What You Need To Know About Concessions

[Desiree Rejeili]

Some Highlights

• Now that there are more homes for sale, buyers have more options. And sellers need to be more flexible to close the deal.
• That's why almost half of homeowners are making some type of concession. This can include covering closing costs, paying for repairs, or dropping the price.
• Not sure which concessions to offer? Connect with a local agent so you know what’s working for sellers in your market.

[William Whitley]

I’m not a practicing real estate broker, but I did previously hold a broker’s license. When I bought my home about seven years ago, I worked directly with the listing agent. I explained that I didn’t have an agent of my own and just needed them to write the offer while they continued representing their seller.

During the process, the agent mentioned that several prior contracts had already fallen through and that another offer being negotiated was below the seller’s expectations. That gave me some insight into the seller’s position. I ended up offering slightly under list price while also asking for seller concessions toward my closing costs. The seller countered with a modest adjustment on price but kept the concessions in place.

That experience showed me firsthand how seller concessions can make a deal work — even in a competitive market where most homes were selling at full price.