Flat Fee Mortgage Broker

At Albion Forest we consider ourselves a Flat Fee Mortgage Broker.

How Much Do We Charge?

At Albion Forest Mortgages & Teacher Mortgages we are not a Fee Free mortgage broker. However, we consider ourselves a flat fee mortgage broker.

We want you to know from the outset how much you will be charged, and why you will be charged that amount. Our fees vary depending on the complexity of your case. So no, we are not a completely fee free Mortgage Broker. However, we are very up front about what we charge and why.

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But How Much?

We generally charge a fee of ÂŁ199.00 on application for a mortgage. This is to cover the cost of our research and time.

Depending on your situation there may be another fee called a Broker fee. This is a one time, lifetime fee. It covers you for life, once you are one of our clients we will help you with all your mortgage needs for as long as you want us.

Do You Ever Not Charge A Broker Fee?

Yes! A perfect example of this is for Teachers. We waive our Broker fees, which is why you could consider us a fee free mortgage broker. However, we prefer Flat fee mortgage broker.

The reason we waive our fees for Teachers is because we work with Teachers day in and day out. This means we have usually seen your problems before and can deal with them quickly. This time saved is passed on to you as we waive our broker fees.

So you could consider us a fee free mortgage broker for Teachers.

Flat Fee Mortgage Broker For Lifetime Clients

As our broker fee covers you for life, we would generally consider ourselves a flat fee mortgage broker for our existing clients as well.

Our lifetime clients get the bonuses of:

  • Mortgage advice
  • Protection advice
  • Home insurance advice
  • And much more..

Do You Ever Charge More?

Sometimes, but not very often. As we have said before our fees depend on the complexity of a case. So if it is a very complex case that will be time consuming we may charge more.

We also sometimes charge less, so always get in touch and ask us and we will tell you up front.

What Are The Pros And Cons Of Paying A Fee?

 

Pros

Cons

As the advisor charges a fee they won’t need to speak to as many clients to make a living.

It will cost a few hundred pounds usually.

If charging a fee they will likely have extras such as Admin Support, Protection specialists 

There aren’t really any more cons.

As they don’t speak to as many clients they have more time to spend on you and your case. Usually giving a much more personal service.

 

How Does A Fee Free Mortgage Broker Get Paid?

For a Fee free mortgage broker they tend to get paid by the lender. This is a small payment from the lender to the mortgage broker.

You can see this usually in the first section of any mortgage illustration a broker sends you.

Does Paying A Flat Fee Mortgage Broker Affect What Mortgages Are Available?

Nope! Some mortgage brokers don’t have access to every lender out there. In fact no mortgage broker can access every lender out there as some don’t offer products through intermediaries.

However, for the most part mortgage brokers have access to the same lenders. With the exception of some exclusive products and mortgage rates.

Is it normal to pay a fee for a mortgage broker?

Most Mortgage brokers will charge you a fee. This may vary depending on your situation and the advisor you are speaking with. At Albion Forest Mortgages we are a Flat fee mortgage broker and therefore charge a flat fee for our services.

Sometimes we discount that fee, for example Teachers get a discount through our Teacher Mortgages brand.

Most brokers charge up to 1% of your mortgage, which means if you have a £300,000 mortgage you could potentially be paying a £3,000 flat fee. However, as we charge a flat fee is doesn’t matter if your mortgage is £100,000 or £1,000,000 the fee would be the same.

What is a normal broker fee?

Normal broker fees will vary from a few hundred pounds up to a few thousand potentially. Many mortgage brokers will charge depending on the size of your mortgage. This is where having a flat fee mortgage broker will benefit you as they will not charge extra for a larger mortgage.

How much commission does a mortgage broker make UK?

Mortgage brokers usually receive a procuration fee from the lender, this is usually around 0.35% of the loan. As this can be quite a small amount on small mortgages it is normal for a broker to charge a fee as well.

How do mortgage brokers make money?

Mortgage brokers usually make money from 2 sources:

  • The customer will usually pay some form of fee
  • The lender will pay a procuration fee

These combined make up how a mortgage broker is paid for their services. Many mortgage brokers will charge a percentage fee as well, which can get quite costly if you are borrowing larger amounts.

Are mortgage broker fees refundable?

Your mortgage broker will generally confirm what fees are refundable. It will most likely depend on your situation.

Sometimes mortgage brokers will charge fees up front, but they may be refundable if you do not receive a mortgage offer.

However, this is entirely up to the mortgage broker and you may find that none of the fees are refundable.

Are mortgage broker fees a one-off fee?

Sometimes mortgage brokers may charge a lifetime fee. This means that you pay it once and you won’t have to pay it on subsequent mortgage advice.

This can be beneficial for you in the long term, as it will save you money, especially if it makes up the bulk of the cost of getting mortgage advice.

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Why Albion Forest?

  • Raising The standards of financial advice
  • Making financial advice accessible to all
  • Trusted & stress-free financial advice
  • Friendly, personable advisors

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