Interest Rates in 2022

With the recent rise of interest rates it has changed the purchasing power of today’s home buyers. We’ve had a lot of inquiries from our buyers about options to combat this increase so they can move forward with a home purchase. The first option we recommend is asking for seller concessions when purchasing a resale home. With seller concessions they can buy down the rate from their mortgage lender and purchase what is called discount points for a lower interest rate. As there is more inventory on the market it is more common for sellers to offer seller concessions for a rate buy down up front.

When in doubt it’s always a good idea to speak directly to your lender about options for rate buy down or refinancing in the future. As the market shifts to a buyers market it will become increasingly common to provide seller concessions to get homes sold.

To get more information about mortgage rate buy down and whether or not it’s worth it we also recommend the following article from Nerd Wallet.

Mortgage Points: Should You Pay These Optional Fees?

https://www.nerdwallet.com/article/mortgages/discount-points