You are buying a house and will borrow $210,000 on a 25-year fixed rate mortgage with monthly payments to finance the purchase. Your loan officer has offered you a mortgage with an APR of 4.40 percent. Alternatively, she tells you that you can buy down the interest rate to 4.15 percent if you pay points upfront on the loan. A point on a loan is 1 percent (one percentage point) of the loan value.

As you are evaulating the mortgage, you also realize that you believe that you will only live in the house for 9 years before selling the house and buying another house. This means that in 9 years, you will pay off the remaining balance of the original mortgage.

What are the most points you would be willing to pay to buy down the interest rate?