How mortgage brokers work
Mortgage brokers are intermediaries:
- They work with multiple lenders (banks and non-banks) and a wide range of products.
- They assess your situation and recommend suitable lenders and products.
- They manage much of the application, follow-up and paperwork on your behalf.
Benefits of using a broker
1. Access to a wider range of products
Brokers can see beyond a single bank’s offering and may access:
- Fixed and variable rates from multiple banks
- Non-bank lenders who work primarily through brokers
- Niche products for self-employed borrowers, FTBs, switchers and those using state schemes
2. Specialist advice
Brokers specialise in mortgages and understand:
- Central Bank rules on LTV and LTI
- Different lenders’ underwriting “quirks”
- How schemes like Help to Buy and the First Home Scheme interact with different lenders
3. Time-saving
A broker can:
- Gather quotes from several lenders
- Help you prepare documents once, then re-use them across applications if needed
- Chase underwriters and respond to queries for you
4. Negotiation power
Because brokers place business with lenders regularly, they can often:
- Access exclusive or improved rates
- Ask lenders to review margins or conditions in borderline cases
- Suggest tweaks to your application to make approval more likely
5. Personalised service
Many brokers offer one main contact who:
- Understands your goals and constraints
- Explains trade-offs clearly (e.g. shorter term vs higher repayments)
- Supports you from Agreement in Principle to drawdown
How banks compare
Banks are direct lenders:
- You apply directly to the institution that will lend you the money.
- You’re limited to that bank’s own range of products.
Benefits of going directly to a bank
1. Direct relationship
- You may already have current accounts, savings or a credit card with the bank.
- Some people like having everything in one place and a long-standing relationship with one provider.
2. Potential customer discounts
- Some banks offer loyalty discounts or special rates to existing customers (e.g. current account holders or salary mandate customers).
3. Perceived simplicity
- Going straight to your bank can feel more straightforward - one brand, one system, one set of documentation.
However, “simple” isn’t always “cheapest” or “most suitable”, particularly in a market where rates and criteria vary widely.
Which is right for you?
You might lean towards a broker if:
- You want to compare multiple lenders and products
- Your situation is complex (self-employed, multiple incomes, previous credit issues)
- You’re using Help to Buy / First Home Scheme and want to see which lenders work best with them
You might lean towards a bank if:
- You strongly prefer a direct relationship
- You only want one provider for all your financial products
- You’ve already done your research and know your bank is competitive for your case
In practice, many Irish buyers use a broker at least for an initial comparison and then decide whether to proceed through that broker or deal directly with a bank. Any recommendation should be based on your individual financial circumstances and regulatory requirements, so you can make the decision that’s genuinely best for you.