Not all mortgage brokers are equal. Some are sharp, well-connected advisers who’ll save you thousands and steer you past traps you didn’t know existed. Others are order-takers who’ll push you toward whichever lender is easiest for them. The difference isn’t always obvious upfront, but the right five questions will surface it fast.
Here’s what to ask, and what good answers sound like.
1. How many lenders are on your panel?
A broker’s value comes partly from choice. A broker with a panel of 20–30 lenders can compare far more options than one with a handful.
What a good answer sounds like: A specific number, usually 20+, and a willingness to explain which lenders they work with and why. Be wary of vague answers, or a broker who only ever seems to recommend one or two lenders regardless of the situation.
This is also why most buyers benefit from a broker over going direct, see mortgage broker vs bank for the full comparison.
2. How are you paid, and will you show me the commission?
Brokers are paid commission by lenders, that’s normal and regulated. What matters is transparency. A good broker explains their commission structure plainly and shows you the disclosure in writing.
What a good answer sounds like: “I’m paid by the lender, here’s the disclosure document, and here’s why the loan I’m recommending is right for you regardless of what it pays me.” Australian regulation requires brokers to act in your best interests, not chase the highest commission. A broker who’s cagey about this is a red flag.
3. Why this lender and this loan, for me specifically?
This is the question that separates advisers from form-fillers. A good broker can explain exactly why a particular lender and product fit your situation, your income type, your deposit, your goals, your circumstances.
What a good answer sounds like: Specific reasoning tied to your file. “This lender treats your bonus income more favourably,” or “this product’s offset suits your savings pattern,” or “this lender is faster for auction timelines.” A generic “it’s a good rate” isn’t enough.
4. What happens after settlement?
Plenty of brokers vanish the moment the loan settles. The good ones stay in the relationship, reviewing your loan periodically, flagging when a better deal appears, and being there for your next move.
What a good answer sounds like: A described process, an annual review, a check-in when rates move, a point of contact you can actually reach. This matters more than people realise, because the loan that’s right today won’t be right in three years.
5. Have you worked with my type of situation before?
Whether you’re a first home buyer, self-employed, an investor, or navigating a tricky credit history, experience with your specific scenario matters. Lender policies differ enormously by borrower type, and a broker who’s done it before knows the shortcuts.
What a good answer sounds like: Genuine familiarity with your situation, ideally with examples. A first-home-buyer specialist who knows the ACT schemes cold is worth more to a Canberra FHB than a generalist.
Want to put these questions to the test? Book a no-obligation 15-minute call with Harbir, ask all five, and see how the answers land. No pressure to proceed.
Book a 15-min call → · 0461 117 777
Bonus: the questions a good broker will ask you
The relationship runs both ways. A broker who asks you good questions is doing their job. Expect to be asked about your income and its structure, your existing debts, your goals (live in it, rent it, upgrade later), your timeline, and your appetite for features like offset and redraw. A broker who doesn’t ask much, and jumps straight to a product, hasn’t done the work to recommend properly.
Red flags to watch for
Alongside the good answers, a few warning signs are worth noting. Be cautious if a broker pressures you toward a decision before you’ve seen the comparison, dismisses your questions about commission, only ever mentions one or two lenders, can’t clearly explain why a particular loan suits you, or goes quiet the moment you ask about what happens after settlement. None of these are automatically disqualifying on their own, but a pattern of them suggests you’re dealing with someone processing applications rather than advising you. The right broker treats your questions as reasonable due diligence, because they are.
The bottom line
The five questions above take about ten minutes to ask and tell you almost everything about whether a broker is worth working with. A good broker welcomes them, a poor one gets defensive.
If you’d like to ask them of someone who’ll answer straight, book a 15-minute call with Harbir.
Frequently Asked Questions
Q1. What questions should I ask a mortgage broker?
Ans. The five essentials: how many lenders are on their panel, how they’re paid, why they’re recommending a specific lender for you, what happens after settlement, and whether they’ve handled your type of situation before.
Q2. How do I know if a mortgage broker is good?
Ans. A good broker has a wide lender panel, is transparent about commission, gives file-specific reasoning for their recommendations, offers ongoing support, and has experience with situations like yours.
Q3. Should a mortgage broker show me their commission?
Ans. Yes. Australian regulation requires commission disclosure in writing. A broker who’s reluctant to share it is a warning sign.
Q4. How many lenders should a mortgage broker have on their panel?
Ans. Most established brokers have 20–30 lenders. The exact number matters less than whether they genuinely compare across them rather than defaulting to one or two.
Q5. Do mortgage brokers have to act in my best interest?
Ans. Yes. Under Australian Credit Licence rules, brokers have a best-interests duty, they must recommend the loan most suited to you, not the one paying them most.
Q6. What should a mortgage broker ask me?
Ans. About your income and its structure, existing debts, goals, timeline, and feature preferences. A broker who doesn’t ask much hasn’t done the work to recommend properly.
Q7. Does it cost anything to talk to a mortgage broker?
Ans. Usually nothing. Brokers are paid commission by the lender after settlement, not by you. An initial conversation is typically free and no-obligation.
Q8. What happens after my loan settles?
Ans. With a good broker, an ongoing relationship, periodic reviews, alerts when better deals appear, and a contact for your next move. Lesser brokers disappear after settlement.
Q9. Should I use a specialist broker for my situation?
Ans. If your situation is non-standard, self-employed, investor, complex credit, a broker experienced in that area is worth seeking out. Lender policies vary hugely by borrower type.
Q10. Can I change brokers if I’m not happy?
Ans. Yes. You’re not locked in. If a broker isn’t answering these questions well, you’re free to find one who does.
This guide is general information only and doesn’t take into account your personal situation. For advice specific to your circumstances, book a call with Harbir Singh, Credit Representative 506564 of BLSSA Pty Ltd ACN 117 651 760, Australian Credit Licence 391237.
