What are Mortgage Points & How Do They Work?

Posted By Gracen Tilton @ Jan 16th 2025 12:36pm In: Charleston SC Real Estate

When purchasing a home, there are many factors to consider, including the type of mortgage you want, the interest rate you’ll pay & whether you should buy points to lower said interest rate down.

Mortgage points are the fees a buyer pays thier mortgage lender to get a lower interest rate on their loan. This practice is often referred to as “buying down the interest rate” or a “buydown.”

Here’s more on how points work, including the benefits and drawbacks and how to calculate the breakeven point.

CONTINUE READING ➡️

Gracen Tilton | Marshall Walker Real Estate | 582 Rutledge Avenue | operations@marshallwalker.com | 803-549-6318 


Share on Social Media:

Follow us on