When Should a Seller Buy Down the Interest Rate for a Buyer?

You’ve got a buyer who loves your home, but there’s one problem: the monthly mortgage payment is making them pause. You don’t want to lower your asking price just to make the deal more affordable, especially when you’ve already priced your home fairly. What if you could help lower their payment without taking a big cut on the sale price? A seller buy down interest rate can do just that. In this article, we’ll answer what exactly this buyer incentive is and when a seller should buy down the interest rate for a buyer. To further help you decide if this tactic is right for your situation, we spoke with Claire Paris, a top Portland real estate agent with more than 20 years of experience. She says a well-structured buydown offer can make a difference. Ask a Top Agent if You Should Offer a Rate Buydown Sellers can often retain more proceeds by offering a buyer an interest rate buydown rather than lowering their home’s sale price. A top agent can determine which strategy is best for your situation. Our free Agent Match tool analyzes over 27 million transactions and thousands of reviews to find you a trusted, experienced local agent. How does a seller-paid rate buydown work? A seller-paid ...