What is a 2-1 Buydown?
As interest rates climb, temporary buydowns have become an avenue that some sellers and buyers may consider.
- A buydown can benefit both sellers and buyers, but it’s more likely to occur in a buyers' market where there are many properties available but not enough buyers.
- For sellers, it enables them to move properties faster and keeps them from staying on the market too long.
- For buyers, the reduced monthly payments can help manage initial housing expenses.