Home Life Blog

Core Home’s 3-2-1 Buy-Down Incentive

July 19, 2024

Enjoyable Home Search with Core Homes

The search for a new home is one of the more enjoyable aspects of buying a home, especially when you choose to work with Core Homes, a Chattanooga TN home builder. We’ll work with your vision to help you find the ideal home for your lifestyle.

Ease Your Mortgage Worries with Our 3-2-1 Buy-Down Incentive

While finding your dream home is exciting, securing an affordable home loan can be less enjoyable. To make this process easier, we’re offering a Preferred Lender 3-2-1 Buy-Down Incentive on select homes.

What is a 3-2-1 Buy-Down?

The 3-2-1 Buy-Down is a type of mortgage financing where the interest rate is reduced for the first three years of the loan. Here’s how it works:

• First Year: Your interest rate is reduced by 3%.
• Second Year: Your interest rate is reduced by 2%.
• Third Year: Your interest rate is reduced by 1%.
• Fourth Year and Beyond: You pay the full interest rate for the remainder of the loan term.

For example, if the original interest rate is 6%, you would pay:

• 3% in the first year
• 4% in the second year
• 5% in the third year
• The full 6% from the fourth year onward

Buyers must qualify at the current market mortgage rate with our Preferred Lender, then the buy-downs are applied to that rate.

Benefits of the 3-2-1 Buy-Down

The most significant advantage is the reduced monthly payments during the first three years. This can help you manage your finances better as you adjust to homeownership. The savings in the early years can be used to cover other expenses, such as furnishing your home or rebuilding your savings. This method allows you to ease into the full mortgage payment gradually, providing a buffer period to adapt to your new budget.

How to Qualify

1. Check Home Eligibility: Contact us to find out if the home you want is included in the incentive.
2. Mortgage Pre-Approval: Apply for mortgage pre-approval through our preferred lenders, Nate Byram of Guaranteed Rate Mortgage, or Gabe Whitmer of FirstBank Mortgage.
3. Secure Your Rate: Once pre-approved, you’ll be ready for the closing process, confident in getting your best rate.

Make Home Ownership More Affordable

The 3-2-1 Buy-Down is a great way to make homeownership more affordable. By lowering your initial payments, it provides the breathing room you need to comfortably transition into your new home.

If you’re in the market for a new home, turn to Core Homes, a Chattanooga TN home builder, and explore this opportunity.

*  This offer applies only to select homes and can be discontinued without notice.  The offer cannot be combined with other offers or discounts.

This post was written by Core Homes.