3-2-1 Buydown Program
North Everett is an accessible yet oft-overlooked neighborhood. And with a major residential project in the works, it may be on the verge of a surge in value.
In nearly two decades of helping folks buy homes with mortgages in Everett, the David Haley team has seen a lot of growth and development. After all, there’s perennial employment with Boeing and the navy, plus a growing base of IT/tech firms. More recently, it’s also been a refuge from King County’s exorbitant costs.
This project in particular signals a shift to the walkable, mixed-use options that younger buyers want but Everett hasn’t traditionally emphasized. This sort of development suggests that North Everett could be a promising but fleeting buying opportunity. Even if a more urban feel isn’t your preference, remember that a rising tide lifts all ships.
But for many would-be buyers, the question remains: how can you get your piece of North Everett’s high potential when rates remain so high?
Interest rate relief with buydown loans
What if you could get a break on the interest rate for up to three years while also making your offer more appealing to the seller?
If your loan meets Qualified Mortgage rules, then a buydown program may open the door to the right home, in the right place, at the right time.
Common buydown program structure
Usually, the seller makes an initial payment called a subsidy. It sits in a dedicated buydown account under the buyer’s name. A portion is released each month for one to three years, effectively subsidizing interest payments during that period.
The buyer pays the lowest effective rate at first, then an additional percentage point per year until reaching the full rate. Depending on the exact buydown program, here’s how reductions are typically allocated over time:
If interest rates drop at any point during or after the buydown program, a savvy borrower can refinance to lock in permanent savings. At that point, any remaining balance in the subsidy account can be used to cover fees.
In many cases, the interest rate savings are greater than you could achieve through a reasonable discount on the sale price. If your agent presents a buydown effectively, it may keep your offer competitive and save more money long-term compared to requesting a discount.
Let’s find the right lending program for you
Lending isn’t a cookie-cutter business, or at least it shouldn’t be. And these days, with more individualized loan products than ever, a consultative and education-first approach is invaluable.
As their online reviews show, David and team simply enjoy helping potential Everett buyers understand their options—whether it results in business now, later, or never. They take joy in making new neighbors, earning long-term trust, and helping build strong financial futures.
Their goal is to help new neighbors find what works for them, period.
In that spirit, the David Haley team will help you understand your buydown eligibility, decide what best supports your financial goals, and pick the ideal mortgage product to help you establish roots in Everett.
Curious to learn more? Reach out today to discuss your options with a friendly team who knows the Everett market like the backs of their hands!
