How Much Should a Mortgage Broking Business Budget for Marketing?

10 September 2026·3 min read

Quick answer: Most mortgage broking businesses budget 3–6% of revenue (or roughly 5–10% of gross commission for a solo broker) on marketing, weighted toward referral partnerships with real estate agents and financial planners, plus a well-run database nurture, rather than broad lead-generation ads. A solo broker might spend $600–$1,500/month; a small brokerage with several writers might spend $3,000–$8,000/month. 🏦📈

Mortgage broking runs on trust and timing — someone doesn't need you until they suddenly, urgently do. That means the marketing budget question isn't really "how do we get more leads," it's "how do we make sure we're the name that comes to mind the second someone needs a broker." Most brokers get this backwards, chasing paid leads that convert poorly instead of building the referral relationships that convert brilliantly. 💖

What most brokers get wrong

The biggest mistake is buying generic third-party leads and treating that as "the marketing budget," while the free, warm channel — referral partners and past clients — gets no budget or attention at all. The second is a website and Google Business Profile that don't clearly show current rates context, service area and specialties (first home buyers, refinancing, commercial), so paid traffic lands somewhere generic.

The usable asset: a broker marketing budget split

35% — Referral partnerships: time, co-marketing materials and relationship-building with real estate agents, buyers agents and financial planners.
25% — Database nurture: a CRM and a simple rate-change or review-time email/SMS sequence to past clients — refinancing is often the easiest deal to win back.
20% — Local findability: Google Business Profile, local SEO, reviews.
20% — Targeted paid or content: a modest, trackable campaign for a specific niche (first home buyers, self-employed borrowers) rather than generic "home loans" ads.

A solo broker two years in: stopped buying third-party leads entirely and put $500/month into a simple monthly email to past clients plus quarterly catch-ups with three real estate agents — refinance and repeat business became their biggest source within a year, at close to zero cost per lead.

A four-broker brokerage: used part of a $5,000/month budget to run a small, targeted campaign specifically for first home buyers, with a dedicated landing page and a simple guide as the offer — cheaper and better-converting than their old "home loans, low rates" generic ad.

How to actually set the number

Start at 4% of revenue, then look honestly at where your last ten deals actually came from. If seven came from two referral partners, that tells you exactly where the next dollar of budget and time should go — long before you spend anything on cold acquisition.

💡 A rate-change or fixed-term-expiry alert to your own database is one of the highest-converting emails you'll ever send. It's relevant, it's timely, and it's going to people who already trust you.

Mistakes to avoid

Spending most of the budget on generic third-party leads while your own past-client database sits untouched.
Running the same broad "home loans" ad for every borrower type instead of a specific niche with a dedicated page.
Treating referral partner relationships as a one-off coffee rather than an ongoing, two-way system.
Letting your Google Business Profile and reviews lapse — often the first thing a referred prospect checks before calling.

Please note: general information, not financial or compliance advice — check current ASIC and best interests duty guidance before finalising any marketing or advertising content for a credit representative or brokerage.

Frequently asked questions

Are third-party leads worth it at all?

They can work as a top-up for a brand new broker with no database yet, but conversion rates are typically much lower than referral or repeat business — budget for them cautiously and track the real cost per settled loan, not just per lead.

How much should go toward compliance-checked content?

Factor real time into the budget — content touching rates, borrowing capacity or specific advice needs a compliance eye, and that time has a cost even if no cash changes hands.

What's the fastest way to grow a referral partner network?

Consistency over cleverness — a simple, regular update to a small number of genuine partners usually outperforms a big one-off pitch to a long list.

Does this budget change in a rising or falling rate environment?

Yes — refinance-focused nurture becomes more valuable when rates move, since existing clients are actively thinking about their loan. Keep the database campaign flexible rather than fixed to a set-and-forget schedule.