Mortgage broker or bank direct: which way to apply?

You can apply for a mortgage in two ways. Go to a bank yourself, or use a broker who applies to lenders for you. This guide explains what a broker does, how they are paid, when they help most, and the questions to ask.

What a broker does

A broker, also called a mortgage advisor, is a middle person between you and the lenders. They:

• Look at your income, deposit and record and say which lenders are likely to lend.
• Put together your application and send it to one or more lenders.
• Deal with the lender's questions while the file is read.
• Chase the approval in principle and the loan offer.

A broker must be on the Central Bank's register of regulated firms. Search the register for the broker's name before you talk to them. See the mortgage advisor page for what to ask.

How a broker is paid

In most cases, the lender pays the broker. The payment is a commission, a share of the loan, paid when the money is drawn down. You pay nothing. Our costs list puts the typical fee to you at €0, with some brokers charging up to about €500.

Some brokers charge you a fee as well as, or instead of, the commission. They must tell you the fee in writing before you engage them. If a broker asks for a fee, ask what it covers and whether it is refunded if no loan draws down.

Commission has a pull. A broker paid by lenders has a reason to place your loan. The Consumer Protection Code requires a broker to act in your best interest and to tell you which lenders it works with. Ask for that list.

Going direct

Going direct means applying to a bank or lender yourself, in a branch or online. You get that lender's products only. You deal with the lender's own staff. There is no fee.

Direct suits a clear case: a permanent job, a clean record, a deposit in a savings account, and a lender whose products you already know. The three big banks, AIB, Bank of Ireland and PTSB, lend both direct and through brokers. EBS and the credit unions lend direct only.

Who lends which way

Five lenders only lend through brokers. If you go direct, you cannot reach them. Rates at October 2026 run from about 3% to 4% across the lenders, depending on the fixed term, the loan-to-value and the home's BER. The rates comparison lists every lender's rates in one table, and the lenders page describes each one.

When a broker helps most

• An exemption. You want to borrow above 4 times income. A broker knows which lenders still have room in their 15% share this month. See mortgage exemptions.
• Self-employed. Lenders read accounts in different ways. A broker knows which one reads yours well. See mortgages for the self-employed.
• A past problem. A missed payment two years ago, a restructured loan, a job change. A broker knows which lender takes an explanation.
• A non-standard home. An old house, a flat over a shop, a site for a self-build.
• No time. A broker handles the paperwork and the chasing.
• Reaching the broker-only lenders. Five of the ten lenders are only available through a broker.

A worked example

Ciara is a nurse on €52,000 with €38,000 saved. Her own bank gives her approval in principle for €208,000, which is 4 times her income. She wants a home at €280,000, so she needs €252,000. That is 4.85 times her income, above the limit.

She goes to a broker. The broker says two lenders are giving exemptions this month and one of them lends only through brokers. The broker applies to both. One offers €240,000. The other says no. Ciara now has a choice she did not have going direct, though she is still €12,000 short of the price she wanted. The broker is paid by the lender if the loan draws down. Ciara pays no fee.

When going direct is enough

• A clear case, where any lender would say yes.
• You already bank with a lender and want its rate.
• The product you want is from a direct-only lender, such as EBS or a credit union.
• You are switching an existing loan and have already compared the rates.

Going direct and using a broker are not exclusive. Many people get an approval in principle from their own bank, then ask a broker whether another lender would do more.

Questions to ask a broker

1. Are you on the Central Bank's register? Under what name?
2. Which lenders do you work with? Which do you not?
3. How are you paid? Is there a fee to me, and when is it due?
4. Which lender do you think suits my case, and why?
5. Will you apply to more than one lender?
6. How long does approval in principle take with you?
7. What happens if a lender says no?
8. Who do I complain to if something goes wrong?

Get the answers in writing. The Consumer Protection Code requires a broker to give you a terms of business document that answers most of them.

Comparing for yourself

The rates tables on this site are built from the lenders' published rates. You sort the table yourself, and every page links the CCPC's official comparison.

The mortgage advisor page explains how to find a broker and check the register. The enquiry form on this site covers solicitors, surveyors, mortgage advisors and the other professions, never insurers.

Where this leaves you

Compare the lenders' rates on the rates comparison, sorted the way that matters to you. Then decide whether your case is a clear one for going direct, or one where a broker's reach helps. The first-time buyer journey shows the steps after approval, and get quotes finds a solicitor and a surveyor when you have a home in mind.