Mortgage Rate Hike Got You Down? Try this!

With interest rates higher than they have been in years, finding new ways to purchase a home that works for both the buyer and seller is more important than ever.  

Have you heard of the seller buy down method? Probably not.  That’s why I’m going to talk to you today about it. As a local real estate agent, my job is to create a winning relationship for the buyer and seller to reach a successful close of a sale.  

As always, i’m here to answer your questions, so just call or text anytime!

So let’s get into it.  With intersect rates climbing – home buyers are struggling to be able to purchase a home at the asking price of the seller.  How can we help the buyer and seller bridge the gap in the price of the home?  We do this by offering a seller buy down scenario….

In this case the seller can “buy down”  the rate for the home buyer and the get the offer price he wants while still getting the home buyer a lower monthly payment- sound too good, well, it’s not.

let’s go over it!  The interest rate that the buyer will get with no SBD is 5.5%. If the selling agent is able to negotiate seller credit 4.625% toward the SBD, then the interest rate will be bought down to 3.25% on the 30 year fixed mortgage.

Sellers put more money in their pocket versus a price reduction Buyers save more money with a below market interest rate!

To find out how to beat mortgage rate hikes – Contact me today!