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Rate Selection is not Available for a Discount?

How to price a scenario when the ability to select a specific rate is not available

Updated over 11 months ago

Issue: Rate Selection is not Available for a Discount when Pricing

Solution: The seller credits may be maxed out according to the loan amount and down payment.

  • Try reducing the Seller Contribution and the ability to select prices with discount will become available.

    Possible Scenarios for Each Loan Type is Listed Below:

    Conventional Loans

    The limit for conventional loans depends on how much you are putting down:

    • If your down payment is less than 10%, the seller can contribute up to 3%.

    • If your down payment is 10-25%, the seller can contribute up to 6%.

    • If your down payment is more than 25%, the seller can contribute up to 9%.

    • If you are buying an investment property, the seller's contribution is limited to 2%, no matter your down payment

    FHA Loans

    For all FHA loans, the seller can contribute up to 6%.

    VA Loans

    VA loan rules dictate that the seller can contribute up to 4%. In addition, seller concessions on VA loans may include payments toward a buyer's judgments, debts, and VA funding fees.

    USDA Loans

    For USDA loans, the seller can contribute up to 6% of the buyer's loan amount. This is the one loan type where seller concessions are not based on the home price or appraised value.

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