Asking for closing cost

[dd1204]

My husband and I are looking to make an offer on a home and trying to see if we should offer full price and ask for closing or just submit a lower offer. The home is price good for the neighborhood.

[mrs.jacinthe]

That's something really individual to the neighborhood and what's typical for your area. We asked for closing costs and got them, but we were prepared to lose them in negotiation if necessary.

[ktzmoh]

We did both - offered lower than asking and also asked for closing costs.

We wanted to renovate a bathroom before moving in, so we preferred to ask for closing costs so we could use the cash we had reserved for closing toward the renovation.

I'd say it really depends on your area and the market there. What does your realtor say?

[boiler717]

Definitely area dependent. Our agent also told it depended somewhat on the type of home as well.

[stephm0188]

It varies from area to area and even case to case. When we sold, we knew we were going to have to bring a lot of cash to closing. We offered an allowance for closing costs, but no way could we have paid for all of them.

Our house had been vacant and on the market nearly a year and was a fixer-upper in a neighborhood full of move in ready and even new construction homes. We asked for both a lower selling price and closing costs, but were fine when they countered full asking price and closing costs.

[kaylie]

If you're in a competitive market, asking for closing costs will likely make your offer less attractive in a multiple offer situation. If you're not in a competitive market, as long as the house will appraise for the price inclusive of closing costs it won't make much of a difference to the seller.

[simpsongal]

It depends on the house too. When we offered on ours we asked for full closing costs b/c we wanted to keep cash for upgrades (bought "as is"). We knew the sellers had plenty of cash on hand b/c the house was an estate and held by a trust.  Psychologically, I think our offer appeared strong b/c we offered the asking price (but the closing costs were about $20K). 

If it's a current family house and they didn't make a killing on the house (check records for previous purchase price), then they may not have a lot of cash to bring to the table.