Seller Concessions Cheat Sheet for First-Time Homebuyers in Florida
Christel Renaud June 18, 2025
Christel Renaud June 18, 2025
What Are Seller Concessions?
Seller concessions are costs that the seller agrees to pay on the buyer’s behalf to help reduce the buyer's closing costs. These can include title fees, lender fees, prepaid taxes, and insurance.
Common Costs Covered:
Title insurance
Loan origination fees
Appraisal costs
Attorney fees
Escrow fees
Prepaid taxes and homeowners' insurance
Maximum Allowed Seller Contributions by Loan Type:
| Loan Type | Max Seller Contribution |
|---|---|
| FHA Loan | Up to 6% of purchase price |
| VA Loan | Up to 4% + closing costs |
| Conventional <10% down | Up to 3% |
| Conventional 10–25% down | Up to 6% |
| USDA Loan | Up to 6% |
Pros for Buyers:
Lower out-of-pocket costs at closing
More cash available for moving or furnishing
Can make buying a home more affordable
Tips to Negotiate Seller Concessions:
Ask your real estate agent to include concessions in your offer.
Be flexible with other terms like closing date or offer price.
Use the inspection report as leverage for credits instead of repairs.
Important Notes:
Concessions cannot be used for the down payment.
The home must appraise for enough to include concessions.
Concessions work best in a buyer's market or with motivated sellers.
Florida Buyer Snapshot Example:
Purchase Price: $450,000
Estimated Closing Costs: $15,000
Seller Concessions Requested: $15,000
Result: Buyer pays down payment only, not closing costs
Need help running your numbers or negotiating concessions?
Let me help you structure a smart offer and secure the support you need to buy with confidence.
Christel Renaud | Christel Miami Luxury Living
954-799-3378 | [email protected]
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