A&D Mortgage Expands Temporary Rate Buydown Program to Include 1-0 Option

At A&D Mortgage, we’re committed to providing mortgage brokers with the tools to help borrowers navigate today’s housing market with confidence. That’s why we’re excited to announce the expansion of our Temporary Rate Buydown Program. It now includes a 1-0 buydown option for Conventional and Non-QM loans. These new features add to our existing 3-2-1 and 2-1 buydown options. 

What Is a 1-0 Temporary Rate Buydown? 

A 1-0 temporary rate buydown allows borrowers to reduce their interest rate by 1% for the first year of their loan, before adjusting to the original locked-in rate for the remainder of the term. In most cases, the temporary reduction in monthly payments is funded through contributions from the seller, the builder or the mortgage lender. However, A&D Mortgage does not offer lender-paid contributions in this instance. 

Who Benefits Most from a 1-0 Buydown? 

This new option is particularly beneficial for: 

• ✅ First-time homebuyers who need a lower initial payment to comfortably transition into homeownership. 

•  ✅ Borrowers anticipating income growth in the near future, such as professionals early in their careers. 

•  ✅ Investors looking to optimize cash flow on new rental properties in the first year. 

•  ✅ Sellers and builders aiming to attract more buyers in a competitive market by offering incentives. 

Why This Matters for Mortgage Brokers 

By expanding our buydown options, A&D Mortgage empowers brokers to offer greater flexibility and solutions for borrowers’ needs. The 1-0 buydown is an attractive alternative for clients who may not need the deeper discounts of a 3-2-1 or 2-1 buydown, yet still want some upfront savings.

Additionally, this program helps brokers: 

•  Expand their client base by providing options for different financial situations. 

• Create strategic partnerships with real estate agents and home builders looking for enticing incentives to close deals. 

• Offer competitive solutions that differentiate them in today’s lending landscape. 

With A&D Mortgage’s expanded Temporary Rate Buydown Program, brokers now have even more tools to help their clients secure financing that aligns with their short-term and long-term goals. 

Ready to take advantage of this new opportunity? Contact your A&D Mortgage Account Executive today to learn more about how the 1-0 buydown can work for your borrowers! 🚀

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