Seller Concessions

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Did you know you don’t always have to cover all the costs when buying a home? At MortgageMax, we help you take advantage of powerful strategies like Seller Concessions— a tool that can save you thousands of dollars on your purchase.

Buying a home isn’t just about the down payment. You also need to cover closing costs—things like transaction fees, insurance, taxes, and more. That’s where Seller Concessions come in.


What are they exactly?

Seller Concessions are a contribution from the home seller to help the buyer cover part of the closing costs.

Seller Concessions

In other words, it’s like the seller saying:
“I’ll help cover some of your costs so it’s easier for you to complete the purchase.”


What can Seller Concessions cover?

They can help pay for things like:

  • Loan closing costs

  • Transaction fees

  • Prepaid taxes and insurance

  • Even discount points to lower your interest rate

What they can’t cover: your down payment.
That must come from your own funds or from assistance programs you may qualify for—something MortgageMax can also help you explore.

How much can a seller contribute?

The amount depends on the type of loan you’re using—and our team at MortgageMax helps you choose the right one:

  • Conventional: 3% to 6% of the home price (depending on your down payment)

  • FHA: up to 6%

  • VA (for veterans): up to 4%

  • USDA: up to 6%

Example:
If the home costs $200,000 and you’re using an FHA loan, the seller could contribute up to $12,000 toward your closing costs.


How do you request or negotiate them?

The key is to include them in your purchase agreement.

At MortgageMax, we work closely with your real estate agent to structure a strong offer that includes seller concessions when possible.

Some sellers may agree to concessions instead of lowering the purchase price or making repairs—this is where strategy matters.

Your offer should be competitive, attractive to the seller, and still beneficial for you.

 

Benefits for the buyer

  • Buy a home with less money out of pocket

  • Keep more cash available for furniture, moving, or repairs

  • Turn “I want to buy” into “I’m ready to buy”

 

When are they easier to get?

  • In markets with more homes than buyers

  • When a property has been on the market for a while

  • When the seller is motivated and looking for a quick sale


At MortgageMax, we specialize in helping you navigate every step of the homebuying process with clarity and confidence.

Seller Concessions are just one of the many strategies we use to make your home purchase more affordable and less stressful.

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