Are you considering purchasing a new home but concerned about managing your mortgage payments? At Farmers Bank & Trust, we understand the challenges of homeownership, and we commit to sharing more about Temporary Buydowns – an invaluable solution to ease the burden of mortgage payments, especially in the early years of your loan.
What are Temporary Buydowns?
Temporary Buydowns are a flexible mortgage option that allows you to lower your initial mortgage payments for a specified period, providing financial relief when you need it most. With options like 2/1 and 1/0 available on FHA/VA/Conventional/USDA loans, you can tailor your payment plan to suit your unique financial situation.
In simpler terms, here’s what “2/1” and “1/0” mean:
- 2/1: This option reduces your mortgage payments for the first two years of your loan term. After that, your payments increase slightly for the remaining term of the loan.
- 1/0: This option offers reduced mortgage payments for the first year of your loan term. After the first year, your payments revert to the original amount for the remainder of the loan.
Benefits of Temporary Buydowns:
- Lower Initial Payments: Enjoy reduced mortgage payments during the early years of your loan, giving you greater financial flexibility.
- Easier Budgeting: Temporary Buydowns make it easier to budget for your monthly expenses, allowing you to allocate funds to other priorities.
- Customized Options: With multiple buydown options available, you can choose the plan that best fits your needs and financial goals.
Getting Started:
Ready to explore the benefits of Temporary Buydowns? Our team of mortgage experts is here to help! Contact us today to learn more about how Temporary Buydowns can make your dream of homeownership a reality. Start HERE.
MEMBER FDIC | Equal Housing Lender
