Mortgage Rate Playbook for Florida Buyers: How to Win Even When Rates Are High (Orlando & Miami)

A lot of buyers pause their plan the moment they hear “rates are high.” I understand it—but I don’t agree with letting rates make the decision for you.

In Florida, especially with new homes in Orlando and Miami, the buyers who still move forward successfully aren’t ignoring rates. They’re using a smarter approach: they structure the loan, incentives, and timeline so the numbers work in real life.

Here’s the exact playbook I walk through with clients to make mortgage rates work in your favor.

1) Stop chasing the lowest rate—start comparing the right numbers

The biggest mistake I see is buyers comparing lenders only by the advertised rate. What matters is the full cost of the loan and what you pay to get that rate.

When you compare offers, focus on:

• APR (helps reflect the true cost beyond the rate)

• Total lender fees

• Points or lender credits

• Cash to Close

• Lock terms and timelines

Rey tip: The “lowest rate” can come with high fees. A slightly higher rate with lower cost can be the smarter deal—depending on your timeline.

2) Choose the right rate strategy: “lower payment now” vs “lower cost over time”

Every buyer is optimizing for one of these:

Option A: Lower monthly payment now

This is common if you’re stretching to a comfortable monthly number or you want breathing room for the first 1–2 years.

Tools that can help:

• Temporary buydowns (often used in new construction)

• Lender credits (reduce upfront costs, sometimes at the expense of a higher rate)

• Strong budgeting around taxes, insurance, and HOA so the payment stays manageable

Option B: Lower total interest long-ter

This is common if you plan to keep the home for many years.

Tools that can help:

• Discount points (pay upfront to reduce the rate)

• A clean long-term fixed-rate structure

• Principal reduction strategies (when it doesn’t hurt liquidity)

Rey tip: Your timeline decides your strategy. If you don’t know how long you’ll keep the loan, you can’t choose correctly.

3) Rate locks: timing matters more than people think

Rates can move—and your lock choices can change your outcome.

What to clarify with your lender:

• How long is the rate lock period?

• Is there a lock extension option?

• If you’re buying new construction, can you do a longer lock or a lock strategy tied to the build timeline?

Rey tip: In new construction, the rate strategy should match the closing date reality—not the date you “hope” it closes.

4) Points vs lender credits (the decision most buyers don’t understand)

This one is simple when you frame it the right way:

• Points: pay more today to reduce the rate and monthly payment

• Lender credits: pay less today, usually by accepting a higher rate

Ask this question:

“How many months will it take for the monthly savings to pay back the upfront cost?”
That’s your break-even point. If you’ll sell or refinance before break-even, points may not make sense.

5) New construction advantage: incentives can beat the rate problem

This is why I often discuss new construction homes in Orlando and Miami with rate-sensitive buyers.

Depending on the community and lender structure, incentives may include:

• closing cost contributions

• temporary buydowns

• upgrades that reduce out-of-pocket spend

• preferred lender benefits

Rey tip: In new construction, the negotiation is often about the incentive package and contract terms, not just the base price.

6) ARM vs fixed-rate: use ARMs only with a clear plan

An ARM can be a legitimate strategy if:

• you expect to sell or refinance before the adjustment period

• you want lower initial payments

• you have a realistic exit plan (not a guess)

If you want stability, go fixed. If you want strategy, ARM can be considered—but only with clear timing and risk tolerance.

7) The “payment stack” matters: taxes, insurance, HOA can change the game

In Florida, your monthly payment is not just principal and interest.

You must model:

• property taxes

• homeowners insurance

• HOA or condo dues

• any special community fees

Rey tip: A buyer can “win” a rate and still lose the budget if the payment stack isn’t planned correctly.

8) Refinance planning: don’t buy hoping—buy prepared

Many buyers say, “I’ll refinance later.” That may happen, but it should never be the only reason you buy.

A better approach:

• buy a home you can afford today

• structure incentives to protect your early payment period

• keep your credit profile strong so refinance becomes possible if it’s favorable later

Quick “Rate Strategy” Checklist (Florida Buyers)

Before you choose a lender or sign a contract, confirm:

• What is my Cash to Close (not just down payment)?

• Am I optimizing for lower payment now or lower total cost?

• Do points or credits make sense based on my timeline?

• Is my rate lock aligned with the closing timeline?

• In new construction: what incentives are actually on the table?

• Does the full payment include taxes/insurance/HOA realistically?

Mortgage rates are a factor—but they don’t have to be a deal-breaker. The buyers who win in Florida are the ones who structure the loan intelligently, leverage incentives where available, and keep the payment realistic.