Buy Down Mortgage

Financing| Fixed Rate Mortgages| Adjustable Rate Mortgages

A temporary buy down is the type of loan with an initially discounted interest rate which gradually increases to an agreed-upon fixed rate usually within one to three years. An initially discounted rate allows you to qualify for more house with the same income and gives you the advantage of lower initial monthly payments for the first years of the loan when extra money may be needed for furnishings or home improvements. To reduce your monthly payments during the first few years of a mortgage, you make an initial lump sum payment to the lender.