A 2-1 buydown is a type of mortgage agreement that provides for a low interest rate for the first two years before it rises to the regular, permanent rate. The rate is typically two percentage points lower during the first year and one percentage point lower in the second year. This type of financing makes it easier for borrowers to qualify for a mortgage with a lower interest rate. A 2-1 buydown is a temporary buydown that lasts for two years and helps borrowers get lower monthly payments. The buydown can be paid for by the homebuyer or the home seller can pay for it as a seller concession. The seller concessions cover the gap between the 2-1-buy-down-temporary payment and future permanent payment. A 2-1 buydown can also ease new homeowners into the process of paying a monthly mortgage by starting them at a lower payment. However, a 2-1 buydown does have a high upfront cost, and may only be worth it for the buyer if they can get the buydown via a seller concession.