💰 Most investors love negotiating seller credits.

Closing costs covered.
Repair allowances included.
Rate buydowns funded by the seller.

On paper, it looks like smart leverage.

In underwriting, it can look very different. ⚖️

I’ve seen perfectly good deals stall because credits crossed the invisible line between strategic and suspicious.

Here’s the issue:

Lenders don’t just look at contract price.

They look at effective value, appraisal adjustments, and true LTV exposure.

If credits distort the economics of the deal, even slightly, things get complicated fast.

Re-underwriting.
Appraisal adjustments.
Lower loan proceeds.
Or outright denial. 🚧

🎥 I recorded a breakdown of:

Seller Credits and Concessions: The Line Between Smart and Suspicious

Inside the video:

📌 What lenders typically allow
📌 What triggers red flags
📌 How credits impact appraisal & LTV
📌 Why large concessions can shrink leverage
📌 How to structure credits safely
📌 How to negotiate aggressively without killing fundability

Because lenders are not allergic to credits.

They’re allergic to opacity.

If you understand how underwriting sees concessions, you can preserve leverage and protect the deal.

Watch here:

💬 DM “CREDITS” if you want help reviewing your structure before submission.

Smart negotiation wins.

Careless structure delays closings.

Phoenix Funded
[email protected]
786-431-2532
305-439-5911

#RealEstateInvesting #SellerCredits #CreativeFinance #FixAndFlip #DSCR #PrivateLending