Seller concessions are certain costs, that the seller will cover at closing. Typically, closing costs are 3%- 6% of the home’s price. Asking for seller concessions is a great way to help offset the cost of closing and make the home more affordable.
Items covered by concessions can include:
Seller concessions can also cover issues revealed during the home inspection, such as a leaky roof or a deficient HVAC System.
Your real estate professional will receive a loan estimate from the lender, containing a list of closing costs. You can review this list with your agent to determine which costs to ask for.
Please note that sellers are not required to accept closing costs, and in a seller’s market, your chances of receiving concessions are low. Sellers are also motivated to take the least complicated offer, so a deal with concessions may not be in their best interest. Also, not all loan programs will accept seller concessions. For more information about seller concessions, click here or here.