Buyer

November 18, 2025

In 2021, asking for seller credits was a rookie move. In 2025, it’s a power move — and the savviest Pasadena buyers are using it to save five figures on closing day.

The Market Shift

As the market rebalances, sellers are prioritizing clean, qualified offers. But they’re also more open to concessions — especially when faced with longer days on market. On average, 32% of Pasadena listings in Q1 2025 closed with some form of seller credit.

What Are Seller Credits?

They’re funds the seller gives back to the buyer at closing — typically 2–3% of the purchase price — that the buyer can apply toward:

Closing costs
Loan origination fees
Temporary rate buy-downs
Repairs or upgrades

A $1M purchase with a 3% credit equals $30,000 in buyer savings — enough to offset your first year of mortgage insurance or buy down your rate nearly 1%.

How to Ask Without Undermining Your Offer

1️⃣ Lead with Strength: Show proof of funds, lender pre-approval, and quick-close readiness.
2️⃣ Target Timing: Request credits after inspection or once the seller’s property hits day 30 on market.
3️⃣ Know Your Market Data: If average concessions are 2.5%, start at 3% and negotiate down.

Case Example

Jason represented a young couple purchasing a Craftsman in Highland Park. Listed at $1.1M, they offered $1.07M with a 2.5% seller credit. The sellers accepted within 24 hours because the offer felt both respectful and realistic — and the credit covered nearly $27,000 in costs.

Why Sellers Say Yes

It preserves headline price (they still “get” their asking number).
It moves the deal forward fast.
It’s often cheaper than another 30 days on market.

“Negotiation isn’t confrontation,” Jason says. “It’s collaboration when you frame it as a win-win.”

Bonus Strategy: Rate Buy-Downs

Many buyers now use credits to fund a 2–1 temporary rate buy-down, lowering payments the first two years while waiting for rates to drop. This creative financing hack makes homes more affordable and keeps sellers happy.