Specifically this clause from the Fannie Mae website https://www.fanniemae.com/content/guide/selling/b2...The new loan amount can be no more than the actual documented amount of the borrower's initial investment in purchasing the property plus the financing of closing costs, prepaid fees, and points on the new mortgage loan (subject to the maximum LTV, CLTV, and HCLTV ratios for the cash-out transaction based on the current appraised value).

.:)Many of the charges you'll get from title attorneys are pre-paids (taxes and insurance).  

Seems like you are knocking him down pretty far, beating him up on normal prepaid items, and asking for a hand to do so. 

Especially when meeting contract deadlines, HMLs ask for applications, appraisals, inspections, credit checks, upfront points, prepaid interest, etc. that can cause one to loose a deal.

It is always safest to have an attorney review the forms to make sure they are appropriate for your purposes (this service is inexpensive if you subscribe to a pre paid legal service--I can give you a link to one if you send me a PM and ask for it).

A lot of it is prepaid items like insurance or taxes, so you're not losing that, just pre-paying it.- Tom

Recording fees, title insurance, insurance prepaids, tax prepaids, tax prorations, and the plethora of fees from every government entity with their fingers in the pie still apply.

Yes it can come from the seller if the seller carries a note back, but the seller cant outright contribute proceeds towards your down payment ( closing costs and prepaid costs yes, but not DP).You'd need a lender who understands the lenders guidelines regarding a creation of a 2nd mortgage note carried back by a trust deed in CA.

It's painful and you will feel like an a$$hole, but it will save you a ton of money.I used this strategy a couple months ago and ended up paying a total of $2,200 in closing costs, including $1,500 in pre-paid property tax which I was going to owe anyways.So, yeah...

US Dept. of Justice on Realtor Rebates        https://www.justice.gov/atr/rebates-make-buying-home-less-expensive         https://www.justice.gov/atr/competition-and-real-estate-state-31                                                                  FREC (Florida Real Estate Commission) Rule 61J2-10.028 paragraph (2)The sharing of brokerage compensation by a licensee with a party to the real estate transaction (i.e. the buyer or seller) with full disclosure to all interested parties is not considered a violation.Facts: Seller Concessions to pay for Buyer's closing costs and prepaids are NOT the same as REALTOR REBATE.