societies yourself, a broker can assess your requirements, research suitable mortgage products and recommend an option based on your circumstances.

However, not every mortgage broker provides access to the same lenders.

Some advisers work exclusively for one bank or building society, while others are restricted to a particular selection of lenders.

Whole-of-market mortgage brokers can consider products from a much wider range of lenders, although this doesn’t necessarily include every mortgage available directly to consumers.

At Lansdown Financial Services, we’re a whole-of-market mortgage broker with access to more than 70 lenders, including familiar high-street banks, building societies and specialist mortgage providers.

What Does a Mortgage Broker Do? Step by Step

The mortgage process can involve several stages, from working out your budget to obtaining a formal mortgage offer.

A mortgage broker can guide you through each stage, explaining what’s required and helping you avoid unnecessary complications.

Stage	What your mortgage broker does
1. Understand your circumstances	Reviews your income, deposit, expenditure, credit history and future plans.
2. Assess affordability	Establishes how much you may be able to borrow under suitable lenders’ criteria.
3. Research mortgage options	Compares lenders, interest rates, fees, product features and eligibility requirements.
4. Arrange a Mortgage in Principle	Obtains an initial lending decision where appropriate.
5. Recommend a mortgage	Explains the proposed product and why it’s suitable for your circumstances.
6. Submit your application	Completes the mortgage application and provides supporting documentation to the lender.
7. Manage the application	Deals with lender queries, monitors progress and supports you through to the mortgage offer and completion.

1. Understanding Your Financial Circumstances

The first thing a good mortgage broker should do isn’t search for the cheapest mortgage rate.

It’s understand what you’re trying to achieve.

We’ll look at your income, employment, deposit or property equity, existing financial commitments and future plans.

We’ll also consider the property you’re buying or remortgaging.

These details matter because lenders have different requirements, and the mortgage with the lowest advertised interest rate isn’t necessarily available or suitable for everyone.

2. Working Out How Much You Can Borrow

One of the most useful things a mortgage broker can do is help you understand your borrowing potential.

Mortgage lenders assess affordability differently.

They’ll consider your income alongside commitments such as loans, credit cards, childcare and other regular expenditure.

The type of income you receive can also make a difference.

For example, one lender may take a different approach to bonuses, commission, overtime or self-employed earnings than another.

Rather than relying solely on a generic income multiple, we can assess how suitable lenders are likely to view your individual circumstances.

This can give you a more realistic idea of your property budget before you start searching.

3. Finding a Suitable Mortgage Lender

Mortgage lenders don’t all apply the same lending criteria.

One lender may be comfortable with your circumstances, while another may not be.

This is particularly relevant if you’re self-employed, recently changed jobs, receive irregular income or have a more complicated financial background.

A mortgage broker’s understanding of lender criteria can help identify which providers are more likely to consider your application.

We also compare mortgage products based on more than their advertised interest rates.

Product fees, cashback, early repayment charges, overpayment allowances and overall borrowing costs can all influence the recommendation.

The lowest headline interest rate isn’t always the cheapest or most suitable mortgage.

4. Arranging a Mortgage in Principle

A Mortgage in Principle, sometimes called an Agreement in Principle or Decision in Principle, provides an initial indication of how much a lender may be prepared to lend.

It’s often useful before you begin seriously viewing properties.

It can help you understand your budget and demonstrate to estate agents that you’ve taken steps towards arranging mortgage finance.

At Lansdown Financial Services, we can arrange a Mortgage in Principle with an appropriate lender once we’ve reviewed your circumstances.

Mortgage in Principle validity periods vary by lender, with many lasting around 90 days.

Importantly, a Mortgage in Principle isn’t a guaranteed mortgage offer.

The lender will still need to assess your full application, supporting documentation and the property itself before making a formal lending decision.

5. Submitting Your Mortgage Application

Once you’ve found a property and had your offer accepted, we’ll review your mortgage options again.

This is important because mortgage pricing may have changed since your initial conversation.

We’ll now also know the exact purchase price, property details, mortgage amount and loan-to-value ratio.

Once you’ve agreed to proceed with our recommendation, we’ll prepare and submit your full mortgage application.

This includes providing the information and documents requested by the lender.

6. Managing the Application Through to Completion

Our involvement doesn’t finish when the mortgage application is submitted.

The lender will carry out underwriting checks and assess the property, which may involve a mortgage valuation.

Additional information or documents may be required.

We’ll liaise with the lender, respond to queries where appropriate and keep you informed as the application progresses.

Once the lender is satisfied, it can issue a formal mortgage offer.

We can also help with mortgage-related questions that arise between the offer being issued and your purchase or remortgage completing.

For first-time buyers in particular, having someone explain the process and deal with lender requirements can make a significant difference.

Mortgage Broker vs Going Directly to a Bank

You don’t have to use a mortgage broker to arrange a mortgage.

You can approach a bank or building society directly, and for some borrowers that may be perfectly suitable.

However, there are important differences between the two approaches.

Using a mortgage broker	Going directly to a bank
Can compare products from multiple available lenders.	Generally considers that bank’s own mortgage products.
Can assess different lenders’ eligibility criteria.	Assesses your circumstances against its own criteria.
Recommends a suitable mortgage from the products within the broker’s scope.	Provides advice or information about its own products.
Can manage applications and liaise with lenders on your behalf.	You’ll deal directly with the bank throughout the process.
May charge a broker fee, although some provide free advice.	No separate intermediary broker fee, but mortgage product fees may apply.

Some lenders offer direct-only products that aren’t available through mortgage brokers, so no single route necessarily provides access to every deal.

Our view: If you’re arranging a substantial financial commitment, it makes sense to understand the wider mortgage options available rather than assuming your existing bank will automatically offer the most appropriate deal.

How Much Does a Mortgage Broker Cost?

The cost of using a mortgage broker varies.

Some brokers charge their clients a fee, which might be a fixed amount or a percentage of the mortgage.

Others provide free mortgage advice and receive payment from the mortgage lender when the mortgage completes.

Some brokers receive both a client fee and a payment from the lender.

Your mortgage broker should explain any charges and how they’re paid before you proceed.

How Does Lansdown Financial Services Offer Free Mortgage Advice?

At Lansdown Financial Services, we don’t charge clients a separate broker fee for our mortgage advice.

Instead, we’re paid a procuration fee by the mortgage lender when a mortgage completes.

This means you can benefit from professional mortgage advice without paying us a broker fee.

Normal mortgage-related costs, such as lender product fees, valuations, legal fees and other applicable charges, may still apply.

Importantly, receiving payment from a lender doesn’t change our responsibility to recommend a suitable mortgage based on your individual circumstances.

When Is Using a Mortgage Broker Particularly Useful?

A mortgage broker can help borrowers with relatively straightforward circumstances, but specialist knowledge can become especially valuable when your situation is more complicated.

Self-Employed Applicants and Company Directors

Self-employed borrowers and company directors can face additional considerations when proving income.

Different lenders assess salary, dividends, business profits and retained earnings differently.

Understanding these differences can help identify suitable lenders without unnecessarily restricting your options.

Contractors, Bonuses and Multiple Income Sources

If you’re a contractor or receive substantial bonuses, commission or other variable income, lenders may assess your earnings in different ways.

Some may accept income that others treat more conservatively.

A mortgage broker can help you understand which lenders are likely to consider your income structure.

First-Time Buyers

If you’re buying your first home, the mortgage process can feel unfamiliar.

A broker can help establish your budget, arrange a Mortgage in Principle, explain different mortgage products and manage the application.

Remortgaging

Mortgage brokers aren’t just for people buying property.

If your existing mortgage deal is ending, we can review the options available from your current lender and compare them with the wider mortgage market.

Sometimes staying with your existing lender through a product transfer may be the most appropriate option.

In other circumstances, switching lenders could offer better value.

It’s generally worth reviewing your mortgage around six months before your current deal expires.

Moving Home

If you’re moving property and already have a mortgage, we’ll look at whether you can transfer your existing mortgage to the new property, commonly known as porting.

We’ll also consider early repayment charges, additional borrowing requirements and whether another mortgage would offer better overall value.

Just because a mortgage can be ported doesn’t automatically mean doing so is the best choice.

Does a Mortgage Broker Always Recommend the Lowest Interest Rate?

Not necessarily.

A lower interest rate doesn’t automatically mean a lower total borrowing cost.

For example, one mortgage might offer a slightly lower interest rate but charge a £1,999 arrangement fee.

Another might have a marginally higher rate with no product fee.

Which is cheaper depends on the mortgage balance, the products’ interest rates, the period you’re comparing and any other applicable costs.

A broker should also consider features that matter to you, such as early repayment charges, overpayment flexibility and how long you want to fix your interest rate.

The aim is to recommend the most suitable mortgage, not simply the lowest number on a comparison table.

Frequently Asked Questions About Mortgage Brokers

Is a Mortgage Broker the Same as a Mortgage Adviser?

Generally, yes. The terms mortgage broker and mortgage adviser are commonly used interchangeably.

Both refer to professionals who help borrowers understand mortgage options and arrange suitable products.

Does Using a Mortgage Broker Improve Your Chances of Getting a Mortgage?

A mortgage broker can’t guarantee approval.

However, understanding different lenders’ criteria can help identify providers more likely to accept your circumstances.

This can be particularly useful if you have complex income, a small deposit or previous credit issues.

Can I Use a Mortgage Broker If I Already Have a Mortgage?

Yes. Mortgage brokers can help with remortgaging, product transfers, moving home, additional borrowing and reviewing existing mortgage arrangements.

You don’t need to be purchasing a property to benefit from mortgage advice.

How Do I Know Whether a Mortgage Broker Is Regulated?

You can check the authorisation status of mortgage firms through the Financial Conduct Authority’s Financial Services Register.

It’s also worth asking what range of lenders the broker can consider, whether they charge a fee and how they are paid.

How Lansdown Financial Services Can Help

At Lansdown Financial Services, mortgage advice is what we do every day.

Whether you’re buying your first home, moving property, remortgaging or have more complex financial circumstances, our award-winning mortgage advisers can help you understand your borrowing options and identify suitable lenders.

We’ll take the time to understand your circumstances, assess your affordability, research mortgage products and manage your application through the lending process.

As a free, whole-of-market mortgage broker with access to more than 70 lenders, we provide straightforward, personalised advice without the jargon.

You don’t need to know which bank to approach or which mortgage to choose before speaking to us.

That’s what we’re here to help with.

Looking for a mortgage, or wondering whether a mortgage broker could help you?

Contact Lansdown Financial Services or call 01225 459515 to speak to one of our award-winning mortgage advisers for free, expert mortgage advice.

Your home may be repossessed if you do not keep up repayments on your mortgage.

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About the Author

Written by Doug Miller, Director at Lansdown Financial Services.

Doug Miller is a mortgage broker and co-founder of Lansdown Financial Services, based in Bath, quoted in 30+ news articles including the Guardian, Sky News, This is Money and the Sun.

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