If you're curious about how a 2-1 buy-down works, this video is for you! In it, San Diego Realtor Clayton Connolly will explain what a 2-1 buy down is and how it can benefit home buyers. We also answer some common questions about this type of financing.

Hello, this is Clayton, your real estate captain speaking and today I want to talk about how we're helping clients get last year's interest rate today. How are we doing that? Well, it's simple. There are some lenders out there that are offering programs to be competitive in this market.

Why? Because interest rates are high, less people are purchasing loans, so banks are getting creative to offer programs that help buyers like yourself purchase a home at a lower interest rate. Long story short, there's a specific product called a 2-1 buydown, and I'd love to be able to put a private meeting together to tell you more. But essentially it can lower your interest rate for the first year by 2%. So for example, if your rate is at 6% right now, you'd be paying 4% for the first year.

The second year it would go up to 5%. It's not an adjustable rate, it's locked in, so eventually it would hit 6%. But the reason why people like it is it's almost unanimously projected that within the next 24 months rates will go down. Why is this important? Well, if you're able to get a home at a lower interest rate today, when there's less competition and there's more negotiating in the purchase of homes, this is a really solid time to get a great home at a lower price at a great rate.

I'd love to be able to set some time and explain how we're, you know, helping people like you get success with this program and others like it. Hit me up. I'd love to sit with you. Thanks.

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