Buydown Seller Credit Calculator
Enter the price and your down payment, and pick a buydown. You’ll see what it costs to fund, using LiveLendLA’s published rates.
Loan amount: $800,000
Estimated seller credit needed
—
to fund a 2-1 buydown on a — loan
Not a confirmation of eligibility. The limit covers every seller-paid cost combined, including closing costs, is measured against the lower of the price or appraised value, and the lender must allow a seller-funded buydown on your loan.
Illustrative rate: — · Based on LiveLendLA’s published rates.
Or call 323-823-7913 · email derek@livelendla.com
How it’s calculated. For each reduced year, the full monthly payment minus the lower payment, times 12. The total is paid upfront at closing into a buydown account. Your lender or escrow may round slightly differently.
Where the rate comes from. The 30-year fixed conforming or high-balance rate on Today’s Rates, picked by your loan amount. It assumes a conventional loan on a primary residence and well-qualified credit.
The seller doesn’t have to agree. A seller credit is something you negotiate in your offer. Run the numbers first so you know what to ask for.
FAQ
It’s the total of the payment reductions. For each buydown year, take the full monthly payment at the note rate, subtract the lower payment for that year and multiply by 12. Add the years together. That total is deposited upfront at closing, usually into a buydown account the lender draws from each month.
No. The seller has to agree to it, and the loan program has to allow it. Conventional loans cap what a seller can contribute, typically 3%, 6% or 9% of the price for a primary residence depending on the down payment, and that cap covers every seller-paid cost combined, including closing costs.
Then a seller credit can’t fund the whole buydown. A 2-1 instead of a 3-2-1 costs less, a larger down payment can raise the limit, and some of the cost may come from another allowed source. Your lender confirms what’s allowed for your loan.
Not with a temporary buydown. Your note rate stays the same for the life of the loan; the credit only pays for lower payments during the first 2 or 3 years. You generally qualify at the full note-rate payment.
New to buydowns? Start with how a 2-1 buydown works, or compare options in seller credit vs. price reduction.
A temporary buydown lowers the payment during the first 2 or 3 years only. It does not change the note rate on your loan, and qualification is generally based on the full note-rate payment.
Rates shown are illustrative examples of the 30-year fixed conventional rates published on Today’s Rates, chosen by loan amount, and change with market conditions and your borrower profile. They are not a rate quote, lock or offer. Seller-contribution limits shown are typical conventional guidelines for a primary residence; actual limits, eligible funding sources and buydown availability vary by loan program and lender.
Not a Loan Estimate, pre-approval or commitment to lend. All loans subject to credit and underwriting approval. Equal Housing Lender. Last reviewed: October 2026.