Navigating These Higher Interest Rates

Four methods to help you sell faster and lower your monthly payments.


Interest rates are rising significantly compared to what people are accustomed to. Today, we’ll talk about solutions for buyers and sellers during this period of rising interest rates. These are a few things that will help you to sell your property faster, or make your monthly payments more palatable. 

1. Consider seller financing. If you’re a seller with enough equity in the home, you should consider seller financing to help the buyer lower their monthly payments. That will make your home more attractive to buyers.

2. Consider an assumable mortgage. Assumable mortgages let the buyer take over your monthly payments. If your interest rate is about 3%, you can transfer that to the buyer, and the buyer can give you additional funds to cover whatever the balance is. You can even consider seller financing on the additional balance. That will make it more palatable for the buyer and make their monthly payments lower.

“Lower payments will make your home more attractive to buyers.”

3. Do a rate buydown. Rate buydowns are for buyers and sellers, and they let you pay the interest upfront to keep mortgage payments lower. Conventional guidelines have a temporary rate buydown available right now where the buyer can get 2% lower right away, and then it gradually rises back over three years. That allows the buyer to walk into a lower monthly payment.

4. Sellers should do an appraisal and inspection upfront. We’ve found that because the market is shifting, appraisers are getting more conservative with their appraisal approach. If you have an upfront appraisal, you can provide that result to the bank’s appraiser to make sure that the property will appraise, so you won’t have a problem when it comes time to sell. An upfront inspection of any issues that may be wrong with the property gives the buyer peace of mind. 

If you have any questions, please contact me by phone or email. I’m happy to help.