{"id":21029,"date":"2025-01-29T05:57:53","date_gmt":"2025-01-29T13:57:53","guid":{"rendered":"https:\/\/www.homelight.com\/blog\/?p=21029"},"modified":"2025-09-30T17:26:01","modified_gmt":"2025-10-01T00:26:01","slug":"concession-real-estate","status":"publish","type":"post","link":"https:\/\/www.homelight.com\/blog\/concession-real-estate\/","title":{"rendered":"Need to Sweeten the Deal? Here\u2019s How Seller Concessions Work in Real Estate"},"content":{"rendered":"

What if there\u2019s a smart game plan to seal the deal on your home sale? In today\u2019s fast-paced market, you need more than just a good listing. Whether it’s pricing it right<\/a> or making key upgrades<\/a>, there are many ways to attract buyers. One game-changing move you might not have considered? Exploring seller concession real estate opportunities to sweeten the offer.<\/p>\n\n\n\n\n\n

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Top Agents Know How to Close the Deal<\/h3>\n

Knowing which seller concessions can help get your home sale over the finish line without giving away the farm isn’t always easy.<\/p>\n

Step 1 is working with a top agent to help maximize your home sale.<\/p>\n \n

\n Find Agent<\/a>\n <\/div>\n <\/div>\n<\/div>\n\n\n
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What are concessions in real estate?<\/b><\/h2>\n

As a seller, you hear the term \u201cconcession\u201d thrown around in real estate. But exactly what does that refer to?<\/p>\n

Put simply, concessions are incentives, like payment for closing costs<\/a>, necessary repairs<\/a>, or personal property like furniture that the seller offers the buyer to sweeten the deal and close the transaction. In other words, concession real estate opportunities allow sellers to lock in the sale faster.<\/p>\n

So, let\u2019s say you\u2019re selling a property<\/a>, and the home inspection<\/a> reveals that the HVAC is totally kaput and will require a $10,000 overhaul. You can offer the buyer a $10,000 credit as a concession to apply at closing.<\/p>\n

At first glance, it may seem like concessions always benefit the buyer more than the seller, but that\u2019s not always the case. If you\u2019re hoping to attract offers in a slow market or are motivated to sell quickly, negotiating with concessions<\/a> helps you close the deal.<\/p>\n

In fact, 52% of top-performing agents believe that offering seller concessions<\/a> and credits helps sellers close deals in a market with consistently high interest rates and cautious buyers.<\/p>\n

With our expert-backed primer, you\u2019ll learn the ins and outs of seller concessions, including examples of different types of concessions, when and how to use them, and how they can benefit both sellers and buyers.<\/p>\n

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What are the types of concessions in real estate?<\/h2>\n

You\u2019ll see the term \u201cconcession\u201d used in two primary contexts in real estate: financing concessions and sales concessions. Let\u2019s dig into what each of these entails.<\/p>\n

Financing concessions cover closing costs<\/h3>\n

A financing concession is when the seller offers to pay a higher portion of the buyer\u2019s closing costs (typically 2 to 5% of the mortgage<\/a>). Here are some examples of closing costs<\/a> a seller can offer to cover as a concession:<\/p>\n