Eugene Mortgage News

We can give our clients extra flexibility with a lower monthly payment by offering a Temporary Rate Buydown to lower their interest rate at the start of their loan. It’s a great option for our clients who expect an increase in their income in the next few years or who have excess seller concessions to use — and want to take advantage of a low fixed rate.

Seller-paid 1- and 2-year buydown options

  • 2-1 buydown of 2% in the first year and 1% in the second year. By the third year, they are at the full rate.
  • 1-0 buydown of 1% in the first year. By the second year, they are at the full rate.
  • See an example of the potential savings on a 2-1 temporary buydown:
  • Our clients must qualify for the full monthly payment (before the buydown rate is applied)
  • Seller concessions are deposited as a lump sum into a buydown account. A portion of this sum is released each month to reduce the borrower’s monthly payments.

We have other suggestions as well.  Please contact Stepping Stone Mortgage at 541-683-3300 with any questions you may have about mortgage home loans.

Posted by Mike Herborn on March 8th, 2023 1:16 PM

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Stepping Stone Mortgage

NMLS-235749 ML-3770

1140 Willagillespie Rd., Suite 13
Eugene, OR 97401