In the state of PA legally you are allowed to finance upto 6% of your closing costs. Depending on the lender and type of loan you are pursuing you may be able to borrow from 0-6% towards you closing costs. In the pa sales agreement you are adding this amount on to your offer and it is classified as a sellers' assit. They are not actually giving you this amount you are taking it to help for financing. Beware most sellers' will expect you to pay the transfer tax on this amount. Because you are the individual benefitting from it.
Nina and Ute have both given great examples. If you are considering this option in buying a home, be sure to negotiate your price so that the seller assist does not bump you over appraisal value. Get a current Market Analysis to use as a helpful source. Good luck
Simply put, hope that was helpful.
Are you a first time buyer, what has been your experience?
I would love to hear about it.
email me at firstname.lastname@example.org if I can help.