Interest Rate (2-1) Buydown Calculator

This mortgage calculator will calculate the savings you can achieve by participating in a temporary interest rate buydown program. Compare your total savings to your cost to participate in the program.

A popular form of this program is the 2-1 buydown mortgage. This means that the interest rate is reduced 2% the first year, and 1% the second year of the loan. Other variations include the 3-2-1 buydown and so forth.

• Loan Amount - this is the beginning balance on the loan.
• Base Interest Rate - this is the annual interest rate you will pay on the loan.
• Years - what is the length of the loan in years.
• Payments / Year - how many payments will you make per year (12 for monthly or 26 for biweekly)
• First Year Reduction - The number of percentage points your base rate will be lowered during the first year of the loan.
• Second Year Reduction - The number of percentage points your base rate will be lowered during the second year of the loan.
• Third Year Reduction - The number of percentage points your base rate will be lowered during the third year of the loan.

Compare FREE Rate Quotes from the following:

• LoanWeb: Home Loan, Bad Credit OK
• LowerMyBills:
• CreditAndDebt: Free Mortgage Quote - Click here!