Interest rates may be higher than buyers hoped, but there are smart, creative strategies to help make monthly payments more manageable. Working with the right agent and lender can open doors to significant savings.

Here are three clever tactics that buyers are using in 2025:

1. Seller-Paid Rate Buydowns
   • A rate buydown allows the seller to pay points upfront to lower your mortgage interest rate. This can make a big difference in monthly payments.
   • For example, a 2-1 buydown reduces your rate by 2% the first year and 1% the second year before settling into the full rate. It gives you time to adjust and potentially re-finance.
   • These are often easier to negotiate when homes have been on the market for more than a few weeks.
2. Closing Cost Assistance
   • Many sellers are open to contributing to buyer closing costs to get the deal done. These funds can be used to buy down your rate or reduce out-of-pocket expenses.
   • It’s especially helpful for first-time buyers who need a cash cushion for moving expenses or furnishing their home.
3. Contingency Strategy & Strong Offers
   • Strengthen your offer with a pre-approval, not just a pre-qualification. Pre-approval involves a full review of your finances and shows sellers you’re serious and ready to close – making your offer more competitive.
   • Be flexible on possession dates or offer rent-back periods if sellers need time to relocate.
   • Limit contingencies where you can, while still protecting your interests.

Working with a luxeSOUTH agent ensures that your offer is not only competitive, but also financially sound. We help you understand the options and structure your offer to win.