Go with fixed rates. If you are financing roughly $126K, your payments should 
be less than $1,000 a month for a 15 year loan anywhere in that range. I don't 
know that buying points will lower your payment all that much, and I would 
rather have as much of a deduction as possible on my mortgage payment.

>The rates we're seeing for 15 year fixed (should we go fixed?) are between
>5.25 and 5.8.  It doesn't seem worth it to buy point and lower our down
>payment - but am I wrong?
>

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