The Current Rate Reality and Why Herriman Builders Are Motivated
Mortgage rates hover around 7%, sidelining many buyers. Builders with unsold townhome inventory in Herriman face mounting carrying costs. That pressure is driving unprecedented concessions — permanent rate buydowns into the 5% range, covered closing costs, landscaping upgrades.
What S.B. 240 Actually Gives You
Utah's First-Time Homebuyer Assistance Program provides up to $20,000 as a forgivable second mortgage. After 5 years of occupancy, the loan is fully forgiven.
Eligibility
- First-time homebuyer (no ownership in past 3 years)
- Homebuyer education course (~6 hours)
- Household income below county limits (~$112,000 for a family of four in Salt Lake County)
- Newly constructed home priced at or below $450,000
Where to Find Qualifying Herriman Inventory
Single-family homes in Herriman exceed the $450,000 cap. Townhomes and condos do not. Look near 13400 South and along Mountain View Corridor at $390,000-$440,000. Builders like Garbett, Ivory, and Fieldstone all have spec homes in that range.
The Stacking Strategy: Show Me the Math
- $430,000 townhome, 3.5% down, closing costs = ~$23,000 cash required
- At 7%, monthly P&I ≈ $2,760; total PITI + HOA ≈ $3,400
- Apply S.B. 240: out-of-pocket drops to ~$3,000
- Negotiate a 5.5% permanent buydown + 2-1 temporary buydown: monthly drops to ~$2,350
- Savings: ~$400/month = ~$25,000 over 5 years, and the grant is fully forgiven at year 5
Do Not Walk Into a Model Home Alone
The model home agent represents the builder. If you enter unrepresented, you lose leverage and may even forfeit the ability to bring an agent later. Your own agent:
- Structures rate buydowns strategically
- Coordinates independent inspections (new construction defects are common)
- Layers state and federal programs correctly
How We Handle Herriman New Builds
Builder negotiations, rate buydown structuring, timeline coordination, and third-party inspections. Contact us before you visit any model.
