Written by 5:14 pm Finance and Insurance, Sellers

Worried Interest Rates Might Limit Your Pool of Buyers?

Howard Hanna Has the Answer.SM

It’s no secret that the housing market is changing. Interest rates have risen, but selling your house doesn’t have to be a challenge. With our Rate Reducer program through 1st Priority Mortgage, we can help you attract the best price and terms for your home. 

With Rate Reducer, buyers can temporarily receive a lower interest rate today. Offering a 24-month reduction helps you preserve the equity you’ve built in your home and helps you sell for a highly competitive price.

How Does It Work? 

The Rate Reducer program uses what’s called a 2-1 buydown that provides buyers a low-interest rate for the first year of their loan, a somewhat higher rate for the second year and the full rate for the third year and beyond. 

As part of the purchase agreement of the home, the seller or builder will cover the cost difference between the buyer’s payment and the adjusted bought-down payment of the loan. Your agent can help you enroll in the Rate Reducer program and negotiate a buydown option for your buyer. 

What Are the Benefits? 

The Rate Reducer program is truly a win-win for both buyers and sellers. As a seller, the program can help you: 

  • Make your move faster 
  • Avoid the stigma of a price reduction 
  • Attract buyers

At Howard Hanna, we’re committed to helping you attract the best price and terms for your home. We offer a one-stop shopping experience for both buyers and sellers, and we can help you navigate every step in the real estate transaction. 

If you’re interested in selling your home and want to learn more about our Rate Reducer program, contact a Howard Hanna agent near you. Our agents are ready to explain more about the program and help you make the best choice for you and your home.

1st Priority Mortgage Terms and conditions apply. Example based on $375,000 purchase price 7.356% APR,  $300,000 loan amount, 30 year fixed rate loan with 20% down payment. Year one interest is 5.25%, monthly payment is $1,656.61. Year two interest is 6.25% monthly payment is $1,847.15. Year three and beyond interest rate is 7.25% and monthly payment of $2,046.53. Monthly principal and interest assumes availability of buydown funds; consumer is responsible for full payment if funds are not available. Taxes and insurance premiums not included—actual payment obligation will be greater. APR is based on secondary market conditions and subject to change. Effective 7/31/2023. Contact 1st Priority Mortgage, Inc. for mortgage products and eligibility. 1st Priority Mortgage, Inc. is a Licensed Mortgage Banker, New York State Department of Financial Services, NMLS #29600. All lending products are subject to credit and property approval. Terms, conditions, and certain restrictions may apply on all programs. Interest rate and program terms are subject to change without notice. This is not a commitment to lend. Contact a 1st Priority Mortgage Consultant for full details. (888) 500-9733.

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Last modified: August 7, 2023