Are you looking at getting a mortgage in the near future? Chances are good that you’ve seen a wide variety of advertisements, and you’ve heard all sorts of information from friends and family. If friends think that they’ve often a good deal, they have a tendency to try to pass along the deal to you as well. Sounds good, right?

Well, in a sense it really is sweet of them to try to get you a great deal. But the truth is that you might be in over your head trying to take a deal without looking into it fully.

Cashback mortgages are on the rise, but a lot of people aren’t really sure what they entail. This guide is all about summarizing them for the casual mortgage shopper.

In a nutshell, the mortgage gives you cash on top of the money that you need to borrow just to purchase the home. Most people use this extra cash to pick up furniture or even to further finance the moving costs.

Lenders have their reasons for promoting this type of mortgage — it benefits them in the long run. It creates a certain loyalty. Once you finish paying off this mortgage, chances are good that you’ll go to them for another one. As you move through life buying properties, you’re much more likely to go to the same entity that was good to you in the first place.

It’s a marketing ploy, but it’s one that you might pursue if you really need the extra money and you can’t seem to get a better offer from a real bank. You just need to make sure that you weigh all of your options. But of course, when you really need money you have to do whatever it is that you think would be best.

Now is the perfect time to shop around for mortgages. The rates are going down, and that means that lenders will expect quite a few customers. There are going to be some teaser offers, but you should also get a great deal. This is also a good time to check your credit report for any errors, as lenders will be checking your credit as much as possible.