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Video instructions and help with filling out and completing Seller's concession contract language
Hey guys how you doing this is a new haunted house on Jesse N and listen a topic came up just now I actually a friend of mine out right now as we speak one of them at an open list I mean an open house okay so he's calling me he's all freaking out he's he's saying that oh the listing agent is saying that the solid is offering a three percent concession you know at closing what what does that mean because you know he's very new he's new to the business so you know everything aside I I you know I'm not yelling at him but I'm telling him I said dude you have to understand we talked about this already okay I even talked about it in my earlier posts so please follow you know my youtube and also you know it is it is crucial that you understand in in a real in a real estate transaction you understand exactly what it is that you're required to do or you require to understand in this case you must have the expertise and the knowledge you know in this transaction so let's talk about really quick okay seller's concession means the word concession means that you know the solid conceded to a whatever it is terms money in this case the it's the listing price is $499,000 so half a million dollars the sellers conceded to a 3% seller's concession and closing that means the seller is giving you $15,000 in credits to help you know in helping you to at the closing table with those closing costs so I know a lot of like FHA's FHA is and you know special loans they you know they have the sellers you know contribute to the you know towards the closing costs because remember we talked about the FHA's you know three and a half up to three and a half percent down payment you know four people need extra help with the down payment and closing costs and so on and so forth all right so that's what it that's what it is so a lot of you know the question he asked me it was well you know what then instead of doing all that why not just lower the price by fifteen thousand and I'm laughing I'm saying dude you don't understand the selling price is half a million dollars okay it's not 485 half a million dollars it's going on the contract that 3% seller's concession it's at the close you know on the contract has a you know sellers concession that means that at the closing table the cell is it's giving your buyer fifteen thousand dollars as a credit that's different than selling right off the best selling the property at four hundred eighty five thousand so please make sure you understand the difference okay we're not lowering our price to four hundred and eighty five thousand dollars just to.