A mortgage broker will broker the finance on a loan required to purchase a property. By sourcing multiple loan options from lenders and banks, mortgage broking services offer greater convenience, comparisons, and ultimately, better loan terms for home buyers and investors.
It’s no secret that those in the property industry tend to do well financially. So, how much does a mortgage broker actually earn, and how do they earn it? It may surprise you to learn that the salary for mortgage brokers is not fixed as with other real estate occupations – in fact, the salary for a mortgage broker can vary greatly depending on the broker themselves and the business model that they operate under.
What is the average mortgage broker’s salary in Australia?
As of 2026, the average annual salary of a mortgage broker in Australia is $100,000-$120,000 (SEEK). However, the salary does not take into account commissions.
Commissions are earned on top of the base salary and can range from $20,000-$100,000 per annum. Commissions are performance based and will vary depending on the experience of the broker, and the loans they’ve brokered for clients.
According to the Mortgage & Finance Association of Australia Industry Intelligence Service Report, the gross average annual earning for mortgage brokers in Sep 2023 was $192,354. This is more than double the median salary for a full-time worker in Australia ($90,500, according to 2025 ABS data).
Considering house prices throughout Australia have risen considerably from 2023-2026, current earnings are to be significantly higher.
Mortgage broker salary breakdown by experience
| Experience | Estimated base salary |
|---|---|
| Entry level (<1 year) | ~$50,000–$55,000 |
| Early career (1–4 years) | ~$60,000–$65,000 |
| Mid-career (5–9 years) | ~$66,000–$76,000 |
| Senior (10+ years) | ~$100,000+ |
Trend for national average gross mortgage broker earnings
| Period | National average gross earnings |
|---|---|
| Apr–Sep 2019 | $128,709 |
| Oct 2019–Mar 2020 | $141,329 |
| Apr–Sep 2020 | $151,772 |
| Oct 2020–Mar 2021 | $161,894 |
| Apr–Sep 2021 | $188,046 |
| Oct 2021–Mar 2022 | $195,534 |
| Apr–Sep 2022 | $195,356 |
| Oct 2022–Mar 2023 | $181,199 |
| Apr–Sep 2023 | $192,354 |
Data sourced from MFAA Industry Intelligence Service reports.
Average mortgage broker salary by state
Commissions are closely tied to the number of loans secured on behalf of clients. Demand is a major factor affecting the earning potential of mortgage brokers. Major cities like Sydney and Melbourne see a higher demand for home loans, translating to brokers in these cities with more opportunities to make earnings.
Looking at the average mortgage broker salaries across Australia, there is a clear distinction of how much mortgage brokers can earn in terms of base salary and commissions.
| State | Base salary (2026, SEEK) | Upfront commission | Trail commission | Total commission |
|---|---|---|---|---|
| NSW/ACT | $110,000 | $113,376 | $72,750 | $186,126 |
| VIC | $105,000 | $108,901 | $70,521 | $179,422 |
| QLD | $102,000 | $110,545 | $75,901 | $186,446 |
| WA | $107,500 | $92,403 | $83,046 | $175,449 |
| SA | $96,000 | $103,113 | $70,630 | $173,743 |
| TAS | $85,000 | $89,859 | $54,652 | $144,511 |
| NT | $80,000 | $66,405 | $82,808 | $149,213 |
Data sourced from MFAA Industry Intelligence Service Report 16th Edition, (Oct 2022 to Mar 2023)
As seen from the report, commissions make up a considerable amount of mortgage broker earnings – far exceeding the average base salary earned.
How do mortgage brokers earn money?
Most mortgage brokers will earn based on the loans they broker. Some will work for a company or a brokerage firm where they may earn a salary, but most will either work independently or earn commissions on top of their salary.
If a broker is experienced in the industry, the bulk of a mortgage broker’s earnings comes from the commissions they earn through writing loans on behalf of clients. For a new broker, the base is the bulk of their wage for many years. There are two main types of commissions that mortgage brokers earn: an upfront commission paid upon the first signing of a loan, and a trail commission that is earned periodically over the course of the loan.
Upfront commissions
An upfront commission will be paid by the bank or lender to a mortgage broker upon signing a new client who takes out a loan. An upfront commission is paid as a percentage of the loan amount that is signed. According to the Mortgage and Finance Association of Australia (MFAA), upfront commission generally ranges from 0.65-0.70% of the loan. This means that if a mortgage broker’s client takes out a loan of $700,000, the upfront commission will be $4,900 at a rate of 0.7%.
However, if the client decides to switch to another lender within the first two years of the loan term, lenders may be able to reclaim some or even all of the upfront commission that was previously paid to the mortgage broker and trail commission will stop. Brokers need to maintain supportive, nurturing ongoing relationships with their clients well after settlement, to ensure that their hard work is accounted for and that their clients are happy with their services and support.
Trail commissions
Trail commissions are paid to mortgage brokers over the course of the loan term as borrowers make the required payments. Ongoing trail commissions serve as an incentive for mortgage brokers to refer clients who are more likely to stay with the lender throughout the course of the loan (as opposed to refinancing with another lender). Trail commission amounts are a percentage of the balance of the loan, meaning that the commissions gradually get smaller over time, as the loan is repaid.
How do trail commissions work?
Trail commissions will be a smaller percentage than a one-off upfront commission, but because they are paid throughout the loan term, they often end up forming a large portion of a mortgage broker’s remuneration, once a broker has been established in industry for a long time and built up their portfolio. Understanding this concept is especially important for those who are new to mortgage broking or those who are looking to get into the industry.
The amount of trail commission earned is always highest after the first year of the loan. Using the same example of a loan of $700,000 and the average trail commission rate of 0.15%, a mortgage broker can expect to receive a yearly trail commission of up to $1,050 in the first year.
Assuming that the client pays off $150,000 in the following year, the trail commission amount will be reduced to $825. This continues each year until the loan is completely paid off, or if the client refinances the loan with another lender.
Recent updates to commissions for mortgage brokers
One of the biggest risks for mortgage brokers is the clients who switch from one lender to another, for more favourable rates, terms or better service. This can significantly impact the commissions earned by a mortgage broker and has a major point of negotiation between the mortgage broking industry and banks in Australia.
As of September 2024, major banks in Australia such as NAB, Westpac, and Commonwealth Bank have reduced the amount of commission that they can claw back from mortgage brokers if and when a client switches lenders early on into the loan. Changes implemented by NAB now allow the bank to only reclaim 6% of the commission if the home loan is closed after 2 years, down from the previous clawback percentage of 50%.
This is good news for both seasoned and aspiring mortgage brokers — it translates to a lower financial consequence for situations where borrowers decide to make a switch for their home loan.
Is mortgage broking a high earning career path?
Mortgage brokers settled $130.23 billion worth of new home loans alone in the September 2025 quarter – a 26.1% increase compared to the same period in the previous year, and the highest recorded value since.
Aside from the lucrative value of the industry as a whole, there is also clear demand and opportunity for mortgage brokers in Australia — the Mortgage & Finance Association of Australia’s latest industry report shows brokers wrote 75% of all new home loans in 2025.
If you are looking to become a mortgage broker in Australia, the first step is to get the right qualifications. The entry requirement for working as a mortgage broker is the Certificate IV in Finance and Mortgage Broking (FNS40821). If you are planning to work in a more senior role involving management or want to upgrade your skills and knowledge to handle complex lending enquiries, the Diploma of Finance and Mortgage Broking Management (FNS50322) is required. There are also mortgage broker traineeship programs in New South Wales and South Australia, as well as tailored mortgage broking workshops that can equip learners with industry-specific skills.
As a registered training organisation, Entry Education provides the full range of courses for individuals to obtain the necessary skills and qualifications to become a successful mortgage broker in Australia. Explore our range of real estate courses in Sydney, Melbourne, Brisbane, and all other states in Australia.
