Compare cashback mortgages

Cashback mortgages pay a cash lump sum if your purchase is successful. Compare the interest rates and fees of every mortgage that offers cashback to see which deals are the most competitive.

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899 results found, sorted by affiliated products by lowest initial rate. How we order our comparisons. Commission earned affects the table's sort order.
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Halifax 2 year fixed cashback mortgage
Maximum LTV
60%
Maximum cashback
£250
Initial rate
1.44% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.5% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,495 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Halifax 5 year fixed cashback mortgage
Maximum LTV
60%
Maximum cashback
£250
Initial rate
1.49% fixed until 31 May 2027
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.2% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,495 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 31 May 2023

- then 4.00% of amount paid, until 31 May 2024

- then 3.00% of amount paid, until 31 May 2025

- then 2.00% of amount paid, until 31 May 2026

- then 1.00% of amount paid, until 31 May 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 2 year fixed cashback mortgage
Maximum LTV
75%
Maximum cashback
£250
Initial rate
1.49% fixed until 30 Apr 2024
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.7% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 30 Apr 2023

- then 1.50% of amount paid, until 30 Apr 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 2 year fixed cashback remortgage
Maximum LTV
75%
Maximum cashback
£250
Initial rate
1.49% fixed until 30 Apr 2024
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.5% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 30 Apr 2023

- then 1.50% of amount paid, until 30 Apr 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Yorkshire Building Society 2 year fixed cashback mortgage
Maximum LTV
80%
Maximum cashback
£250
Initial rate
1.54% fixed until 30 Apr 2024
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.7% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 30 Apr 2023

- then 1.50% of amount paid, until 30 Apr 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 2 year fixed cashback remortgage
Maximum LTV
80%
Maximum cashback
£250
Initial rate
1.54% fixed until 30 Apr 2024
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.5% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 30 Apr 2023

- then 1.50% of amount paid, until 30 Apr 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Halifax 2 year fixed cashback mortgage for first time buyers
Maximum LTV
60%
Maximum cashback
£250
Initial rate
1.56% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.7% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£995 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 2 year fixed cashback mortgage
Maximum LTV
85%
Maximum cashback
£250
Initial rate
1.57% fixed until 30 Apr 2024
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.7% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 30 Apr 2023

- then 1.50% of amount paid, until 30 Apr 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 3 year fixed cashback mortgage
Maximum LTV
75%
Maximum cashback
£250
Initial rate
1.57% fixed until 30 Apr 2025
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.6% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, before 30 Apr 2023

- then 2.50% of amount paid, until 30 Apr 2024

- then 1.50% of amount paid, until 30 Apr 2025

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 3 year fixed cashback remortgage
Maximum LTV
75%
Maximum cashback
£250
Initial rate
1.57% fixed until 30 Apr 2025
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.2% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, before 30 Apr 2023

- then 2.50% of amount paid, until 30 Apr 2024

- then 1.50% of amount paid, until 30 Apr 2025

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Halifax 2 year fixed cashback remortgage
Maximum LTV
60%
Maximum cashback
£500
Initial rate
1.61% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.7% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,495 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Lloyds Bank 2 year fixed cashback remortgage for people with an existing current account
Maximum LTV
80%
Maximum cashback
£750
Initial rate
1.61% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.6% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,499 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Scotland
Available in Wales
Existing Customer Typecurrent account
Existing Customer Only
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Yorkshire Building Society 5 year fixed cashback mortgage
Maximum LTV
75%
Maximum cashback
£250
Initial rate
1.61% fixed until 30 Apr 2027
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.3% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 30 Apr 2023

- then 4.00% of amount paid, until 30 Apr 2024

- then 3.00% of amount paid, until 30 Apr 2025

- then 2.50% of amount paid, until 30 Apr 2026

- then 1.50% of amount paid, until 30 Apr 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Halifax 2 year fixed cashback mortgage for first time buyers
Maximum LTV
75%
Maximum cashback
£250
Initial rate
1.62% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.7% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£995 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 2 year fixed cashback remortgage
Maximum LTV
85%
Maximum cashback
£250
Initial rate
1.62% fixed until 30 Apr 2024
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.5% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.50% of amount paid, before 30 Apr 2023

- then 1.50% of amount paid, until 30 Apr 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Yorkshire Building Society 5 year fixed cashback remortgage
Maximum LTV
75%
Maximum cashback
£250
Initial rate
1.64% fixed until 30 Apr 2027
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
2.9% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 30 Apr 2023

- then 4.00% of amount paid, until 30 Apr 2024

- then 3.00% of amount paid, until 30 Apr 2025

- then 2.50% of amount paid, until 30 Apr 2026

- then 1.50% of amount paid, until 30 Apr 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Lloyds Bank 5 year fixed cashback remortgage for people with an existing current account
Maximum LTV
75%
Maximum cashback
£750
Initial rate
1.67% fixed until 31 May 2027
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.2% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,499 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 31 May 2023

- then 4.00% of amount paid, until 31 May 2024

- then 3.00% of amount paid, until 31 May 2025

- then 2.00% of amount paid, until 31 May 2026

- then 1.00% of amount paid, until 31 May 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Scotland
Available in Wales
Existing Customer Typecurrent account
Existing Customer Only
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Halifax 5 year fixed cashback mortgage for first time buyers
Maximum LTV
60%
Maximum cashback
£250
Initial rate
1.68% fixed until 31 May 2027
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.4% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£995 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 31 May 2023

- then 4.00% of amount paid, until 31 May 2024

- then 3.00% of amount paid, until 31 May 2025

- then 2.00% of amount paid, until 31 May 2026

- then 1.00% of amount paid, until 31 May 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers Only
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Lloyds Bank 2 year fixed cashback remortgage for people with an existing current account
Maximum LTV
80%
Maximum cashback
£750
Initial rate
1.71% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.6% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Scotland
Available in Wales
Existing Customer Typecurrent account
Existing Customer Only
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Halifax 2 year fixed cashback remortgage
Maximum LTV
60%
Maximum cashback
£500
Initial rate
1.73% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.6% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£995 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Lloyds Bank 5 year fixed cashback remortgage for people with an existing current account
Maximum LTV
75%
Maximum cashback
£750
Initial rate
1.74% fixed until 31 May 2027
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.2% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£999 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 31 May 2023

- then 4.00% of amount paid, until 31 May 2024

- then 3.00% of amount paid, until 31 May 2025

- then 2.00% of amount paid, until 31 May 2026

- then 1.00% of amount paid, until 31 May 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Scotland
Available in Wales
Existing Customer Typecurrent account
Existing Customer Only
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Yorkshire Building Society 3 year fixed cashback mortgage
Maximum LTV
80%
Maximum cashback
£250
Initial rate
1.75% fixed until 30 Apr 2025
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.6% APRC
The initial rate will be followed by a rate of 3.75% until 30 Apr 2027 (0.74% discount on SVR).
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 3.00% of amount paid, before 30 Apr 2023

- then 2.50% of amount paid, until 30 Apr 2024

- then 1.50% of amount paid, until 30 Apr 2025

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 5 year fixed cashback mortgage
Maximum LTV
80%
Maximum cashback
£250
Initial rate
1.76% fixed until 30 Apr 2027
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
3.3% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 30 Apr 2023

- then 4.00% of amount paid, until 30 Apr 2024

- then 3.00% of amount paid, until 30 Apr 2025

- then 2.50% of amount paid, until 30 Apr 2026

- then 1.50% of amount paid, until 30 Apr 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
First Time Buyers
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Self Employed Accepted
Yorkshire Building Society 5 year fixed cashback remortgage
Maximum LTV
80%
Maximum cashback
£250
Initial rate
1.76% fixed until 30 Apr 2027
Subsequent rate (SVR)
4.49% variable
Overall cost for comparison
2.9% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion fee£495 with an option to add to the loan
Product feeNo fee
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 5.00% of amount paid, before 30 Apr 2023

- then 4.00% of amount paid, until 30 Apr 2024

- then 3.00% of amount paid, until 30 Apr 2025

- then 2.50% of amount paid, until 30 Apr 2026

- then 1.50% of amount paid, until 30 Apr 2027

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted
Halifax 2 year fixed cashback remortgage
Maximum LTV
75%
Maximum cashback
£500
Initial rate
1.79% fixed until 31 May 2024
Subsequent rate (SVR)
3.74% variable
Overall cost for comparison
3.7% APRC
More information
Application feeNo fee
Arrangement feeNo fee
Booking feeNo fee
Completion feeNo fee
Product fee£1,495 with an option to add to the loan
Additional information

Early repayment charge

If you pay all or part of your mortgage early you will be charged:

- 2.00% of amount paid, before 31 May 2023

- then 1.00% of amount paid, until 31 May 2024

Other fees may apply.

Eligibility
Available Direct
Available in England
Available in Northern Ireland
Available in Scotland
Available in Wales
Max age at term end80 years
Minimum Age18 years
Permanent UK Resident
Remortgage Available
Remortgage Only
Self Employed Accepted

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

Overall representative example

Based on borrowing£170,000 over 25 yearsThe overall cost of comparison3.75% APRC representative
Initial rate2.19% fixed for 2 years (24 instalments of £726.81pm)Subsequent rate (SVR)4.02% variable for the remaining 23 years (276 instalments of £888.06pm)
Lender fee£552Total amount payable£263,101.10

What is a cashback mortgage?

Cashback mortgages give customers a cash lump sum, or cashback, when they buy a property. The cashback is paid out when the mortgage starts and can be worth hundreds or even thousands of pounds.

Cashback mortgages, also called cash back mortgages, are popular with first-time buyers eager to bank some money. But, long term, they can often be more expensive than the best first-time buyer mortgages on the market.

Criteria for cashback mortgages

To qualify for a cashback mortgage, you will need to meet the lender’s eligibility criteria. Depending on the lender, this can mean that:

  • You have saved into the lender’s cashback-based savings account

  • You hold your current account with the lender

You might also have to be a first-time buyer in some cases, but there are also cashback mortgages for those remortgaging. 

If you are unsure if a cashback mortgage is right for you, speak to a mortgage broker before committing to anything.

Pros and cons of cashback mortgages

Before deciding whether you want to apply for a cashback mortgage, make sure you weigh up the pros and cons:

Pros

  • You will receive a cash lump sum that can be used as you like

  • The funds can help reduce the overall costs associated with buying a new home

Cons

  • Cashback mortgage rates can be higher, which means your monthly payments will also be more expensive

  • Mortgage fees on cashback mortgages can also be less competitive

  • There might be tighter restrictions on mortgage overpayments and early repayment penalties

Should I get a cashback mortgage?

Getting a cashback payment with your mortgage after buying a property can be tempting as the extra money can take the sting out of the lender’s charges. However, cashback mortgages do not always offer the best rates and can end up costing you more overall.

To work out if a cashback mortgage is worth it:

  • Check how much you will repay each month over the cashback mortgage deal’s term

  • Compare the monthly repayments with non-cashback mortgage deals

Interest rates on cashback mortgage deals

A cashback mortgage may not be worthwhile if the lump sum is less than the interest you will save by taking out an alternative mortgage deal.

For example, if your mortgage cashback is £500, and you would save £600 more over the term with a different type of mortgage, the cashback mortgage is not worth it.

Watch out for charges when applying for mortgages with cashback, as the mortgage fees you will have to pay are usually more than you get back.

Here is help deciding which mortgage type to choose

How to find the best mortgage cashback offers

Getting cash when you complete your house purchase can be extremely tempting when you have a lot of expenses, including solicitor fees and moving costs, but you may end up paying more in the long run as interest rates tend to be higher.

Compare cashback mortgage deals in the table above to find the lowest initial rate, but don’t forget to factor in the cost of any fees when comparing products.

Alternatively, you can use our mortgages homepage to compare all mortgage types.

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Last Updated: 22 January 2022

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Why compare mortgages with money.co.uk?

Comparing mortgages could help you save money. Our award-winning loan comparison service makes sure you get our best interest rates. Our aim is to provide you with the most up-to-date information, as well as useful tools and calculators to help you make life's most important decisions and take control of your money.

Proud to be award winning

We have always aimed to provide the best possible services to bridge the gap between our users and our clients. Over the years, we have been thrilled to be recognised by various prestigious bodies and organisations for those efforts.