Cash Back Home Loan Offer
Since 2011, some lenders have been offering borrowers home loan cash back should they undertake finance with that institution. The cash back offers made by lenders come mainly to entice would be borrowers to take finance through themselves in a competitive lending environment.
Lenders who offer Home Loan Cash Back?
There are a few different types of lenders who offer cash backs in Australia in 2015. These lenders can include any of the following:
- Major banks
- Regional banks
- International banks
- Finance companies
- Credit Unions
Any of the above types of lenders could be offering cash backs throughout the year, and it is best to speak to a Mortgage Providers broker to get an idea of which lenders have that special on offer.
Home Loan Cash Back purpose
You could get a home loan Refinance cash back offer from a lender for either a refinance or a purchase. Some lenders will offer the cash back for one purpose, whilst others will offer the cash back for either or both purposes. Either way, the main reason lenders are offering cash back on a home loan is to entice you to take up a loan through their institution and be competitive in the mortgage market. The cash back is the sweetener that we all like!
Amount of Cash Back given for a home loan?
The amount that some lenders are offering as a cash back incentive will vary depending on the lender. This can also depend on how hungry they are for new business. Nonetheless, you will find that the lender may be offering anything up to $2500 as a Cash Back to switch over and refinance your loan with them.
Cash back on Commercial loans?
There are a very small number of commercial lenders who will offer Cash Back on refinancing your commercial loan over to them. Most of these incentives are given to pay for commercial valuations and exit costs from your existing lender. Some of these incentives can be from several hundred dollars to more than $30,000 to cover a valuation and exit fees from the previous lender.
If you are considering refinancing, then it is highly recommended that you contact a Mortgage Providers broker who can guide you through which lenders offer the best home loan cash back offer, whilst at the same time offering you are great product and interest rate.