I'm very excited to announce a new product we have called a "2/1 Buydown". This program provides a 2% lower rate the first year, 1% lower the second year and back to market (current) rate the 3rd year.
Seller benefit: net much more money than doing a price reduction that would provide a buyer similar savings.
Buyer benefit: on a $400k loan save a massive $475/month the 1st year and $245/month the 2nd year. Know your rate/payment worst case in the 3rd year but likely able to refinance before this into a lower 30 year fixed.
WIN WIN!
With interest rates being higher right now with a high likelihood they will drop within the next couple of years, buyers will likely be able to refinance into a lower rate before the 3rd year.
The only condition on this is the seller has to pay the buy down fee which usually equates to about 2.25% of the loan amount.
Brandon Park
Brandon Park Team
Cornerstone Mortgage Group, LLC Georgia Residential Mortgage Licensee - 21412
Company NMLS - 147913
Office : (678) 365-0287
Web : brandonparkmortgage.com