Updated about 5 years ago on . Most recent reply
Lender credit commonality in new construction.
I Just had 2 buyers purchase newly built homes, same family, both with impeccable credit and little to no debt. They were swayed away from the builders financing and toward a mortgage broker. The first recieved 4k in lender credits and a 3.6 rate. The 2nd is due for closing and is getting 3.25 but no lender credits.
My questions are:
- Do lender credits typically lead to higher interest rates?
- How common are lender credits in mortgages for new constructions?
- Should the 2nd buyer feel slighted by not being offered the credits based on being swayed away from the builders 6k toward closing offer?