Burnet County: How Rates and Buydowns Shift Buying Power in October

What does a 7.24% mortgage rate mean for a buyer in Burnet County today? With the median home price at $390,000 and current rates holding steady, monthly payments are significantly higher than they were two years ago, even as prices have softened from their peak. ALEX Intelligence applied a scenario model using the median sale price and the current rate to show how financing choices impact affordability right now. At the current 7.24% rate on a $312,000 loan, the principal and interest payment is $2,126 per month. However, many buyers are using buydowns to lower that initial burden. A standard 3-2-1 buydown reduces the rate to 4.24% in year one, dropping the monthly payment by $593, though it costs $14,460 upfront. A shorter 2-1 buydown offers a smaller reduction, saving $405 per month in the first year for a cost of $7,344. These tools can make a home feel more affordable in the short term, but they require cash reserves that not every buyer has. The data shows that while prices are down 20.1% from last October, the higher interest rate environment means total monthly costs remain elevated compared to previous years. Buyers should weigh the immediate payment relief against the upfront cost of the buydown when deciding how to structure their offer. ALEX Intelligence estimate, not an appraisal. Want to see this home? Call or text George at 713.918.9951 for a private showing. Data from Unlock MLS. Information deemed reliable but not guaranteed. Model outputs are ALEX Intelligence estimates, not appraisals. Read more Central Texas market data on the ALEX blog: https://alex-companies.com/blog