How low can you a rate can you buy down (discount points) your mortgage to? In theory cant you buy down the rate to like 1-3% if you have enough $$ to do so? Or do lenders have a %26quot;magic%26quot; rate that they dont go below?
Buying down an interest rate?
You have to crunch the numbers to see what works for you. If you have the money to buy down the interest, you may be better off putting more money down. It often doesn%26#039;t make sense to pay money to borrow money even if it brings the cost down. Of course you could prepay all the interest if you wanted, but if that were the case you could just pay cash for the property.
Buying down an interest rate?
just make sure you are able to afford to pay interest rate on mortgage. i think you can talk with your landlord or broker about how low interest rate can you get on your mortgage.
Buying down an interest rate?
when you pay points on a mortgage to lower your interest rate, you are in effect prepaying the interest. you%26#039;ll probably pay $1,000 for every lowered point and in the long run, it doesn%26#039;t make that much difference. I would never pay points to lower an interest rate because the numbers don%26#039;t work in your favor.
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