Compare options
One pool of money.
Three very different strategies.
01
Reduce the Price
What it does
Lowers the purchase price and financed loan amount.
Why someone might choose it
They prioritize acquiring the property at a lower contractual purchase price.
02
Permanent Rate Buydown
What it does
Uses available funds toward mortgage discount points intended to reduce the contractual interest rate.
Why someone might choose it
They value longer-term payment relief or have financing considerations where the contractual payment matters.
Actual point pricing varies and must be confirmed by a lender.
03
Temporary Buydown
What it does
Subsidizes the borrower's mortgage payment for a defined introductory period.
Why someone might choose it
They value greater near-term cash-flow relief.
The payment steps up according to the buydown schedule.