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Trail Book Valuation Calculator

Three numbers, one estimate. Your figures never leave this page.

Estimated book value

$206,250

range $187,500 – $225,000 · 2.75× annual trail ($75,000/yr)

General information only — not credit advice. Figures are indicative estimates and may not reflect your circumstances. Consider seeking advice from a licensed professional before acting on this information.

See how MyLoanBook tracks this for you

How it works

  1. Annual trail is your loan book multiplied by the average trail rate. A $50m book at 0.15% p.a. earns $75,000 of trail a year before splits.
  2. Trail books change hands as a multiple of annualised trail. The calculator starts at 2.75× and moves it up or down with your run-off: a book losing 5% of loans a year earns a richer multiple than one losing 25%.
  3. The multiple is clamped between 1.5× and 4.0×, which covers the range of private sales and broker valuations we see reported in Australia. The range shown is ±0.25× around the estimate.

Assumptions

  • Trail rate is applied to the whole book; real books mix rates by lender and product.
  • Run-off is the only quality adjustment. Buyers also look at loan age, lender concentration, arrears and how much of the book is still inside a clawback window.
  • Figures are ex-GST and before your aggregator split.

Frequently asked questions

How is a mortgage trail book valued in Australia?

Almost always as a multiple of annualised trail income. Reported private sales in FY2024–25 clustered around 2.5× to 3.5×, with cleaner, younger books at the top of that range. Buyers then adjust for run-off, arrears, lender mix and how much upfront commission is still inside a clawback window.

What multiple should I use for my book?

Start at 2.75× and be honest about run-off. If you lose fewer than 10% of loans a year and most of your book is more than two years old, 3× or better is realistic. If run-off is above 20% or a lot of loans settled recently, buyers will discount.

Does the estimate include clawback exposure?

No. Loans settled in the last 24 months carry a clawback liability that a buyer will price in separately. Use the clawback calculator to see how much upfront commission is still at risk.

Why does run-off change the value so much?

Because a buyer is paying for future trail, and run-off is the rate at which that trail disappears. Halving run-off can move a book from below 2.5× to above 3× in this model, and it compounds every year the book is held.

Further reading

MyLoanBook runs these numbers on your real commission file, every month.

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