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When buying a home, every dollar counts. While price is a major part of the negotiation, savvy buyers know there are several other areas where they can save money—and sometimes, even walk away with extra perks. From closing costs to interest rate buydowns, inspection repairs, and even furniture, here are the top ways homebuyers can negotiate with sellers to make the most of their investment.
1. Ask for Seller-Paid Closing Costs
Closing costs typically range from 2–5% of the purchase price and include fees like title insurance, lender fees, escrow charges, and more. Instead of shouldering the full amount, you can negotiate for the seller to cover a portion (or even all) of your closing costs. This is especially common in buyer-friendly markets or when a home has been sitting unsold for a while.
💡 Pro Tip: Ask your lender how much seller credit you’re allowed based on your loan type. FHA and VA loans allow up to 6% in seller contributions.
2. Negotiate an Interest Rate Buydown
A rate buydown is when the seller contributes funds to reduce your mortgage interest rate, which lowers your monthly payment. This can be structured as a temporary buydown (e.g., 2-1 buydown) or a permanent buydown. With high interest rates, this is an increasingly popular negotiating tactic.
💡 Example: A 2-1 buydown lowers your rate by 2% the first year, 1% the second, and then reverts to the original rate. This gives you breathing room early on.
3. Use Inspection Findings to Renegotiate
Home inspections almost always turn up something—use that to your advantage. If significant issues are discovered, you can:
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Ask the seller to make repairs before closing
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Request a credit at closing so you can handle repairs yourself
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Negotiate a lower purchase price
Even smaller issues can add up. Don’t be afraid to ask for reasonable concessions.
💡 Tip: Always prioritize health, safety, and structural concerns over cosmetic fixes when negotiating after an inspection.
4. Negotiate for Appliances or Furniture
If the seller is downsizing or relocating, they may be willing to include appliances, furniture, or fixtures in the sale. While not a direct financial concession, this can save you thousands in moving and replacement costs.
5. Request a Home Warranty
A home warranty can cover repairs to appliances and systems for the first year. Sellers often agree to this relatively low-cost item as a gesture of goodwill—or to reassure buyers after inspection findings.
💡 Bonus: Some warranty companies allow you to choose your own contractor for repairs, giving you more control over the process.
6. Leverage the Appraisal
If the home appraises for less than the purchase price, your lender will only finance up to the appraised value. This puts you in a strong position to renegotiate the price or ask the seller to meet you halfway.
7. Time It Right
If the seller is on a tight timeline—relocating for a job, closing on another home, or eager to avoid another mortgage payment—they may be more open to concessions in exchange for a quick close.
Final Thoughts
Negotiating isn’t just about getting the lowest price—it’s about maximizing value. With the right strategy and a knowledgeable real estate agent on your side, you can craft a deal that works for your budget and sets you up for success as a homeowner.
🔑 Thinking about buying a home? Let’s talk strategy. I’ll help you negotiate smart so you can move in with confidence—and a little extra cash in your pocket.
