Tag Archive for: seller credits

What Are The Average Closing Costs in California?

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Closing costs are the various fees and charges buyers face when buying a home that are required in order to close on a loan. But what are the average closing costs in California? Closing costs typically run between 2% and 5% of the home’s purchase price for homebuyers in California. However, many closing costs vary with the price of the home or the loan amount.Read More

Repair Credits After a Home Inspection: Complete Buyer’s Guide

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After a home inspection, buyers have a few options: ask the seller to make repairs, walk away, or negotiate a repair credit. On the surface, a repair credit sounds straightforward, […]Read More

Seller Credits Galore! What To Watch For & How To Use Them

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We are seeing a huge increase in the number of contracts with seller credits. As a result, I am again blogging about the guidelines to avoid issues that surface repeatedly […]Read More

Seller-Paid “Temporary Buydowns” vs. Seller-Paid Closing Costs; Limits? What About Commissions?

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A seasoned agent asked me these excellent questions today: Is there a different limit for a seller-paid “temporary rate buydown” vs seller-paid credit for closing costs? No, but see below […]Read More

Sellers Can Pay For Lump Sum PMI; PMI Explained For Your Buyers

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On Friday, I blogged about using Lump Sum or Single Payment PMI to Make Transactions With Low Appraisals Work. And I got a ton of feedback, so I am following […]Read More

Fannie & Freddie Supporting Agent Commissions, But…Has Anything Changed?

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FHA allows buyers to finance their upfront mortgage insurance premium (MIP) equal to 1.75% of the loan amount. So, while FHA loans are ostensibly 96.5% loan-to-value, they are effectively around 98.2% loan-to-value loans because almost every FHA loan includes the financed upfront MIP. Read More

Closing Cost Credits Are Back! (From Sellers and Agents)

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I used to blog frequently about closing cost credits from sellers and agents – but I stopped because the market was so hot that no seller or agent would consider […]Read More

Can Borrowers Be On The Loan and Not On Title?

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We often have “title only” buyers, or buyers who want to be on the property’s title but who do not want to be on the loan. This is often the case with spouses, where one spouse might have credit issues that adversely impact financing terms. The spouse with good credit will be the only one on the loan (assuming she has enough income to qualify on her own) but both spouses will be on title.Read More

Lender Credits For Closing Costs

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LENDER CREDITS INSTEAD OF SELLER CREDITS Seller credits for closing costs are few and far between in this hyper-competitive market; merely requesting them in fact is often a deal-killer. But […]Read More

Who Pays Closing Costs? Seller, Lender & Realtor Options

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When buyers face steep closing costs, seller, lender, and even Realtor credits can help cover expenses, making transactions smoother and more affordable.Read More

Seller Credits Made Simple

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Seller credits are a common way to cover closing costs, but limits apply: up to 6% for primary homes and 2% for investment properties. They won’t slow a deal if managed correctly, but buyers should confirm costs early to avoid surprises at funding.Read More

College = Job History; CD Flexibility w/ Seller Credits

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Reminder #1: Borrowers fresh out of college usually do not need a 2 year work history to qualify for mortgage financing. They usually just need an offer letter and 30 […]Read More

TRID Allows Seller Credit Changes; Expect More Appraisal Reviews

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A couple quick updates/reminders. Seller Credits can change any time without causing major delays** in closing. This was a surprise for us in the post-TRID environment, but changes in seller […]Read More

Seller Credits: Limits, Uses, and Rules

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Seller credits can ease closing costs, but they’re capped and can’t be used to prepay taxes or dues. Here’s what buyers and agents need to know.Read More