Can a realtor help in covering closing costs?
Can a realtor contribute toward closing costs? A bank just offered us to cover all closing costs on a loan so I was wondering if a realtor can do the same? I still have to compute though because if the interest rate is too high they still get their money one way or another. by farber686 from Orlando, Florida. Dec 14th 2021
Joe Metzler (JoeMetzler)
#17 ranked lender in Minnesota - 4,848 contributions
Yes, the real estate agent can contribute towards closing costs up to the maximum the loan program allows. The reason your interest rate is "too high" is because there really ARE closing costs. The lender / bank offering to pay for them is slight of hand. They are paying for them for you by INCREASING the interest rate on the loan so that YOU pay those closing costs over time vs up-front through the higher interest rate. This isn't automatically good or bad. It just needs to be understood, and then you decide what you want to do. I lend in WI MN IA ND SD. Find me at WI-MortgageBroker.com - Cambria Mortgage, NMLS 274132
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