Here is the wrinkle with seller's concessions - your price is the net, but the purchase price on the face of the contract and for the appraiser/bank is the price grossed up to include the concession. The home must appraise to cover that higher price. Essentially, the concession is allowing the buyer to finance the closing costs. So the issue can be that it may "strain" the appraisal.
There is a possibility then that your home may appraise adequately to cover your net, but not the price with the concession, and then you'd be at a decision point - either reduce your gross price and with it your net, or lose the buyer. That can be a tough nut to swallow.
Good luck to you,
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Offering a sellers' concession upfront is basically a hidden price reduction. The offer of a sellers concession wont be as noticeable on websites or other advertising. Buyer's ask for sellers concessions all the time so they can finance their closing costs. When they decide to write up an offer on your home they can ask for a sellers concession if they need one.
Seller concessions are used all the time in our area, especially for first time buyers!
Century 21 Crest
Pompton Plains Office
Financial Incentives create multiple options which help to expand your pool of Qualified Buyers! If Financial Incentives weren't a powerful marketing tool why would Builders offer incentives? Why are Fannie Mae and Freddie Mac offering incentives on their REOs? Because the lure of the prize is often the catalyst for the sale!
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What you want to do is draw in buyers to LOOK at your home.....a lower list price will do that faster than offering buyer incentives.
Increase the buyer traffic with a competitive price! Reduce the price!!
Prudential NJ Properties
Seller concessions just is on paper, If the buyer needs help with covering closing cost you can say
seller to contribute $3,000 towards closing cost .but the buyer has to be able to qualify for that amount since it's wrapped up into the mortgage.
No buyer can receive any cash at closing unless it's a specific loan, 203k, construction loan.
Best advice, price your home at today's value. If you're motivated to sell and the price is right, buyer's will know, they're very educated about recent home sales in your area.
Century 21 Crest
Pompton Plains NJ