FHA allows a seller to pay up to 6% of the buyers closing cost and pre-paids. When it comes to a mortgage insurance premium, if there is any left of the 6%, they can pay all of it, but not a portion of it. I am not a mortgage broker, but these things I am sure of, I would not call it common, but is acceptable.
Your agent if you are a buyer should get all they can, the seller just has to agree. Your not really financing it in though if you are getting the house at a price for the same as you would have been paying without asking. Since you did not mention a price difference I felt that should be mentioned.
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Over the past couple of years, FHA loans have made quite the comeback and dominating the lender market. The attractiveness of these loans is it the 6% contribution allowance and the higher DTI (Debt-To-Income) Ratios that are permitted. It's important to note these advantages as most buyers looking for homes today will be approved via an FHA type of loan program.
With all good things comes the bad and then there are some of the disadvantages of choosing FHA financing including an upfront MIP that typically runs 2.25% of the home's price required at closing payable by the buyer as well as escrow reserves and so on. Those items alone will usually provoke an interest from the buyer to consider asking for the seller's help in order to help absorb some of that cost.
To wrap all this information into a nutshell would be to say that it is not only common for the seller to pay at least partial closing costs and pre-paids, in DFW, but it is customary just about nationwide.
Be sure to ask your Realtor to provide you with an Estimated Seller Proceeds Report reflecting a very worse case scenario of accepting an offer with the buyer requesting 6% in closing costs. Typically the seller costs will run higher than the buyers. I let my sellers know they should expect their closing costs on the home they sell to range from the most likely of 9% and to prepare for costs of up to as much as 12%. While numbers like that may give excuses to some home sellers to not use the services of a professional Realtor, there are an equal, if not more, amount of home sellers who regret trying to do it alone .
I hope this helped spread a little insight in to your question. If you 'd like to speak me about this or any other Real Estate related information, I'm just a phone call away.
I would consider it quite customary.
You should have a realtor in YOUR MARKET look and see what % that is.....
Now, you should know that you are really financing those costs since you would be able to get a lower price if they were't paying fees.
Let me know if you need a realtor in your local area. I can look and see if I know a good one there.