Transparent calculator methodology
Put the same seller concession to four different uses
A lower home price, closing-cost credit, permanent rate buydown, and temporary buydown affect cash and financing on different schedules. The useful comparison depends on actual lender quotes and how long the buyer expects to keep the loan.
What the estimate includes
- Purchase price, down payment, note rate, term, and concession budget
- Lender-approved closing-cost credit and eligible-cost caps
- Quoted permanent buydown rate, points, and cost
- Temporary 2-1 or 3-2-1 payment schedule plus one-, three-, five-, seven-, and ten-year snapshots
How the comparison works
Each scenario applies the concession only in the entered manner, amortizes the resulting mortgage at its quoted note rate, and compares cash to close, cumulative buyer cash, financing cost, remaining balance, and modeled equity across the selected horizons. Every option uses the same entered property value so a negotiated price reduction remains an economic benefit rather than being erased by a lower valuation.
Important limitation
This tool does not determine whether a seller contribution is permitted or usable. Confirm occupancy, loan program, loan-to-value tier, appraisal, interested-party contribution limits, eligible costs, quoted rates, points, temporary subsidy, and refinance assumptions with the lender.