How to Get a Lower Interest Rate and Save Lots of Money When Buying a Home

These amazing loan options will help you save a lot of money on a home.

Did you know that there are a few ways to get a lower interest rate? They have been on the rise lately, so all buyers could use some help getting them down, and I am here to show you how to do that. Also, I have a way to lower your closing costs and your down payment! First, here are three options for lowering your interest rate: 

1. An interest rate buydown. This is just like it sounds, where you buy down your rate. For example, if rates are at 6%, it’s possible to get them down to 5.875% or even 5.75%. Plus, in today’s market, there aren’t as many buyers and the environment is a little less competitive, so you might be able to get the seller to pay for this.

“These great options can make a big impact on your life.”

2. A 2-1 buydown. This option is very popular right now, and it is similar to the above option where you or the seller buys down your rate, but it is temporary so you can make a bigger impact. With this, you’ll get a 2% decrease for a year and then a 1% decrease for another year. For example, if rates were at 6%, your rate could be 4% for the first year and 5% for the second year, then back up to 6% for the third year and on. 

3. Different loan programs. There are a few loan options that offer below-market rates. I talked about great loan programs in my last video, so you can check that out here. Overall, know that there are options for discounts, so talk to your lender or reach out to me and I’ll put you in contact with one.

In addition to these three options, you should know that there are two amazing loan programs out there that can make a big impact on your life. The first program offers up to $7,500 in closing-cost assistance and the other one offers up to $10,000 in downpayment assistance. Plus, they’re both grants, so you don’t need to pay them back! There are some limitations, of course, but these could be amazing opportunities for you—and not just for first-time homebuyers, but everyone. 

If you need help pursuing these things, have any questions, or want me to put you in touch with the right people, don’t hesitate to reach out! You can call or email me anytime, and I would be happy to connect with you.