Loan Officer at Planet Home Lending
Video Transcript
00:00
I think we can all agree on one thing. Affordability has become one of the biggest challenges in today's housing market. And when your listing starts to get less traffic, fewer showings, and less activity than you expected, the conversation often turns to a price reduction.
00:14
But… Before you make that move, I want to show you something. Because what if…
00:19
The issue is not your actual list price.
00:22
What if it's how buyers are perceiving the potential monthly payment on your listing? Because
00:28
Buyers don't purchase homes based on the price alone.
00:32
They purchase homes based on what they can comfortably afford each and every month. I'm Michael Thayer. I'm a mortgage advisor based in Nashville, Tennessee, serving clients nationwide. And my goal is simple.
00:42
To help you create more affordability, expand the pool of buyers who may now be able to consider your property with this small strategy change that generates more interest, more showings, and more opportunities, without reducing the price.
00:57
That's exactly why I created this page, because below you're going to find a simple calculator, along with real-world examples showing how two
01:04
Very different affordability strategies can create two very different outcomes for a buyer. The results are often eye-opening, because many agents and sellers are surprised and discover to see what appears to be a meaningful price reduction to a seller.
01:20
May create very little change for a buyer's monthly payment.
01:23
This is why taking a different approach to creating affordability can sometimes create a much larger payment improvement for a buyer, and position your listing within the reach of a much larger pool of buyers. So, before you recommend that price reduction, or before your seller agrees to one.
01:41
Take a quick look at the numbers. You may discover another option worth considering, one that creates more affordability, expands your pool of potential buyers, and helps buyers view your property through a completely different lens.
01:54
And if you'd like help running the numbers on your specific listing, reach out, schedule a strategy call. We'd be glad to help you. Talk to you soon.
Today's buyers don't purchase homes based on price alone.
They purchase homes based on:
➡️ Monthly Payment
➡️ Affordability
➡️ Cash Needed To Close
That's why two strategies that cost a seller a similar amount can create very different outcomes for a buyer.
Let's start with the listing price and how much you're putting down.
Next, here are some payment and savings estimations based on the change in rate.
There is a cost to change the rate from % to % and it can be offset by a seller credit.
With a rate of %, the estimated monthly payment is , a savings of $ a month. If your rate was %, with a payment of , that's like buying a house for . The change in rate has increased your buying power by to .
Here are some example options for a purchase with a list price, % down, and a rate reduction from % to %.
Apply the savings wherever life needs it.
That's more home for the same monthly payment.
Figures shown are estimates for illustration and do not include taxes, insurance, or fees. Actual rates, payments, and costs vary by lender.
Most buyers don't wake up asking: "What's The Purchase Price?"
Instead, they're asking:
➡️ What's My Monthly Payment?
➡️ How Much Money Do I Need At Closing?
➡️ Can I Comfortably Afford This Home?
➡️ How Will This Impact My Monthly Budget?
That's why understanding the payment impact of different affordability strategies can be so important.
Mortgage affordability strategy infographic comparing a traditional price reduction strategy versus seller concession and interest rate buydown strategies for home buyers and real estate agents. The image illustrates how buyers typically experience the monthly payment rather than the purchase price alone and demonstrates how different affordability strategies can create significantly different financial outcomes. Educational side-by-side comparison highlights potential payment improvements, reduced upfront buyer costs, seller flexibility considerations, and the impact of affordability on buyer purchasing power. The graphic emphasizes informed decision-making, mortgage payment strategy, seller concessions, interest rate buydowns, home affordability planning, and real estate marketing solutions designed to help buyers, sellers, and real estate professionals better understand financing options. Modern mortgage education and affordability planning graphic created to help home buyers, sellers, and Realtors in Nashville, Tennessee and across the United States evaluate monthly payment solutions, seller contribution strategies, home financing options, and alternative approaches to improving affordability without relying solely on price reductions.
Every property is different... Every seller's goals are different... And every affordability strategy can produce different results.
We can create a customized affordability review showing:
➡️ Price Reduction Scenarios
➡️ Seller Concession Strategies
➡️ Monthly Payment Comparisons
➡️ Estimated Buyer Impact
➡️ Affordability Improvement Opportunities
The goal isn't to replace your pricing strategy.
The goal is to help you understand all of the options available before recommending a price reduction.
Best regards,
Michael Thayer, CMPS, CMA
NMLS #173264
Nashville, TN 37221
$325,000
For Sale
Nestled in one of Nashville's most desirable communities, this stunning residence offers the perfect blend of luxury, comfort, and modern Southern living. This beautiful home features 5 bedrooms, 4 bathrooms, 3,952 square feet of living space, and a spacious 15,246 square foot homesite.
The upgraded kitchen was designed for both functionality and entertaining, featuring a professional-grade range, oversized hood, built-in refrigerator, wall oven, dishwasher, wine refrigerator, and a large center island that serves as the heart of the home.
Step outside into your private backyard retreat featuring a resort-style pool, spa, outdoor shower, and beautifully designed patio space, creating the perfect setting for relaxing evenings, family gatherings, and entertaining guests. Additional features include central heating and air, solar panels, and an attached three-car garage.
➡️ Luxury Nashville-area estate located in a highly desirable community
➡️ 5 Bedrooms, 4 Bathrooms, and 3,952 Square Feet of Living Space
➡️ Spacious 15,246 Square Foot Homesite
➡️ Gourmet Kitchen With Large Island, Professional Appliances, and Wine Refrigerator
➡️ Private Backyard Retreat Featuring Pool, Spa, Outdoor Shower, and Entertaining Space
➡️ Central Heating & Air, Solar Panels, and Attached Three-Car Garage
Source: Optimal Blue Mortgage Market Indices (OBMMI). Indices reflect aggregate rate lock data. Learn more.
“Mike is amazing at what he does. I’ve worked with him on multiple deals over the last 10 years, and his attention to detail and depth of knowledge have made a real difference for us more than once. He’s thorough, knowledgeable, and someone you can trust to get things done right. I highly recommend working with Mike—you won’t be disappointed.”
shaun o
“I can’t say enough good things about Michael Thayer at Planet Home Lending. He went above and beyond throughout my entire cash-out refinance and made the process as smooth and straightforward as possible. What really stood out to me was that his help didn’t stop with the refinance. I’m also working through a VA loan assumption that Michael isn’t even responsible for, yet he has continued to answer questions, help me understand the process, and provide documents and guidance whenever he can. Michael has also been great about giving me sound financial advice without ever making me feel pressured. He takes the time to explain all of my options, the pros and cons of each, and lets me make the decision that works best for me. It’s rare to find someone who continues helping even when there’s nothing in it for them. Michael genuinely seems to care about his clients and their long-term financial goals. I would absolutely recommend him to anyone looking for a knowledgeable, responsive, and trustworthy lending professional.”
larry m
“Mike is by far the most professional & knowledgeable person in the financial & mortgage business I have ever met. Regardless of the circumstances, he always finds a way to help us. I highly recommend him.”
mark s
“Mike made the whole process so easy! Will definitely use him again for my next loan.”
michael h
“I am a real estate agent and Michael was "on it" from day one! He kept me, my Buyer and the listing agent updated on ALL progress all throughout the entire transaction process. I never had to worry about what was happening, had the appraisal been ordered, where we were in the process, etc. He took that entire load off my plate and got us a clear to close ahead of schedule and closed on time! Fantastic, Seamless, Worry Free Process! Would 110% use him again!”
tdl p
“Just a brilliant person and professional. Fought for us to get our properties and delivered what he promised. We call him Magic Mike for a reason”
johan a
“We had Michael Thayer refinance our loan a couple of times. He got us exceptional rates. He is extremely easy to work with and a highly motivated individual who is very knowledgeable in his field . We were very impressed with his expertise.”
valerie t
“Michael did a fantastic job! As a new homebuyer, I was completely lost with the loan process. He took the time to walk me through it step-by-step. Because of his work, I felt confident in the decisions I made. Moreover, I knew if I had questions he was there at a moment’s notice with the answers.”
samuel s
“We've known Michael Thayer for many years and have had the opportunity to work with him on countless real estate transactions. Michael is one of those lenders who is always on top of the details, thinks outside the box, and consistently goes above and beyond to make sure his clients are taken care of and their transactions close on time. His experience with all types of real estate transactions and lending scenarios is second to none, and when an unusual issue comes up, he’s usually already thinking three steps ahead about how to solve it. He’s knowledgeable, responsive, dependable, and genuinely cares about getting the best result for his clients. We would highly recommend Michael to anyone looking for an experienced mortgage professional who knows how to get deals done.”
midtown t