Fidelity offers borrowers an affordable option that could help you qualify for a home loan. Whether you want to purchase or refinance, we are able to help lower your initial monthly mortgage payment with a temporary mortgage rate buydown.
The principle behind the 2/1 buy down loan using the standard 15 and 30 year terms, is to decrease your mortgage payment ratio, and overall debt ratio. This loan option is beneficial for those who might not otherwise have the necessary ratios for qualifying.
The temporary buydown option allows you to prepay some of the interest on a 30-year fixed-rate mortgage in exchange for a discounted interest rate for the first one-to-three years of your mortgage. The rate will gradually increase to the agreed-upon rate