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Seller concessions calculator

Pick the buyer's loan, enter the price and the credit you're negotiating. You get the most the seller can contribute and how much room is left.

The limits

  1. FHA

    6% of the sales price from all interested parties combined – closing costs, prepaids, discount points, upfront MIP (HUD 4000.1).

  2. USDA

    6% of the sales price toward financing costs, closing costs, escrows, furniture or giveaways (7 CFR 3555.102).

  3. Fannie Mae – main or second home

    LTV/CLTV above 90%: 3%. 75.01–90%: 6%. 75% or less: 9% – of the lower of price or appraised value (B3-4.1-02).

  4. Fannie Mae – investment property

    2%.

Before you write the number into the contract

  • Confirm the loan program and the buyer's loan amount with the lender.
  • If the appraisal may come in low, a Fannie Mae limit can shrink with it.
  • Commissions the seller customarily pays are not concessions under FHA's rule.

Questions about seller concessions

How much can a seller pay toward closing costs on an FHA loan?

Up to 6% of the sales price from the seller and other interested parties combined; more than that is an inducement that lowers the price used for the loan (HUD Handbook 4000.1).

What is the seller concession limit on a conventional loan?

On a Fannie Mae loan for a main or second home: 3% above 90% LTV, 6% from 75.01% to 90%, 9% at 75% or less; 2% for an investment property – of the lower of price or appraised value.

How much can a seller contribute on a USDA loan?

Up to 6% of the sales price, unless the agency provides otherwise (7 CFR 3555.102).

Related guides and tools

ClosingCode's free seller net sheet checks the same limits against the seller's numbers – no sign-up.

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Sources: HUD Handbook 4000.1 (interested party contributions); 7 CFR 3555.102; Fannie Mae Selling Guide B3-4.1-02 (read October 2026).

An estimate, not legal or financial advice. ClosingCode is software; it is not a lender. This guide is not a substitute for the advice or services of an attorney.