Belt Auction

Does asking for a 6% sellers concession help or hurt me?

I am hearing opposite responses from my broker and my agent. I am a first time home buyer. I have more than what is required for my down and closing costs. My mortgage broker told me that I need to tell my real estate agent that I require a 6% sellers concession for the deal. I verbally gave him the ok but i wasn't sure exactly what that meant. When I told my real estate agent and she said I should look into another broker because that 6% won't allow me to find a home in the time period that I want to do so 2 months. She says it also makes me uncompetitive in the market when other buyers may not require a concession at all or may only require a 3%. My broker is adamant he requires 6%. I found him on zillow.com and he had over 20 (5) star reviews from past clients. But given my real estate agents advice now I'm not sure. I am doing an FHA loan and I have more than the 3.5% down which is required, why do I need the 6% concessions? Is asking a 6% concession in my favor [per my broker] or against it [per my realtor]. I greatly appreciate any advice you can give me.

Public Comments

1. The 6% sellers concession is just asking for 6% from the seller towards closing costs. You do not have to by any mean ask for the 6% sellers concession, although it will help you towards paying less when it comes time to close. It does make you less competitive in this market but if a seller doesn't want to pay he can counter back and tell you that your deal is good just without the 6% concession on his part. If you're broker is that adamant about you having to have the 6% I would find a different mortgage broker.