THE DAD MATH
Buydown
Estimate the payment assistance and funding for a temporary buydown.
Estimated temporary buydown subsidy
$5,462
Full monthly principal & interest$1,517
First-year borrower principal & interest$1,216
Contract note rate6.5%
Models a temporary payment subsidy, not a change to the contract interest rate. The subsidy covers the difference from the full payment. Qualification uses applicable lender rules and the full note rate. Taxes, insurance, fees, and escrow are excluded. Funding and availability require lender review.
| Period | Borrower monthly P&I | Monthly subsidy | Annual subsidy |
|---|---|---|---|
| Year 1 | $1,216 | $301 | $3,611 |
| Year 2 | $1,363 | $154 | $1,851 |
| Year 3 onward | $1,517 | $0 | $0 |
These tools provide educational estimates based on your inputs, not an approval, commitment to lend, or rate quote. Rates shown are illustrative inputs, not APRs. Your actual loan terms and costs require a personalized review.
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