Buying a new home in Davenport? How to compare a builder incentive with another mortgage offer

The sales office offers help with closing costs if you use the builder’s preferred lender. You like the house. You also have a quote from a broker. Before you decide, ask one question: what would each option actually cost you to buy this same Davenport home?

Put the same home on both estimates

Ask both lenders for a Loan Estimate using the same property, purchase price, down payment, loan type and term. Ask whether each rate is locked, when the lock expires, and what happens if construction runs late. Get the builder’s incentive and its conditions in writing.

Compare three numbers at the kitchen table

On page one, circle the projected monthly payment and estimated cash to close. On page two, compare origination charges, including points, then identify lender credits and seller credits separately. Ask each lender to show exactly where the builder incentive appears. Check whether both estimates use comparable taxes and insurance and whether you need to add HOA dues separately.

What if one offer saves cash now and the other saves money monthly?

Here’s a hypothetical comparison. With the same down payment and comparable escrows, suppose one option costs $2,400 more in nonrefundable fees at closing but saves $80 a month. It takes about 30 months of those savings to recover the extra fees. If you may sell in two years, that changes the conversation. Ask what drives the difference before treating every dollar of cash to close as a fee.

Bring the incentive sheet, estimated completion date and both Loan Estimates to your call. We’ll line them up so you can decide which tradeoff works for you.

Book a call with Pablo. We can review the numbers in English or Spanish.

CFPB guide to comparing Loan Estimates

Pablo Llavona · NMLS 194920 · FLO Mortgage · NMLS 1835856 · Davenport, Florida