Guaranteed
Rate
has
introduced
a
new
feature
that
allows
sellers
working
with
a
G-Rate
loan
officer
to
pay
a
fee
that
locks
in
a
permanently
discounted
mortgage
rate
for
a
buyer.

Known
as
“RateReduce
Sell,”
it’s
a
major
enhancement
to
the
existing
RateReduce
buydown
program,
in
which
sellers
have
paid
to

temporarily
buy
lower
mortgage
rates,
typically
a
2-1
buydown,
for
buyers.

But
with
RateReduce
Sell,
sellers
will
be
able
secure
a
lower
rate
by
buying
down
points
permanently.
The
final
mortgage
rate,
however,
will
ultimately
be
different
for
every
borrower’s
situation.

“Rates
will
depend
on
each
borrowers
scenario
considering
details
like
occupancy,
downpayment
and
borrower
credit
score,”
said
Kate
Amor,
SVP
and
head
of
enterprise
products
at
Guaranteed
Rate.

For
as
low
as
$995
the
seller
can
secure
a
discounted
rate
to
market
the
listing,
according
to
Guaranteed
Rate.

The
program
is
available
for
borrowers
seeking
a
conventional
loan
as
well
as
a
high
balance
mortgage
that
exceeds
the

conforming
loan
limits
established
by
the

Federal
Housing
Finance
Agency
(FHFA).

“The
real
estate
agent
works
with
the
seller
and
a
Guaranteed
Rate
loan
officer
to
pay
a
fee
and
lock
in
the
discounted
rate
for
a
buyer.
This
unique
benefit
allows
the
listing
and
marketing
of
the
home
to
stand
out
compared
to
the
competition,
giving
the
property
a
higher
likelihood
of
selling,”
G-rate
said. 

The
loan
officer
is
not
compensated
until
the
transaction
is
closed.

Guaranteed
Rate’s
RateReduce
Sell
program
comes
amid
a
still-volatile
mortgage
market. 

The

30-year
fixed
mortgage
rate
at

HousingWire’s
Rates
Center
sits
at
6.66%
after
going
through
a
roller
coaster
ride
in
2023.
Rates
surged
to
7%
in
March
and
8%
in
October
after
starting
2023
in
the
low
6%
levels.

“We
want
to
offer
real
estate
agents
and
their
clients
the
opportunity
to
lock
in
a
rate
that
they
can
market
to
their
potential
buyers.
In
an
environment
where
rates
can
be
volatile,
this
is
a
key
selling
point
for
a
future
buyer,”
said
Jeremy
Collett,
Guaranteed
Rate’s
EVP,
head
of
capital
markets,
in
a
statement.
“One
of
the
biggest
hurdles
impacting
sellers
and
buyers
is
high
interest
rates.”

Economists
and

analysts
expect
the
mortgage
landscape
to
improve
in
2024
compared
to
last
year,
but
mortgage
lenders
still
recognize
the
need
to
increase
affordability
among
buyers
and
have
been
making
enhancements
to
existing
mortgage
products.

Most
recently,
Rocket
Pro
TPO
–
the
wholesale
arm
of

Rocket
Mortgage
–

expanded
its
ONE+
program
to
include

Freddie
Mac‘s
loan
product
advisor
(LPA),
which
the
lender
expects
will
provide
a
16%
increase
in
client
eligibility.

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