The $14.1 billion lending spike: Did you grab a cash-back?

December saw a record $14.1 billion in mortgage lending, driven by a massive surge in bank switching. Homeowners refinanced to secure lucrative cash-back offers, which major banks had increased to 1.5% of the loan value.

This trend was led by financially 'safe' borrowers with lower debt-to-income ratios. While the largest cash-backs have since been reduced, smaller incentives may still be available for those with fixed rates expiring soon, meaning more switching activity is possible.