Seller Concessions: A Smart Strategy to Sell Your Home Faster

Over the past few years, sellers have had the upper hand in the housing market. But as inventory grows and the market shifts toward a more balanced state, sellers may need to be more flexible to close a deal. One effective strategy? Offering concessions.

What Are Seller Concessions?

Seller concessions are costs that a seller agrees to cover to make their home more appealing to buyers. In 2024, nearly 1 in 4 sellers (24%) offered some type of concession, according to the National Association of Realtors (NAR). Here are some common examples:

• Covering Closing Costs: Sellers can help by paying part (or all) of the buyer’s closing costs, such as loan fees, appraisal charges, or title insurance.

• Price Adjustments: Instead of making repairs, sellers may lower the purchase price to account for work the buyer will need to handle.

• Including a Home Warranty: Offering a home warranty can give buyers peace of mind by covering certain repairs in their first year of ownership.

  
  

And concessions aren’t always about money. Sometimes, small extras can seal the deal—like leaving behind a lawn mower for a first-time homeowner or covering HOA fees for a few months.

How Seller Concessions Can Work in Your Favor

Offering concessions can be a powerful tool in negotiations. Dennis Shirshikov, a finance and economics professor at City University of New York, explains:

"Pricing homes realistically and being willing to offer concessions, such as covering a portion of closing costs or including upgrades, will be key to closing deals in a less frenzied market."

For example, if a buyer requests repairs after an inspection, you have options:

• Make the repairs yourself and cover the costs before closing.

• Reduce the sale price to account for the needed repairs.

• Offer to cover some of the buyer’s closing costs, giving them extra funds to handle the repairs themselves.

Each of these solutions can help keep the deal on track without restarting the process with a new buyer.

The Importance of Strategic Negotiation

While concessions can help attract buyers, you don’t want to give away too much. A skilled real estate agent can guide you on when and how to offer concessions while protecting your bottom line. The goal is to strike the right balance—making your home appealing while ensuring a smooth, profitable sale.

Bottom Line

As the market becomes more balanced, seller concessions are making a comeback. If you’re thinking about selling, working with an experienced agent can help you navigate these negotiations strategically. Let’s connect to discuss how concessions could help you sell your home faster and for the best possible price.