Seller Concessions FHA

[JMMD]

I have read both 6% and 3% for the allowed Seller Concessions with FHA. Which one is correct?

[Anonymous]

6% for FHA

[StartingOver10]

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@JMMD wrote:

I have read both 6% and 3% for the allowed Seller Concessions with FHA. Which one is correct?

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Remember the phrase is "up to a maximum 6%". for seller concessions for an FHA loan.

However, if you are trying to get a bank to contribute toward your closing costs and pre-paid expenses on a REO deal, they usually limit the contribution to 3%, even on FHA financing.  

[JMMD]

Thanks for the info!

[DallasLoanGuy]

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@StartingOver10 wrote:

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@JMMD wrote:

I have read both 6% and 3% for the allowed Seller Concessions with FHA. Which one is correct?

---

Remember the phrase is "up to a maximum 6%". for seller concessions for an FHA loan.

However, if you are trying to get a bank to contribute toward your closing costs and pre-paid expenses on a REO deal, they usually limit the contribution to 3%, even on FHA financing.  

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to clarify. that is the seller limiting the concessions in this case..... not fha