Why You Should Sell Like a Builder

Let me tell you what's happening on the builder side of the market, because it's a lesson worth stealing.

Builders aren't just cutting prices. They're solving the payment. According to recent reporting, 66% of builders are using sales incentives, and Lennar put 13.8% of its average sale price toward incentives, which came out to about $62,700 per home in fiscal 2025. They're spending that money to keep buyers moving, because a buyer who can afford the monthly payment is a buyer who says yes.

So Why Aren't More Sellers Doing the Same?

That's where buydowns come in. There are two kinds, and both can change the conversation.

Lender Buydown

You work with your lender to bring down your interest rate or your monthly payment, either for the first year or two or for the life of the loan.

It's a way to make the payment feel comfortable from day one.

Seller Buydown

The seller offers a credit that goes toward lowering the buyer's rate or payment.

The buyer gets relief, and the seller keeps their price intact.

Why Sellers Should Consider a Buydown

A price cut and a buydown can cost about the same, but they do different things.

A price cut lowers the sale price, which can affect your comps and appraisal.

A buydown keeps your sale price in place and puts that same money toward the buyer's monthly payment.

For the buyer, it's a lower payment instead of a lower price—and that's usually the thing they were struggling with in the first place.

A Strategy Sellers Can Use

If you're thinking about selling, here's how I'd approach it:

1. Show the builder math. Know what incentives are doing in the market right now.
2. Price to the payment. Think about what the buyer will actually pay each month, not just what the listing says.
3. Plan the credit up front. Set your incentive budget before you list, so you're not negotiating from a corner.
4. Sell the buydown. Show buyers how the same money creates a bigger payment impact.
5. Set the review date. Agree on when to reassess the price or the incentive if the market moves.

Don't Just Lower the Price—Solve the Payment

Don't just lower the price. Use incentives to make the home more affordable, the way builders do.

If you're a buyer, a buydown may be worth asking about when you're evaluating your financing options.

And if you're a seller, understanding how a buydown compares with a price reduction can help you create a more compelling offer while protecting your list price.

The goal isn't simply to lower the price. It's to make the payment work.

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