I have left over credits (use or lose) and have the option to reduce my purchase price or buy points. How do I evaluate the choices?

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Posting as :
works at
You are currently posting as works at

Buy down your rate. Reducing your PP isn’t as impactful on your monthly cash flow.

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What rate are you getting now? Do you expect that interest rates will be lower than whatever the rate post buy down would be in the next 3 to 5 years? If yes, then apply to purchase price. If no, then buy down the rate.

So it sounds like you know what you’re going to do.

My outlook might be different. But we’re all just guessing at this point.

Ask the mortgage broker to work the numbers for you. Individual situations differ

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