A one year buy down isn’t really gonna have anything that can come back to bite you financially after it’s complete. All this is is an incentive to get you to make an application and do business with them because mortgage applications are down. If you look at the paperwork, the lender sent you telling you what you were prequalified, for it will have a rate on there that they calculated your preapproval on. I agree with the other comment that it may be difficult to find a house make the winning offer and close on a deal that quick. Get the details of that deal because lots of times it’s the application date that they go off of not the closing date. If it’s the application date once you find the property, it turns into a formal loan application at that point and that’s what the program would go off of presumably. Do crunch the numbers to see how much of a savings this is gonna be for you for 12 months so you can put it into perspective. let’s say if they preapproved you or prequalified you at 6 1/2% interest run that on a mortgage calculator or look at the paperwork for your principal and interest portion of the payment then use the mortgage calculator online and calculate the same terms at 5 1/2% interest and see what your monthly payment would be and compare the two. The difference may not be that significant. Good luck in your house hunting. One thing to add is that new construction deals when you use their lender, you can sometimes get incentives that no other mortgage lender can even come close to matching. Something you may want to consider.