Buy down calculator
Compare your estimated payment contributions under a temporary 1-0 or 2-1 buydown on a fully amortizing fixed-rate loan. The note rate does not change.
Illustrative inputs for planning only. Example interest rates are not quoted rates or annual percentage rates (APRs). Change the inputs to your own figures. This calculator does not offer credit or determine approval.
Your estimate
A 2-1 subsidy reduces your contribution toward the contractual payment for the first twelve and next twelve payments. The note rate stays unchanged. From payment twenty-five onward, you pay the full contractual amount. The loan still accrues interest at the note rate. Taxes, insurance, mortgage insurance, and HOA dues are excluded, so the actual housing obligation is higher. You must meet the applicable qualifying rules without relying on future refinancing. The full contractual payment remains your obligation if subsidy funds are unavailable. Funding, availability, and handling of unused funds depend on the lender and signed agreement.
Get quick rate quote ↗Source: Fannie Mae temporary buydown rules. These agency rules do not establish eligibility for every lender or loan.