I was wondering if anyone out there has a broker relationship where a broker brings loan applicants to an institution and performs the required number of services to "earn" his payment. Are you paying a flat fee or a % of income earned on the loan? Any responses are appreciated. Thanks.

It would have to be reasonable and justified. If you pay a percentage of income, that becomes hard to equate to the actual work performed.

Thanks for your answer. Let's assume that the fee is reasonable and justified. The loan closes in the bank's name before being sold on the secondary market. The broker is paid a portion of SRP. Even though SRP is not required to be disclosed since it is a separate event, I am thinking we still need to disclose the full amount paid to the broker even if a portion is coming from the SRP. Would this be accurate?