Closing costs are negotiable. There is no right and wrong or what is usual. Make the deal your own. If you want the property, sweeten the deal for the Seller. There are a few types of loans that require one party to pay for specific items. Your Realtor will know what they are and guide you on this topic.
If it is fair for the Buyer to pay their closing costs and the Seller to pay their closing costs, then just do it. Make the deal your own. (2nd time I said that). Don't do what everybody else is doing. Everybody else is whining that they don't get the property that they make an offer on. Why does a Buyer feel that they have a right to demand that the Seller pay for the Buyer to purchase the property? Those days are gone. They may return, but are gone with the low inventory available.
Closing costs are typically less than a thousand dollars on a$100,000 property (not including agent commissions). If you want the property, stop whining and offer to pay the Seller closing costs. Buyers need to get over the head games. If you say "I cannot afford the seller closing costs", you may want to consider renting. If less than $1000 is going to make or break the deal for you, you need to be renting a while longer.
My Buyers typically have been offering to pay the Seller closing costs and they typically get their offers accepted. My Buyers do not ask for the Seller to pay apprisal or home warranty. They are in their dream home while the Buyer that tries to squeeze the Seller is still complaining that their offers are not accepted.
My Buyers are enjoying their back yard bar-b-q and pool area while the other possible Buyers are proud that they would not pay the Sellers costs, while they are paying another month's rent. Do you want to be a proud Buyer or a home owner?
When your offer is not accepted, think that "I could have offered to pay the Seller $500 in closing costs and be moving into my home instead of paying another months rent".
Purchasing a property is a dance between the Buyer and Seller. Sellers like to be sweet talked and courted. The Seller has the property and the Buyer wants it. Buyer's and their agents need to learn to schmooze the Seller with a sweet offer. Buyer's agents that know how to court a Seller are doing very well in this market. Find a Buyer's Agent that knows how to dance and you will soon be in your own home.
I wish you a wonderful holiday season and a great new year.
Good luck house hunting.
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Steven Goldman, CRS
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Realty One Group
10750 W. Charleston #180
Las Vegas, NV 89135
Have a good Realtor/Buyers Agent They maybe able to negotiate This can help you alot.
3 Options I give my clients.
1. I will negotiate with Seller or Listing Agent to agree to pay all or half of closing cost.
2.Roll in closing cost into the mortgage if allowed.
3. If you get approved by one of our qualified lenders, we may negotiate to have the lenders agree to pay all or half of closing cost.
If all fails I will contact my network of hard money lenders and find additional ways for you to borrow the closing cost from another source.
I can do all of this for you too :)
Feel free to contact me for all of your real estate needs.
Keller Williams Southern Nevada
Buy Or Sell your home easy.
fannie mae- has just recently required the buyer to pay the transfer tax, which in nevada has been considered a seller cost-
short sales - the banks are still paying their own closing costs-
right now the sellers in nevada are enjoying being in the drivers seat- due to limitied inventory
in the end-
Krassy- it is all negotiable-
contact us to represent your interests your next purchase-
Basically, you just need to put yourself in the sellers shoes. If seller can sell the property without any trouble b/c people are lining up to buy property, then they will stay firm and not negotiate much (if any).
The danger of trying to negotiate closing costs in such an environment is that you run the risk of having offer after offer after offer rejected. There is much more to negotiating than just trying to get the best deal. In the end, you have to complete a transaction to be successful so each offer should be evaluated on a case by case basis. Not only do you have to put yourself in the seller's shoes, but you have to anticipate what other buyers (your competition) are doing as well. Many sellers immediately eliminate offers asking for closing costs because of the high demand and limited inventory.
It's also not as simple as raising your offer price to include room for closing costs. The property still needs to appraise, otherwise the deal is going to be dead in the water and a well educated seller knows that.
These are reasons why a good Realtor can be very helpful. I would advise being prepared to pay your own closing costs at this time, but if we come across an opportunity that it makes sense to ask, then it may be worth a shot.
On the bright side, many new home builders are offering closing cost incentives of some type when purchasing a brand new home. So this can be a great option for certain types of buyers.
Let me know if you would like to discuss further. :)
Easy Street Realty
However, in today's strong sellers market it is common for the buyer not only to pay the closing costs that buyer is normally responsible for, but also pay the seller's traditional closing costs even if the buyer is paying full market value or higher for the property.
Things like paying all closing costs are an example of what a buyer may be requested to do in such a strong seller's market in order to get a property under contract.