Real Estate Proceeds on Negotiation

[Kathryne Omaits]

Hi all, wanted to ask, when a real estate property I'm purchasing... using a realtor in this one... has a binding contract and after the inspection was able to further negotiate the price down, is it better to take the decrease in price off the purchase contract (thus decreasing taxable) or put the decrease amount as a credit (decreasing the out-of-pocket at closing).  It is not a sizeable amount.   I'm thinking the former, but thought others may have some interesting valuable comments.