On A Mortgage - How To Buy Down Points
: Divide the upfront cost of the points by your monthly savings to see how many months it will take to recoup the investment.
: You can ask the home seller or builder to pay for your points as a closing incentive, effectively buying down your rate at no upfront cost to you. how to buy down points on a mortgage
Example: A 6.5% rate could be lowered to 6.25% by buying one point. : Divide the upfront cost of the points
: Each point generally reduces your interest rate by 0.25% . how to buy down points on a mortgage
