Sell homes on payment, not price.

Sell Homes on Payment, Not Price

Southern Home Loans forward commitments let Marion County builders lock in a below-market rate for every qualified buyer. You protect your price and your comps. Your buyers get a payment they can afford.

The Builder Advantage rate is 4.99% (5.838% APR*) on a 30-year fixed FHA loan, and 2 of 2 of Marion County’s largest builders are already enrolled.

What is a forward commitment?

You reserve a pool of mortgage money at a fixed, below-market rate. Any qualified buyer who closes with us inside the window gets that rate, no matter where the market goes.

A forward commitment is a marketing budget that works harder than a discount.

How does the Builder Advantage Program work?

1. Reserve your rate. We size a commitment to your realistic closings over the next build cycle. Pricing depends on the rate you choose and the buyer credit profile.
2. Market the payment. Put the rate on your signs, listings and model-home materials. We supply co-branded flyers, social ads and payment comparisons.
3. Close with confidence. Buyers under contract keep the rate through construction. One lender, one process, predictable closings.

Why do builders use it?

More buyers. Fewer price cuts. The Builder Advantage Program helps you:

• Protect your comps. Keep list prices intact so appraisals in your community hold their value.
• Qualify more buyers. A lower payment improves debt-to-income, which opens your homes to buyers priced out at market rates.
• Spend less per sale. Pooled pricing usually costs less per buyer than one-off buydowns or deep price reductions.
• Move spec inventory. A move-in-ready home with a locked low rate creates real urgency.
• Reduce fallout. Buyers aren’t exposed to rate swings while their home is under construction.
• Work with one local lender. Ocala-based processing and a direct line to the sales manager, not a call center.

What does it mean for your buyer?

Take the same $350,000 home, FHA with 3.5% down. Here’s what your buyer pays.

*Rate of 4.99% with 5.838% Annual Percentage Rate (APR) is for a 30-year fixed FHA purchase loan and is available only through a builder forward commitment for qualified buyers who close within the commitment period. Rates, terms and availability are subject to change without notice and are not a commitment to lend. All loans subject to credit approval, underwriting guidelines and property eligibility. FHA loans require an upfront and annual mortgage insurance premium. Payment examples do not include taxes and insurance; actual payment will be higher. Southern Home Loans is a division of Luminate Bank, NMLS# 162096. Equal Housing Lender.

Your buyer saves $443 a month, about $5,324 a year and $26,618 over five years. To reach the same payment with a price cut at 7.00%, you’d need to drop the price by roughly $68,000. A commitment on this loan typically runs a fraction of that.

**Illustration only. Assumes $350,000 purchase price, 3.5% down payment, 1.75% upfront mortgage insurance premium financed, 30-year fixed term, 7.00% market rate for comparison. Principal and interest only; taxes, insurance and monthly mortgage insurance not included.

Builder FAQs

How we can help

Let’s run the numbers on your next phase. Tell me your price points and expected closings, and I’ll build a commitment and a payment comparison you can hand straight to your sales team.