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How Much Can a New Mortgage Broker Expect to Earn in Their First Year in the UK?
If you’re thinking about becoming a mortgage broker, one of the first questions you’re likely to have i:
“How much money will I actually make in my first year as a mortgage broker?”
It’s a fair question and an important one. Whether you’re leaving a salaried job or starting a new career in financial services, understanding your potential earnings will help you plan your finances and set realistic expectations.
In this guide, we’ll break down exactly how mortgage brokers get paid, what affects first-year income, realistic salary ranges, and how to increase your earnings quickly.
If you want to go deeper into the lead generation, sales strategies, and client retention systems that help brokers earn more, check out my YouTube channel here.
How Do Mortgage Brokers in the UK Get Paid?
Before you can work out how much you’ll earn as a mortgage broker, you need to understand the different income streams available in the industry. Most new mortgage advisers in the UK are paid through a combination of:
Mortgage procuration fees – Commission paid by the lender, usually a percentage of the mortgage loan amount. For example, if a lender pays 0.35% on a £200,000 mortgage, the commission is £700.
Broker fees – Fees you charge directly to your clients, which can range from £0 (no-fee broker) to £1,495 or more, depending on the complexity of the case.
Protection and insurance commission – Selling life insurance, critical illness cover, and income protection can significantly boost your income. Commissions on protection products are often higher than mortgage commissions.
Additional services – Some brokers also earn referral fees from services like wills, conveyancing, and property surveys.
If you want to see a real-world breakdown of these income streams and how to combine them effectively, watch my video: Mortgage Marketing That ACTUALLY WORKS!
What Factors Affect a New Mortgage Broker’s First-Year Earnings?
There’s no fixed number for a first-year mortgage broker salary because your income will depend on several key factors:
Employment model – An employed mortgage adviser typically has a basic salary (often £22,000–£30,000) plus a small commission. A self-employed mortgage broker has no guaranteed salary but can earn much more if they generate enough business.
Lead source – If you rely on estate agent leads or leads provided by your network, you’ll start earning faster but take home less per case due to splits. If you generate your own mortgage leads, your earnings can be higher but will take longer to build.
Market conditions – Housing market demand, interest rates, and lender criteria will all influence how many deals you can write.
Work rate and conversion rates – The number of client appointments you book, the quality of those leads, and how many you convert into completed cases.
Protection sales – New mortgage brokers who prioritise protection advice often earn double compared to those who focus solely on mortgages.
For a deep dive into sales techniques that boost broker income, check out my video: Mortgage SALES Tips That SKYROCKET Income!
How Much Does an Employed Mortgage Broker Earn in Their First Year?
If you start as an employed mortgage adviser, your first-year earnings will usually be more predictable:
Basic salary: £22,000 – £30,000
Commission: £3,000 – £8,000 depending on your performance and targets
Total first-year earnings: £25,000 – £35,000
This route offers financial stability but also comes with capped earning potential. Many new brokers take this path for the training, compliance support, and steady income before moving to self-employment.
How Much Does a Self-Employed Mortgage Broker Earn in Their First Year?
For a self-employed mortgage broker in the UK, earnings vary much more. If you’re working under a network or appointed representative (AR) firm:
Leads provided by network or introducer – £20,000 – £45,000 in year one, depending on volume and your case conversion rate.
Generating your own leads – £0 – £60,000+ depending on your marketing skills, network, and ability to win clients early.
If you want to learn how to generate more of your own business, watch my video: MORE Mortgage REFERRALS Than You Can Deal With!
How Much Can a High-Performing Mortgage Broker Earn in Year One?
It is possible for new mortgage brokers to break the £60,000 mark in their first year, but this is rare and usually comes down to:
Pre-existing client relationships from a previous financial services role
Exceptional sales skills
A strong focus on selling protection alongside mortgages
A high work rate and willingness to work evenings and weekends to build a client base
If you’re looking to create a structured business growth plan, I break this down step-by-step in my video: Mortgage Business GROWTH Plan
Why Do Many New Mortgage Brokers Earn Less Than They Expect?
Many new advisers overestimate their first-year income because they underestimate:
The time it takes for cases to complete – from application to commission payment can take weeks or months
Pipeline building – your first 3–6 months will be spent learning systems, building a client base, and getting referrals
The impact of lead quality – low-quality leads can waste hours without producing completed cases
Missed protection opportunities – failing to sell insurance means missing out on high-margin commission
What Can Mortgage Brokers Do to Increase First-Year Earnings?
If you want to outperform the average new mortgage broker salary in the UK, here are proven strategies:
Master your sales process and have a clear, structured approach to discovery calls, fact-finds, and submission calls so you convert more leads into paying clients
Prioritise protection sales and don’t wait until later to talk about life insurance, critical illness cover, and income protection
Leverage your personal network by letting friends, family, and local contacts know you’re open for business
Invest in marketing through social media, local networking, and content marketing to generate your own mortgage leads
Track your metrics including average case size, protection penetration rate, and number of completions per month
If you’d like a 30-day email series with quick wins to grow your mortgage business, grab my 30-Day Mortgage Broker Boost.
How Does First-Year Mortgage Broker Income Compare to Later Years?
The good news is that your first-year earnings are often the lowest you’ll ever have in the role. By year two or three, most brokers see their income increase significantly thanks to:
Remortgage business from clients helped in year one
Referrals from happy clients
Better efficiency allowing you to handle more cases and close higher-value loans
Recurring protection income from insurance policies that builds over time
What Is a Realistic Expectation for a First-Year Mortgage Broker Salary in the UK?
If you’re starting from scratch with no existing client base:
Employed mortgage broker: £25,000 – £35,000
Self-employed with leads provided: £20,000 – £45,000
Self-employed generating own leads: £0 – £60,000+ (high risk/high reward)
With focus, sales skills, and a strong protection strategy, you can push towards the higher end of these ranges, but most brokers should budget for a modest first-year income while building their pipeline.
Got a quick question? Leave a comment or message me directly on Instagram
Want tailored help to scale your mortgage business? Work with me 1:1 to streamline, grow, and increase your income.
Just starting out and need to get qualified? Use my code ASH50 for £50 off CeMAP courses at Future in Finance
