2-1 Buydown Program

We’ve introduced a new program that is just as beneficial for our borrowers as it is for our builders. Our 2-1 Buydown program provides a fresh incentive to purchase move-in ready new construction homes from one of our builder partners by reducing your interest rates for the first two years of your loan.

The 2-1 Buydown program is simple: one of our builder partners contributes an upfront fee, which lowers your interest rate by up to two percentage points for the first two years of your loan. This knocks down initial monthly payments, so you can allocate funds toward transforming a new house into a dream home, and enables you to build equity as you ease into your new home.

Here’s an example: On a $250,000 loan with a rate of 5%, the monthly payment would be $1,342. After a temporary 2-1 buydown of $5,232, here’s what the reduction in monthly payments would look like for the first two years.

Our 2-1 Buydown program is offered for 30-year fixed rate products through Fannie Mae and Freddie Mac.

*Sample rate provided for illustration purposes only and is not intended to provide mortgage or other financial advice specific to the circumstances of any individual and should not be relied upon in that regard. Guaranteed Rate, Inc. cannot predict where rates will be in the future. Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Restrictions may apply, contact Guaranteed Rate for current rates and for more information.

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