This is completely misleading and false. Any experience or advice ??
Because here is the actual scenerio in San Ramon :
- Their mortgage company charge almost 1 - 2 % more than the going rates. That translates to extra $600 to $1200 per month.
- They mislead/ mask you and charge 1 - 1.5 % points which translates to another hefty $8500 - 12500 for a 1 million home upfront which itself overshoots their incentive for no apparent reason.
- Added to this if not looked right, you end up signing for additional payments of $4000 to avoid what they legitimately call avoiding "prepayment penalty"
- Do the math $10,000 incentive vs all these costs listed above, !!
Thats a no brainer !!
- This is nothing but a plain ripoff of innocent homebuyers.
- Not to add that you may end up with a negative amortization mortgage as if this is not enough to add to all your pains.Buyers need to be aware of this and not fall for these cheap tricks by so called reputed builders such as Centex.