Is buying down Your Mortgage Rate a good Idea in Fort Lauderdale? Under certain circumstances, buying down your mortgage interest rate may be a wise decision. What do we mean by “buying down”? Sometimes referred to as “paying points”, buying down a mortgage rate is a financial strategy often used to decrease the interest rate on a home loan by paying an upfront fee at the loan’s inception. This upfront fee secures a lower interest rate and can result in lower monthly payments as well as long-term savings. However, the homebuyer must consider whether those future benefits versus the initial cost make this a worthwhile option. For example, if you’re planning on remaining in the home for many years, this could be advantageous. However, if you’re planning on refinancing or selling in the near future, paying that upfront fee may not be the best idea or worthwhile. Calculating your break-even point or determining whether or not the long-term savings exceed the upfront cost is critical. Therefore consulting with a financial advisor or mortgage broker can provide you with customized or tailored insights that are based on your specific financial goals. https://www.google.com/maps?cid=5464149498827190981