Temporary Buydown Calculator
Lower payments for your first years
A temporary buydown drops your interest rate for the first one, two, or three years — then it steps back up to your locked rate. It is often paid by the seller or lender as a credit. Pick a structure and see the payments and the cost.
Your numbers
Everything here is adjustable — nothing is a commitment. Change it and watch the payments update.
A 2-1 starts 2% below your rate in year 1 and 1% below in year 2. A 3-2-1 starts 3% below; a 1-0 is a single year 1% below.
The mortgage amount — your home price less your down payment.
The note rate you lock. The buydown starts below this and returns to it. Adjust to a rate Justin quotes you.
Property tax, homeowners insurance, and any mortgage insurance — add them to see the full payment (PITI). The buydown only changes principal & interest, so these stay the same every year.
Your payment in year 1
$0
See my real options Or start your application →
No credit pull to start · takes about 10 minutes
Rough estimate only, for education. A temporary buydown lowers the interest rate — and therefore the principal & interest payment — for the first years of the loan, after which the rate returns to the locked note rate for the remainder of the term. The buydown cost shown is the sum of the monthly principal & interest reductions over the buydown period, computed on a 30-year (360-month) amortization; it is typically funded by a seller or lender credit and the exact amount and who pays it depend on the transaction. Property taxes, homeowners insurance, and mortgage insurance are not reduced by the buydown. This is not a pre-approval, a commitment to lend, or financial advice — your actual rate, payment, buydown cost, and eligibility depend on the lender, program, and your full profile, and are subject to change without notice. Equal Housing Opportunity.