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Spoiler: It’s happening right now.
Let’s get real: for most of us, monthly mortgage payments are the OG, take-no-prisoners expense—our biggest, longest-running, most committed relationship (unless you count your Netflix subscription). But let’s face it, mortgages have never given back: no cashback, no points, not even a simple “thanks for the six figures.” Just the privilege of paying it… all over again next month.
But that’s finally changing.
The market is already testing mortgages that offer cashback. Several of the Big Five banks hand out one-time cashback at closing—usually between 1% and 7% of your mortgage. People often use this to cover closing costs, furniture, or renovations. It’s a decent perk, but it’s a one-shot deal and only at closing.
Now, a few fintechs are taking it further, promising—among future features—to offer monthly cashback or credits for home expenses. It’s the same rewards logic credit cards have wielded for decades, but now it’s coming to homeownership. We’ve been watching this trend closely.
Here’s the best part: you don’t have to wait for a distant future. The shift—where your mortgage actually rewards you—is here now.
Cue the mic drop:
Neobanc is now offering mortgage cashback, starting today. (Yes, that might just be the most satisfying sentence you’ll read this rent cycle.)
Why does this matter? Because it’s more than a money-back gimmick—this retools the economics of homeownership. Adding cashback means your largest debt can finally give something back, nudging you forward instead of just draining your finances. It acknowledges that loyalty should be mutual—and that decades of mortgage payments shouldn’t feel like beating your head against a financial wall.
What the Data Says (Because We’re Not Just Dropping Punchlines)
Cashback mortgages aren’t brand new. Canada’s Big Five already offer them, but with tradeoffs: slightly higher interest rates or repayment if you break the term early. The smarter strategy is ongoing cashback—a wealth-building tool that pays you back monthly and can be used right away.
Bottom line (Cashback for mortgages? Finally!):
Your mortgage doesn’t have to be a one-way street anymore. The market has been inching toward this for a long time, and now we’re already there—giving you instant cashback, not just endless bills. You’ve been feeding your mortgage thousands and getting nothing in return; it’s about time it gave something back.
Mortgages are becoming reward-eligible right now, with the market currently testing and implementing cashback programs. Canada's Big Five banks already offer one-time cashback rewards of 1% to 7% at closing, while newer fintechs like Neobanc are now offering ongoing monthly cashback options. This shift represents a fundamental change where mortgages can finally provide rewards similar to credit cards.
Several of Canada's Big Five banks currently offer cashback mortgages, typically providing between 1% and 7% cashback as a one-time payment at closing. Additionally, fintech companies like Neobanc are now entering the market with ongoing monthly cashback programs. These traditional bank offers usually come with tradeoffs like slightly higher interest rates or repayment requirements if you break the term early.
Traditional mortgage cashback offers from major banks typically range from 1% to 7% of your mortgage amount, paid out once at closing. This one-time payment is often used to cover closing costs, furniture purchases, or home renovations. Newer ongoing cashback programs are emerging that provide monthly credits instead of a single lump sum.
Cashback mortgages from traditional banks often come with tradeoffs including slightly higher interest rates compared to standard mortgages. Additionally, you may be required to repay the cashback amount if you break your mortgage term early. These conditions can offset some of the initial financial benefits of receiving the cashback.
Mortgage rewards can be worthwhile as they turn your largest monthly expense into a wealth-building tool that gives something back. The key is choosing ongoing monthly cashback over one-time payments, as this provides continuous value throughout your mortgage term. Since mortgage payments represent most people's biggest ongoing expense, earning rewards on them can significantly impact your finances over time.
One-time mortgage cashback is paid at closing as a lump sum (typically 1-7% of the mortgage) and can only be used once for immediate expenses like closing costs or renovations. Monthly mortgage cashback, offered by newer fintech companies, provides ongoing credits or cashback that you receive regularly throughout your mortgage term. The ongoing approach functions more like credit card rewards and can be used immediately each month.
Cashback mortgages provide a percentage of your mortgage amount back to you, either as a one-time payment at closing or as ongoing monthly credits. Traditional bank offerings give you 1-7% upfront at closing, while newer programs provide monthly cashback that works similarly to credit card rewards. The goal is to make your mortgage payment work for you by returning value instead of being a purely one-way expense.
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