Called cashback, this lump sum is often marketed as free cash, but it is in fact funded by the mortgage interest paid by the borrower.
Source:[1] Mortgage lenders often provide incentives to allure new customers or retain existing ones.
They serve as part of a broader strategy to dissuade individuals from choosing a competitor.
These offers apply whether you're purchasing or constructing a new house, restructuring your current mortgage, financing an investment property, or considering refinancing.
Here are some of the common promotional offers used by mortgage lenders: This finance-related article is a stub.