Years ago when I purchased my first house I applied for a Veterans Administration Mortgage (VA). At the time it was the only mortgage that allowed the seller to pay all of my closing costs. I was much younger than I am now and I relied on my real estate agent to guide me through the process. With his help, I asked the seller to pay all of my costs to close and in return I paid him his asking price. By choosing not to use my savings toward down payments and closing costs I eliminated my opportunity to negotiate a lower price on the house. Since then, mortgage products and regulations have changed and most mortgages allow the purchaser to negotiate closing costs.

Posted on Tuesday, January 13th, 2009 at 5:50 pm and is filed under Questions and Answers. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.