2-1 Buydown

Business, Legal & Accounting Glossary

Definition: 2-1 Buydown

2-1 Buydown

Full Definition of 2-1 Buydown

Mortgage that in the beginning has two temporary interest rates. These rates will then increase in stair-step movements until a permanent interest rate is set. Sometimes used as an incentive by home builders to attract buyers. Initial reductions in the interest rate are either paid for by the buyer or by the builder.

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Modern Language Association (MLA):
2-1 Buydown. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
December 04, 2021 https://payrollheaven.com/define/2-1-buydown/.
Chicago Manual of Style (CMS):
2-1 Buydown. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/2-1-buydown/ (accessed: December 04, 2021).
American Psychological Association (APA):
2-1 Buydown. PayrollHeaven.com. Retrieved December 04, 2021
, from PayrollHeaven.com website: https://payrollheaven.com/define/2-1-buydown/

Definition Sources

Definitions for 2-1 Buydown are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 13th November, 2021 | 0 Views.