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MrsNaunie
Kai helps my father dump out.
Member since 9/06 1181 total posts
Name:
Mud
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Seller's Concession
So, the mention of the seller's concession was not a part of our bid. It's popping up now, as we are waiting for the seler to sign the contract. we had originally planned on the contracts being signed before bringing up the concession, but BoA is insisting on getting the appraisal before the seller signs...
My question is, should I be worried that this seller's concession will scare away the seller?
Is it a PITA for her? Or just an annoying technicality?
Will her lawyer tell her to run? Does this mean that any money needs to come out of her pocket, that will be reimbursed? Or is this something handled by the escrow account and the lawyer?
I am not nervous of the house not appraising for enough, nor are we nervouse about getting the mortgage.
I am just nervosu that, if a sller's concession is at all an inconvenience for the seller... is there any reason that she might be scared away?
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Posted 3/30/07 11:34 AM  |
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| Prudential Douglas Elliman Real Estate | Long Island Weddings |
kerrycec03
My rough & tough baby boy!
Member since 6/06 9640 total posts
Name:
Kerry
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Re: Seller's Concession
we did a seller's concession and it worked in our favor. Our seller's didn't mind and from what I've heard most don't because the seller's are still getting the same amount of pocket money with or without it.
I was nervous with the appraisal too but thank god it worked in our favor. Our condo appraised for 20K more than the purchase price!!
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| Posted 3/30/07 11:37 AM |
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Kara
I loff my human!
Member since 3/07 10450 total posts
Name:
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Re: Seller's Concession
I don't think the seller will be scared away by the idea of a concession at this point.
The only problematic thing as far as I can see (and please note I'm a TOTAL newbie) is the appraisal - The house now has to appraise for at least your offer + the seller's concession. Once you get through that, it should not be a problem.
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| Posted 3/30/07 11:37 AM |
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SweetTooth
Look out!
Member since 12/05 13900 total posts
Name:
Lauren
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Re: Seller's Concession
The concession is not an inconvience at all, the don't have to do anything extra except give you that money back at the closing.
The only think you would have to be worried about is the house not appraising for the selling price + the cost of the concession.
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| Posted 3/30/07 11:38 AM |
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MrsNaunie
Kai helps my father dump out.
Member since 9/06 1181 total posts
Name:
Mud
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Re: Seller's Concession
Wow- my typing was attrocious.
Good- I am not at all nervous about the appraisal.
Thanks ladies!
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| Posted 3/30/07 11:40 AM |
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Beth
AKA: Mod Central
Member since 2/06 20063 total posts
Name:
Beth
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Re: Seller's Concession
Posted by Kara
I don't think the seller will be scared away by the idea of a concession at this point.
The only problematic thing as far as I can see (and please note I'm a TOTAL newbie) is the appraisal - The house now has to appraise for at least your offer + the seller's concession. Once you get through that, it should not be a problem.
I agree- as long as the appraisal covers it- it shouldn't be an issue
and if the apprasial didn't cover the 3% in this market I would say you have other issues
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| Posted 3/30/07 11:50 AM |
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alnem
This is gonna be a good year!
Member since 2/06 9565 total posts
Name:
Emily
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Re: Seller's Concession
the sellers concession should have been included in your original offer. attorneys (especially sellers attorneys) dont like concessions because theres a risk value in the appraisal. i can guarantee to you that if the seller signs the contract and THEN you mention the concession, it will be world war 3 with the attorneys. have the appraisal first, this will ease everyones mind.
ETA - alot of people (buyers) forget that sellers concessions are actually a minor inconvenience to the homeowner. they have to pay taxes on the amount including the concession. if you REALLY want to ease the sellers mind, offer to pay this for her. it should only be a few hundred dollars.
Message edited 3/30/2007 2:34:33 PM.
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| Posted 3/30/07 2:32 PM |
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MrsNaunie
Kai helps my father dump out.
Member since 9/06 1181 total posts
Name:
Mud
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Re: Seller's Concession
Posted by alnem they have to pay taxes on the amount including the concession. if you REALLY want to ease the sellers mind, offer to pay this for her. it should only be a few hundred dollars.
This is great, thank you!
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| Posted 3/30/07 2:48 PM |
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Hi-Fi55
12 years...wow....
Member since 2/06 2986 total posts
Name:
Dianne
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Re: Seller's Concession
Posted by alnem
ETA - alot of people (buyers) forget that sellers concessions are actually a minor inconvenience to the homeowner. they have to pay taxes on the amount including the concession. if you REALLY want to ease the sellers mind, offer to pay this for her. it should only be a few hundred dollars.
Attorneys will adjust for the transfer tax at closing. No attorney would let their client pay the extra tax.
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| Posted 3/30/07 3:02 PM |
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Meaghan729
Summer Fun!
Member since 5/06 7473 total posts
Name:
Me
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Re: Seller's Concession
bump for sunrise
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| Posted 4/24/07 5:36 PM |
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