negotiating with buyers

Hi all - new here.

I’ve got a seller who’s offering 5K above list but wants us to pay all closing and prepaids for a middle-of-the month closing (agent estimates buyer closing costs will be $7K). Do I a) tell the agent we’ll pay up to $5000 in closing, period; or b) ask the buyer to increase their offer by $2000. Is it worth it to even bother negotiating? Sigh :-\

There are a ton of variables you need to look at just to name a few!

Is the loan already done on the purchase end?

How much is the house?

how much if any will the bank allow for seller concessions?

what sound does an ox make??
(Sorry always wondered about that had to ask)

How much are you bringing to the table cash wise to close?

will this kink the deal?

Yeah, the buyer is preapproved - all set to go. The house is listed at 240K. I’m not sure how much the bank will allow for seller concessions but since it’s a VA loan I know there were already things we were going to have to pay b/c the buyer cannot. Honestly, this probably would kink the deal. I think the buyers are stretched to the limit and don’t have down-payment cash.

How much did you make on the deal and what will it cost you if they pull out and you have to hold it another month or two? Do a cost analysis on your end. My guess is 2k concession for a sold property is more then worh it. Just a guess from my end with very little info on the deal.

Go get um,

It looks like we’ll net about 98K after taxes and fees, etc. This is on our primary residence though so we’ve had it for four years. Holding it for 2 more months would of cost us the $2K anyway. IIn the end, it wasn’t worth losing a bird in the hand but I did counteroffer with “up to $7K”. Seems to have worked. We now have a deal! Now - if we can safely make it through the inspection… :wink:

I think most lenders will only allow the seller to give the buyer up to 3% of the purchase price for closing costs. Some lenders may vary, but that is what i usually hear from people. which in this case, 3% of the 240,000 is $7,200