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Updated over 4 years ago,

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7
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Joseph Gibbons
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7
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Lender credit commonality in new construction.

Joseph Gibbons
Posted

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? 

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