What It Costs to Work With Me
On a normal bank or prime lender mortgage you pay me nothing. The lender pays my commission when your mortgage funds. On alternative and private files where the lender pays little or nothing, a broker fee applies, and it is disclosed in writing before you sign. Nothing is ever added quietly.
Who this is for
- You want to know exactly what you will pay before you hand over a single document.
- You have been quoted a broker fee and want to know whether it is reasonable.
- You are comparing a bank offer against a broker-arranged mortgage and want a like-for-like number.
- You are considering a private or second mortgage and need the total cost of borrowing, not just the rate.
- You are buying and want a full closing cost estimate before you make an offer.
How it works
- 1
Free consultation, always
The first conversation, the review of your current mortgage and the options I present cost nothing, whether or not you proceed.
- 2
Prime deals: the lender pays me
On A-lender purchases, refinances, switches and renewals, the lender pays a finder's fee on funding. My compensation does not change your rate, and you pay no broker fee.
- 3
Alternative deals: small or no broker fee
Near-prime B lenders charge a lender fee of roughly 0.5% to 1.5% and pay a partial commission. A broker fee applies only where that commission does not cover the work, and it is quoted up front.
- 4
Private deals: a disclosed broker fee
Private lenders pay brokers little to nothing, so a broker fee of 1% to 3% applies. Ontario law requires a written cost of borrowing disclosure, and you get it before signing.
- 5
You approve every dollar in writing
You see rate, term, lender fee, broker fee, legal, appraisal and the net amount you actually receive on one page. If the numbers do not work for you, you walk away at no cost.
What it costs
| Cost | Typical range | What it is |
|---|---|---|
| My consultation and advice | Free | Review, comparison and recommendations, with no obligation to proceed. |
| Broker fee: prime / A lender | $0 | Paid by the lender on funding. This covers most purchases, refinances, switches and renewals. |
| Broker fee: alternative / B lender | 0% to 1% | Applies only where the lender commission does not cover the file. Disclosed in writing first. |
| Broker fee: private lender | 1% to 3% of the loan | Standard in Ontario private lending. Usually deducted from the advance rather than paid in cash. |
| Lender fee | 0.5% to 5% | Charged by the lender itself. Near-prime is typically 0.5% to 1.5%, private is 2% to 5%. |
| Appraisal | $400 to $700 | An independent opinion of value. Required on most refinances and all alternative or private files. Rural properties cost more. |
| Legal fees and disbursements | $1,200 to $2,000 | Your real estate lawyer, title search, title insurance and registration. Private files add an independent legal advice fee. |
| Home inspection (purchases) | $400 to $650 | Optional but strongly recommended on resale homes. |
| Land transfer tax (purchases) | Varies by price | Provincial tax on closing, plus a second municipal tax inside Toronto. First-time buyers get a rebate of up to $4,000 provincially. |
| Default insurance premium | 2.8% to 4.5% of the loan | CMHC, Sagen or Canada Guaranty premium when the down payment is under 20%. Added to the mortgage balance. |
| Prepayment penalty | 3 months interest, or the IRD | Only when breaking a mortgage mid-term. On a fixed mortgage the interest rate differential can run into five figures. |
| Discharge fee | $275 to $400 | Charged by your existing lender in Ontario when a mortgage is paid out and removed from title. |
Every figure above is a typical Ontario range as of 2026, not a quote. Your file gets exact dollar figures in writing before you commit to anything.
Real numbers
Prime refinance, $520,000
- Broker fee
- $0
- Lender fee
- $0
- Appraisal
- $525
- Legal
- $1,450
- Discharge from old lender
- $350
- Total out of pocket
- About $2,325
Most of it can be rolled into the new mortgage, so many clients close with nothing paid in cash.
Private second mortgage, $80,000
- Rate (interest-only, 1 year)
- 10.9%
- Lender fee (3%)
- $2,400
- Broker fee (2%)
- $1,600
- Appraisal
- $550
- Legal, both sides
- $1,850
- Net funds you receive
- About $73,600
The full cost of borrowing, roughly $6,400 in fees plus $8,720 of annual interest, is on your disclosure before you sign.
Illustrative examples only. Your actual rate, payment and costs depend on your credit, income, property and the lender you qualify with.
FAQs
Do mortgage brokers charge a fee in Ontario?
Not on prime deals. The lender pays the broker a finder's fee when the mortgage funds, so the borrower pays nothing. A broker fee applies mainly on private and some alternative files where the lender pays little or no commission.
Does using a broker make my rate higher?
No. Lender-paid broker compensation is built into the lender's own cost structure and is the same across brokers. Broker channel rates are frequently lower than a bank's posted or branch-offered rate.
How much is a typical broker fee on a private mortgage?
In Ontario, 1% to 3% of the loan amount is standard, and it is normally deducted from the advance. Anything materially above that should be questioned.
When is the fee payable?
On funding. If your mortgage does not close, no broker fee is owed. Third-party costs already incurred, like an appraisal, are the exception.
What is a lender fee and why is it separate?
It is charged by the lender for underwriting and funding the loan, and it is entirely separate from anything paid to me. It appears as its own line on your disclosure.
Is the appraisal refundable if the deal falls apart?
No. The appraiser has done the work regardless of the outcome, so that cost stands.
Can the fees be added to the mortgage instead of paid in cash?
Usually yes, as long as the total stays within the lender's loan-to-value limit. Most clients close without writing a cheque.
What does the free consultation actually include?
A review of your current mortgage or purchase plan, a penalty calculation if one applies, options from multiple lenders in dollars, and a written recommendation. There is no charge and no obligation.