Explore How a 2-1 Buydown Works
Interested in exploring more about how a 2-1 buydown works? The example below depicts a home purchase price of $450,000 with a 20% down payment and a loan amount of $360,000, assuming a qualifying mortgage note rate of 6.75%.
|Year||Effective Rate||Borrower’s Portion of Principal and Interest||Monthly Buydown Contribution||Annual Buydown Contribution|
How a 2-1 Buydown Loan Can Work For You
With just a small investment from the seller, a borrower can save monthly on the cost of their home and potentially use those funds elsewhere. As an example, a homeowner with a 2-1 buydown loan could have access to more cash for furniture and furnishings, appliance upgrades, paint, and other home items to invest further into the home of their dreams. By lowering a new homeowner’s out of pocket expense over the course of the first two years, a new homeowner utilizing a 2-1 buydown loan can access the financial lending option that fits their goals.
2-1 Buydown Solutions with Quaint Oak Mortgage
At Quaint Oak Mortgage, we strive to deliver you mortgage solutions that match your homebuying objectives. As a team, our goal is to provide personalized service and help you reach your dream of homeownership. Reach out for more information regarding 2-1 buydowns from a trusted Quaint Oak mortgage banker.