sangfnsgfsd
Categories: Brett's Mortgage Blog

How Much Can The Seller Help You With Closing Costs? Here’s How Much…

Do you know the best way to get sellers to help pay your closing costs, prepaid taxes, insurance and reserves when you buy a home?

…You ask them!

You make it part of your offer to purchase.

Depending on the circumstances they may or may not say “yes” to your request, but you should at least know the limits they are allowed to help you based on the loan program you are using.

Here is a breakdown of the maximum seller help amounts by loan program…

Program: Conventional (fannie/freddie), owner occupied…

1) 25% or more down payment = 9% allowed seller contribution.

2) Less than 25% down and up to 10% down payment = 6% allowed seller contribution.

3) Less than 10% down payment = 3% allowed seller contribution.

4) Fannie Mae Homepath: less than 25% down = 6% allowed contributions; 25% down or more = 9% allowed contributions.

Program: FHA

1) 6% maximum seller contribution.

Program: VA

1) 4% closing cost contribution.

Program: USDA

1) No limit to how much sellers can contribute (is limited by actual closing costs/prepaids). When a home appraises higher than the sales price, closing costs can be financed with USDA rural loans up to the difference between the sales price and appraised value.

That’s it for today!

Have a good day today! …and thanks for reading.

Brett

Get Pre Approved For A Loan Here.

Get A Rate Quote Here.

Need A Mortgage Calculator?

My Previous Blog Posts

Brett Sampson

Recent Posts

No Income Documentation Necessary For This Type Of Loan…

Merry Christmas! If you want to acquire rental properties, but you are having issues proving…

1 day ago

Important To Know Before You Buy A House…

One of the most important things you will have to do when you apply for…

6 days ago

Free Grant Money Available For These Professions…

I wanted to let you know we have a 2% to 5% downpayment and closing…

1 week ago

No Income Documentation Needed For This Loan…

If you want to acquire rental properties, but you are having issues proving your income…

2 weeks ago

How To Get Cash Out Of Your Home Without Paying Off Your Low Interest Mortgage…

Do you need cash out of your home, but you don’t want to refinance the…

2 weeks ago

How To Get A Conventional Loan With Less Than Two Years Work History…

In the mortgage world there are rules we have to follow. Such as, rules about…

3 weeks ago