What does Concession mean?

A concession in real estate is any offer from the buyer or seller that can benefit or cause a discount on the property's total price. Some examples could be the buyer offering to renew or repair the property and buy some appliances.

These acts directly impact the total market value of the home and help to close the deal. However, they need to be evaluated with caution to ensure none of the parties are being scammed.

A reasonable concession can benefit both the buyer by lowering the total closing expenses and the seller by allowing them to close the deal faster.

Related Terms

Deep-Seal Floor Drain Usury Two-Step Mortgage Back Title Letter Probate Sale Price Range Mortgage broker Dual agency Index Federal Home Loan Mortgage Corporation, Law Co-Housing Home Inspection Assessment Rolls Loan Processing Fee R-Value Broom Clean Covenants, Conditions and Restrictions (CC&Rs) Easement