Plaza News + Updates

New! Temporary Buydowns are Available Now!

Posted by Plaza Wholesale on November 1, 2022

2-1 and 1-0 Buydowns Are Here!

Help your borrowers get the extra boost they may need to make their home purchase a reality.

Plaza Home Mortgage® has a new buydown option for our Broker clients! Available today, November 1, 2022, we are offering 2-1 and 1-0 seller paid buydowns on our Fannie Mae®, Freddie Mac, FHA, VA, and USDA fixed rate programs!

Using a buydown reduces the borrower's monthly payment for the first one or two years, giving them more affordable payments.

Benefits of Using a Temporary Buydown

  • Lower payment for the first one or two years of the mortgage
  • No out of pocket cost to the borrower - funds are contributed by the seller, builder or another eligible party
  • If the loan is paid off through refinance or sale before the account is depleted, any remaining funds will be applied to the principal
  • Borrowers know how to plan with pre-determined, predictable payment increases

Guideline Highlights

  • 2-1 and 1-0 buydown options
  • Funds may come from the seller, builder or another eligible interested party
  • Fannie Mae/Freddie Mac, FHA, VA and USDA Fixed Rate programs
  • Purchase transactions only, Primary Residence or Second Home (program permitting)

All of the specifics can be found in our program guidelines, and be sure to connect with your Plaza Account Executive today to start offering this option to borrowers and real estate partners.

Topics: Wholesale News, Wholesale Program Updates, Plaza at a Glance, Mini-Correspondent News, Mini-Correspondent Program Updates

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