New York Mortgage Company

Archive for the ‘Sellers Concession’ Category

Sellers concessions are a way for a purchaser of a home to keep his or her “out of pocket expenses” down. In a sellers concession loan the seller agrees to increase the asking price on the purchase contract to an amount that will include the non recurring closing costs. The buyer can now apply for a mortgage based on the new asking price. In a sellers concession mortgage loan the seller agrees to only receive the amount from his or her original asking price while the remaining loan amount the purchaser qualified for goes toward closing costs. If you are looking to keep as much money in your “pocket” as possible when buying a home, a sellers concession is right for you. For more details and helpful examples to help you decide if a sellers concession loan is right for you, see our Purchasing a Home section.