Everyone has on their mind these days helping borrowers get into homes. And when inventory is low and interest rates are high, that’s very difficult.
The challenge we face here in Vermont are similar to the challenges the rest of the country faces in that home prices have increased drastically and wages have not kept up with that.
We’ve tried to take away one of the obstacles, which is that high interest rate.
The way the Permanent Rate Buydown is structured is that the borrower gets to get an interest rate that’s up to 2% below the current market rate.
The borrower gets the benefit of the lower rate and the lender gets the benefit of making a premium on that loan sale.
As a credit union, we have a duty to offer the best products to our members, and by partnering with Federal Home Loan Bank of Boston, we’re able to do that.
By offering those lower monthly payments, it allows people to stay in the communities that they want to be in.
My ideal home is a place where you know obviously always want to have good neighbors like anybody, but I really I like to be able to have my peace. I like my quiet. Just kind of being able to have that that solitude when I need it.
They’re saving thousands of dollars over the life of the loan, and that gives them affordability to do other things – maybe take a vacation or if they need a care, they can buy a car – because we’ve really helped lower their monthly payment.
The discounts that it offers on interest rates are second to none in the market. It’s nice to work with an organization that has the same mission for helping homebuyers get into homes so we can rely on them as an extension of our team to help make people’s dreams of homeownership come true.