Asking for Seller Concessions: Rate Buydowns and Closing Cost Help

A seller concession is money the seller agrees to put toward your costs at closing. In a market where buyers have room to negotiate, concessions can be one of the most valuable things you ask for.

Common types

• Closing cost help, applied to your lender fees, title fees, and prepaid items
• A rate buydown, where the seller pays to lower your interest rate
• Repair credits after inspections

Why a buydown can beat a price cut

Lowering the price by a few thousand dollars changes your monthly payment a little. Putting that same money toward buying down your rate can sometimes change it more, at least for the years the buydown lasts. Ask your lender to run the numbers both ways so you can see which saves you more.

Temporary vs. permanent buydowns

• A permanent buydown lowers your rate for the life of the loan.
• A temporary buydown lowers it for the first year or two, then it steps up to the note rate.

Each has tradeoffs, and your lender can explain which fits your plans.

Limits

Loan programs cap how much a seller can contribute, usually based on your down payment and loan type. Concessions can also only be used for allowed costs. Your lender will tell you the cap before we write the offer.

When it makes sense to ask

Concessions are easier to get when a home has been on the market a while or inventory is higher. In September 2026, the City of Austin had 5.4 months of inventory, according to Unlock MLS. When there is more to choose from, sellers are often more open to helping.

If you are getting ready to write an offer, let's ask your lender to model a few options before we decide what to request.