Pre-Approved

[BlueEyedwitch]

1st off  I have been a lurker on the boards for over 2 years.  I have gone from a score of 503 to 646-698 it took me 2 years but I did it!  I want to thank you guys!!! 

Now.....DH & I were pre approved for a mortgage ($199,000).  Its a FSBO.  We only have the 3.5% down payment, seller will pay 3% closing cost.  I assumed the 3% that the seller would pay is on the total amount of the closing cost, lets say $8000 which means she would pay $2400. The seller is telling me its 3% of the price of the house which would be $5970.  Who is right here?  I am hoping she is. 

[ShanetheMortgageMan]

Congrats on the credit improvement.  The 3% figure would be based on the sales price, which comes out to $5,970, so she is right.  Also want to point out that 3% of $8,000 is $240, not $2,400... you were calculating 30% of $8,000 in your example.

[BlueEyedwitch]

Opps!  Thank you Shane!  LOL I have got SO MANY #'s & $$$ Signs in my head these past 2 days!!!!  But now I really do feel better!!!

[ShanetheMortgageMan]

You are welcome, always nice when there are pleasant surprises.