Temporary Buydown Program

This is an option that may help during this time of rising mortgage rates. A 2-1 Temporary Buydown means your rate the first year is 2% less, 1% less in year two, then goes to the full rate for years 3-30.  So, for example, if your rate is 7% on the loan, it would be 5% for the first year, 6% for the second year, then 7% for the remainder of the term.  This helps you to adjust during the early part of your loan. You may refinance at any time should interest rates drop.

* Multiple Options Available:  3-2-1 Temp Buydown, 2-1 Temp Buydown, and 1-1 Temp Buydown.
* Fixed Rate Only (Conventional, FHA, VA) - First-Time Homebuyer Programs allowed*.
* Purchases - Primary and Second Homes
* Seller or Buyer Paid Program Cost Options. (If Seller Paid, can be structured into the purchase contract)
* Must qualify based on full rate
* No pre-payment penalty - May refinance (balance of funds held in escrow would be credited towards the loan payoff)
*** Lender programs vary *** - Some are restricted to seller paid only. 

Program Cost Calculator Available in Mortgage Calculators Resources Section.