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Updated over 11 years ago,
Seller contribution towards down payment?
Is it possible to structure a deal where the seller contributes toward the down payment? For example, rental property purchase price is $30,000. Lender requires 20% down. Assuming the property appraises for $30,000 could a contract be written asking the seller to contribute $3,000 toward the down payment. I'm not talking about raising the selling price to $33,000. I'm talking about the seller walking away with a net of $27,000.
Please explain why or why not?
Thanks