SELLER BUYDOWNS
You are less than 60 seconds away from your quote.
Resume from where you left off. No obligations.
SELLER BUYDOWNS
Price
Down
Loan
No points rate
Price
Down
Loan
No points rate
Today’s “no points” interest rate for a strong borrower purchasing that property for $2.5 million with 25% down would be 3.625%.
But, if the seller credits 3 points to the buyer to buy down the interest rate, the buyer would instead get a 2.875% interest rate.
The 3 point credit would cost the seller $56,250 and the buyer’s monthly payment would end up $770 LOWER than it would be at 3.625% (today’s “no points” rate).
In contrast, if the buyer buys the house for $2.4 million (with no seller credit for a rate buydown) at today’s market rate of 3.625%, his payment would $320 HIGHER than it would be at the higher price with the rate buydown.
Get in touch with us to learn how.
Resume from where you left off. No obligations.