The blog
April 30, 2025
Seller Concessions: The Smart Strategy Colorado Homeowners Shouldn’t Overlook When Selling a Home
When you’re getting ready to sell your home in Erie or across Northern Colorado, you’re likely focused on pricing, staging, and marketing. But there’s one behind-the-scenes strategy that could help you sell faster and potentially net more: offering seller concessions.
Wait—offering buyers money? How is that a smart move?
Stick with us, and we’ll explain why this tactic might just be your secret weapon in a shifting market.
In this quick video, I’m explaining why Seller Concessions are something Sellers AND Buyers should be aware of.
💡 What Are Seller Concessions?
Seller concessions are incentives a seller offers to the buyer to help sweeten the deal. These concessions usually come in the form of a credit at closing to cover buyer costs such as:
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Loan origination fees
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Title insurance
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Appraisal fees
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Prepaid taxes or HOA dues
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Interest rate buydowns
Rather than reducing your home’s price outright, concessions provide targeted financial relief to the buyer—often making your home more appealing in a competitive market.
📉 Why Are Seller Concessions on the Rise?
In 2021 and early 2022, seller concessions were rare. Buyers were competing like crazy, often waiving contingencies and bidding over asking. But the market has shifted.
Today’s buyers are facing:
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Higher interest rates
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Tighter lending standards
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Increased cost-of-living pressures
This means more buyers need help covering upfront costs. As a result, offering concessions can be a strategic way to stand out—without sacrificing your bottom line.
🤔 Should You Offer Concessions Instead of Dropping the Price?
Sometimes a $10,000 price drop doesn’t feel as impactful to a buyer as a $10,000 credit toward closing costs. That’s because concessions directly affect how much a buyer has to bring to the table in cash, not just their loan amount.
Here’s a quick comparison:
| Scenario | Price | Concession | Buyer Impact |
|---|---|---|---|
| Price Drop | $490,000 | $0 | Slightly lower mortgage |
| Seller Concession | $500,000 | $10,000 | Same net to you, but helps buyer bring less cash |
Buyers often don’t care as much about the monthly payment as they do about their cash-on-hand today. A concession can be more attractive than a price cut—and more strategic for you.
🛠 How to Use Seller Concessions Wisely
Not all concessions are created equal. Here’s how we guide sellers at Luginbill Homes:
✅ Be Strategic
Offer just enough to help buyers over the hump, not so much that it cuts deeply into your bottom line.
✅ Pair with Smart Pricing
Use concessions in combination with a well-priced home, not as a way to justify overpricing.
✅ Communicate Clearly
We highlight concessions in your MLS listing and marketing materials to attract attention—and avoid surprises during negotiation.
✅ Work With Your Agent (👋 That’s Us!)
We’ll advise you on what’s typical in your neighborhood and how concessions can improve your odds of a clean, fast sale.
Click HERE to get our Seller Success Checklist!
📍 Local Example: What We’re Seeing in Erie and Boulder County
In areas like Erie Highlands, Colliers Hill, and Flatiron Meadows, we’re seeing a noticeable uptick in buyer requests for concessions—especially on homes priced between $600K–$850K.
Buyers are more sensitive to cash required at closing. Instead of reducing a home’s list price, we’ve successfully helped sellers negotiate win-win offers by offering $5,000–$15,000 in concessions—while still hitting their net proceeds goals.
🙋♀️ FAQ: What Else Should I Know?
Q: Can I offer concessions if I’m already covering things like staging and repairs?
A: Yes—but we’ll help you decide how much is too much. It’s all about your net.
Q: Will this make my home seem less desirable?
A: Not at all. Many buyers are actively looking for homes that offer help with closing costs. It can be a marketing advantage.
Q: Are there limits on how much I can offer?
A: Yes. Lender guidelines typically cap concessions between 3–6% of the purchase price, depending on loan type. We’ll help make sure everything aligns.
📈 The Bottom Line: Seller Concessions Can Net You More, Not Less
The key to using seller concessions effectively is to think beyond the price tag. You’re not just selling a home—you’re offering a path for a buyer to say “yes” with confidence.
By offering help where it matters most, you attract better offers, speed up your timeline, and stay in control of the process.
📞 Ready to List With Strategy?
At Luginbill Homes, we don’t just list homes—we create smart, customized selling strategies that work. Whether you’re just curious about your home’s value or ready to go live, we’re here to guide you every step of the way.
👉 Contact us today for a free market analysis or to talk through your goals.
📲 Reach out anytime or get started here
If you have further questions about selling a home, please feel free to email or call me any time. I’d be happy to talk to you!
If you’re ready to take the next steps in your home buying process and you’d like a Realtor that takes social responsibility and impact to heart…know that we will advocate for, support and educate you every step of the way and we would LOVE to be considered for the job!
Sincerely,
Jessica, Misti and the Whole Luginbill Homes Team!
