MORTGAGE BLOGBlog posted On September 17, 2026
Mortgage rates naturally get a lot of attention, it makes complete sense! However, they're only one piece of the home buying equation. For buyers considering a home today, understanding the bigger picture means weighing the full range of factors that can affect affordability and the options that may be available. From temporary buydowns to down payment assistance, there are other less-trodden paths to walk on your homeownership adventure.
1. The Mortgage Rate Isn't the Final Answer
According to NAR, many prospective buyers are delaying their searches while waiting for rates to improve, and they found that 45% of prospective buyers believe mortgage rates are higher than they actually are. It’s also worth pointing out that buyers could be overlooking available financing options, down payment assistance, and discount points.
We’re not saying mortgage rates don’t actually matter. They do! However, they’re not the only thing that matters when it comes to buying a home. And that’s the biggest takeaway here. You can’t become beholden to the interest rate; it doesn’t dictate everything in the mortgage process.
Below are a list of factors that can affect your home loan, in some cases, more than the rate:
2. Temporary Buydowns: A Little Breathing Room Up Front
One option some home buyers may want to explore is a temporary mortgage buydown. A temporary buydown uses funds paid at closing to offset the borrower's monthly principal and interest payment for a set period of time. After that period, the payment returns to the note rate for the remainder of the loan.
While there are a few types of temporary buydowns, let’s take a look at a 2-1 buydown. It can provide a reduced payment for the first two years of the mortgage:
Year 1 = Payment based on a rate 2% below the note rate
Year 2 = Payment based on a rate 1% below the note rate
Year 3 Onward = Payment based on the note rate
Example: If your note rate is 6.5%, your monthly payment will be based on a rate of 4.5% for the first year and 5.5% in the second year.
3. Today's Rate Doesn't Have to Be the End of the Story
Mortgage planning doesn't necessarily end at the closing table. If rates change in the future, refinancing may be an option for eligible homeowners. Our Rate Rebound* program allows qualifying borrowers to refinance with waived lender fees* if rates drop within five years of purchasing their home.
Get on with your plans to buy a home or to make the most of your home's value now, instead of waiting for rates to come down, knowing you can refinance later, without paying lender fees.
The Bigger Picture
There is no universal answer for when someone should buy a home. It’s like trying to answer the question: what’s the meaning of life? There are upsides and downsides to any decision, especially when it comes to home buying. But today's mortgage rate is only one part of the photograph. Understanding your financing options, looking at the complete cost of homeownership, and working with a knowledgeable mortgage professional (like us!) can help you determine what makes sense for your individual circumstances.
Source: National Association of REALTORS®
*CMG Home Loans will cover all customary lender fees, which are lender administrative fees, tax service fees, appraisal fee, and credit report fee. This offer does not cover discount points. Credit cannot exceed total fees. Rate Rebound is only valid on future conventional conforming, government, and jumbo loans in our retail channel (future Construction Loans, All in One, HELOCs, Bond, or HFA loans are excluded). Rate Rebound is only available on loans originated by CMG Home Loans. There may be additional restrictions based on investor. Offer may not be redeemed for cash or credit and is nontransferable. Offer cannot be retroactively applied to any loans. Offer may not be used with any other discounts, promotions, or interest-only/buy-down and second-lien products. This offer is subject to changes or cancellation at any time at the sole discretion of CMG Home Loans. Additional restrictions/conditions may apply. This is not a commitment to lend and is contingent on qualification per full underwriting guidelines. Program will be available on loans disclosed on or after 11/1/22. Program is applicable for refinances 6 months after closing up to 5 years from original note date and with a net tangible benefit which includes a rate reduction of 0.5%, going from an ARM to fixed rate, reducing loan term, movement to a more stable product, or a lower principal and interest payment. By refinancing the existing loan, the total finance charges may be higher over the life of the loan.
