Do mortgage brokers
charge fees? How brokers
get paid in Canada.
On a standard prime mortgage the lender pays the broker — the advice is free to you. When a fee can apply, and how it’s always disclosed.
Transparent on every
dollar, every time.
On a prime mortgage, the service is free to you. On any other file, you see every number in writing before you commit.
Free on prime mortgages
On standard prime "A" purchases and renewals, the lender pays our compensation when your mortgage funds — not you. The pre-approval, the shopping, and the advice are all included at no direct cost.
No fee to get started
No fee to get pre-approved, no fee for advice, and no obligation to proceed. You can walk away at any point — we only earn anything when your mortgage funds and you are happy to proceed.
Every fee in writing, upfront
Any borrower-paid broker fee is disclosed in writing, in dollars, before you sign — alongside any lender fee and other closing costs. You see exactly who charges what, separately, before you commit.
We shop the market first
We compare 100+ lenders on every file. A borrower-paid fee only comes up when a fee-free option genuinely won't work for your situation — we show you fee-free paths first, every time.
Three questions to ask
before you sign anything.
Who pays. What’s in writing. What the full cost looks like. That order matters.
Ask how the broker is paid
At the first conversation, ask plainly: "Who pays you on my file, and is there any fee to me?" On a standard prime mortgage the answer should be that the lender pays. If your file may need an alternative or private lender, a straight broker tells you that a fee could apply before any application goes out.
Get every cost in writing
Before you sign, you should receive a written disclosure that sets out the mortgage terms, the cost of borrowing, any broker fee and any lender fee in dollars. In Ontario, the brokerage must also disclose any material conflict of interest, such as a lender volume-bonus program.
Decide with the full picture
Compare the total cost, including rate, fees and penalties, against your other options. On a prime deal the lender pays the broker only once your mortgage funds. If a borrower-paid fee was disclosed and you agreed to it, it is handled at closing, never as a surprise.
Every file is different.
Here’s how fees work.
Tap any situation below to see how broker compensation applies to it.
If you’re…Applying for a standard prime mortgage
Applying for a standard prime mortgage
The lender pays our compensation when your mortgage funds — no cost to you for the advice, the pre-approval, or the shopping across 100+ lenders.
Start my pre-approvalIf you’re…Your file needs a B-lender or alternative mortgage
Your file needs a B-lender or alternative mortgage
B-lender deals can carry a broker fee alongside a separate lender fee. We tell you upfront if your file is heading there and disclose the exact dollar amount before any application goes out.
Review my optionsIf you’re…You're considering a short-term private mortgage
You're considering a short-term private mortgage
Private mortgages typically carry both a broker fee and a lender fee on top of a higher rate. We show you the full cost and map the exit strategy to a lower-cost lender so it works as a planned bridge.
Explore private optionsIf you’re…You're wondering whether the broker's commission inflates your rate
You're wondering whether the broker's commission inflates your rate
Your rate is set by the lender's pricing and your own profile, not by what the broker earns. Because we compare 100+ lenders, our incentive is to bring you a competitive rate — that's how we win the file.
See today's ratesIf you’re…You want to know what gets disclosed before you sign
You want to know what gets disclosed before you sign
In Ontario you're entitled to written disclosure of all fees, the cost of borrowing, and any conflict of interest — at the earliest opportunity, no later than two business days before you commit.
Get the full pictureIf you’re…Comparing a broker to going directly to your bank
Comparing a broker to going directly to your bank
A bank pays its own staff out of the margin on your mortgage — you never see that itemised. A broker compares 100+ lenders on one application, with no extra cost on prime files and your rate unchanged.
Compare my optionsWho pays the mortgage
broker, by lender type.
Compensation depends mostly on which kind of lender funds your mortgage. Your own file’s numbers are always disclosed in writing before you commit.
| Lender type | Who usually pays the broker | Borrower-paid broker fee? | Separate lender fee? |
|---|---|---|---|
| Prime (A-lender)Most common | The lender, when your mortgage funds | Not on standard purchases or renewals | Not on a standard A-lender file |
| B-lender (alternative) | Often the lender, but it varies by lender and file | Can apply, depending on the file | Common on B-lender mortgages |
| Private lender | Usually the borrower, through a broker fee | Usually applies | Usually applies |
General pattern only — not a quote. Every fee on your file is disclosed in writing before you sign. See our compensation disclosure.
Common questions,
plain answers.
Fees, disclosure rules, commissions, and when a borrower-paid fee applies — answered honestly.
Do mortgage brokers charge fees in Canada?
On most prime mortgages, no. The lender pays the brokerage a commission, sometimes called a finder’s fee, when your mortgage funds, so there is no direct cost to you for the pre-approval, the shopping or the advice. A borrower-paid broker fee can apply on some B-lender, private or complex files, and it must be disclosed to you in writing before you commit.
How much does a mortgage broker cost?
On a standard prime purchase or renewal, a mortgage broker typically costs you nothing, because the lender pays. On alternative or private files the cost depends on the lender, the loan and how much work the file takes, so there is no single number that applies to everyone. A trustworthy broker will not guess at a fee before seeing your file, and will give you the exact amount in writing before you sign anything.
How do mortgage brokers get paid if I don’t pay them?
The lender pays them. When a broker places your mortgage and it funds, the lender pays the brokerage for sourcing and packaging a qualified borrower. It is the lender’s cost of finding business through brokers instead of through its own branches. Some lenders pay an upfront amount, some pay a smaller ongoing trailer, and some offer volume bonuses, which must be disclosed as a conflict of interest.
Does the broker’s commission make my rate higher?
Your rate is set by the lender’s pricing for your product and by your own profile: credit, income, down payment and the property. The lender’s payment to the broker is not added to your rate or payment as a separate charge. Because a broker compares many lenders, the way to win your business is to find a competitive rate. You can check current pricing on our rates page.
What is the difference between a broker fee and a lender fee?
A broker fee is paid to the brokerage for arranging the mortgage. A lender fee is charged by the lender itself, usually on B-lender or private mortgages, to cover its higher risk and setup. They are separate charges, and on an alternative or private file you may see both. Your written disclosure should list each one on its own line so you know exactly who is charging what.
When would I pay a broker fee myself?
Borrower-paid broker fees show up mainly on files that a prime lender won’t approve as is: private mortgages, some B-lender deals, and complex or time-sensitive files that take substantial work to structure. On those deals the lender often pays the broker little or nothing. The fee should be weighed against the alternative, which is sometimes no approval at all.
How are mortgage broker fees disclosed?
In Ontario, a licensed brokerage must give you a written disclosure covering the mortgage’s material terms, costs and cost of borrowing, plus any conflict of interest, before you commit. It must be given at the earliest opportunity and no later than two business days before you commit.
Can a mortgage broker charge me a fee upfront?
Only in limited cases. In Ontario, a brokerage may charge an upfront fee or retainer only on loans above $400,000; it must be paid to the brokerage (not the individual agent or broker) and not in cash. Any fee should be disclosed to you in writing, with the amount and what it covers, before you commit. We do not deduct any fee from your mortgage funds without your written consent. If someone asks for money before explaining in writing what it is for, stop and ask questions, or check their licence on FSRA’s public registry.
Is using a mortgage broker cheaper than going to my bank?
On a prime mortgage, using a broker usually costs you nothing extra, and a broker compares 100+ lenders instead of one bank’s shelf. A bank pays its own staff out of its margin, which you never see itemized. Whether a broker saves you money on your file depends on the rate, terms and penalties available, so compare the whole offer, not just the headline rate.
We’ll try to beat your rate.
If we can’t, we pay you $500.¹
¹ Rate Beat: eligible Big-6 bank written offers only · same product, term & amount · $500 paid to you or your nominated charity at closing · conditions apply
Find a specialist in your city
Mortgage broker fees work the same way across Canada — but the lenders we access and the products that make sense for your file can vary by market. Find your local advisor.