Ep. 5 - How to Get a Lower Rate on Your Mortgage | Daniel Halvorsen

What if I told you homeowners could pay lower monthly principal and interest payments for the first years of their home loan? It’s time for a new Lending Update with Daniel Halverson and me. While last month we covered seller strategies to attract the lowest rates in the market. In this month’s Lending Update, we will analyze the 2-1 buydown. This strategy is becoming more popular as a viable tool for buyers as interest rates increase. 

Let’s dive in and explore what this is, why it may be attractive for both buyers and sellers, and how you can get a lower rate on your mortgage!

[00:00 - 02:01] 2-1 Temporary Rate Buydown: A Graduating Payment Scale 

[02:02 - 04:03] Why this is an attractive offer for sellers—Not an arm but a graduated payment scale mortgage

[04:04 - 06:54] 3 Types of home buyers who should look into the 2/1 buy down strategy

Quotes:

“The 2-1 buydown [has been] a product on the shelf for Fannie Mae for quite some time, and we’re seeing it reenter the market.” - Quinton Harris

“I think [the 2-1 buydown] is betting on interest rates being lower than they’re at right now, which is at the highest level it’s been since 2009.” - Daniel Halverson

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