Some home sellers offer concessions as a way of attracting buyers. Seller concessions are particularly possible in a buyer's market, for homes that need a little improvement, or for distressed homes. Below are some of the concessions property sellers may offer.
Payment of Fees
A typical real estate deal involves multiple fees in addition to the purchase price. Some of the fees buyers typically pay include attorney fees, loan origination fees, title insurance, upfront HOA fees, and appraisal fees, among others. A motivated seller may offer to pay some of these fees for the buyer.
Most home-purchase agreements include the structure, the lot, and fixed appliances such as the furnace and air conditioner. Other items such as storage sheds, refrigerators, toasters, and decorations are normally not included in the deal. However, a seller may throw in some of these items to motivate buyers.
Unless you are buying new construction, your target home may need a few repairs to make it move-in ready. Maybe the gutters need replacement, the roof is leaking, or some of the floor tiles are missing. A motivated seller may offer to fix these issues for you so that they don't scare you away.
The option period is a grace period within which a buyer can pull out of a purchase deal without any penalty. Many sellers offer their buyers an option period at a small fee. For example, a seller may offer you an option period of a couple of weeks in exchange for a few hundred dollars. However, a motivated seller may offer you an option period for free.
A home warranty is a service contract that covers the repair and maintenance of home appliances or systems for a limited period. For example, you can purchase a one-year home warranty that entitles you to free repairs and maintenance (from the home warranty company) for a year. A seller may offer you a free home warranty to reassure you of the condition of their property's systems.
Some sellers also offer buyers free upgrades. Free upgrades are more common with new constructions than existing homes. For example, a seller may offer you a modern kitchen or a higher quality floor than the standard finishes of comparable properties.
You don't have to wait for a seller to offer concessions. If the conditions are right for it, you can request the seller for a concession or two to ease your home purchase.
Speak to a real estate company for more information.