Re: settlement sheet

"DC Gringo" <[EMAIL PROTECTED]> wrote
> They are incentives that a seller can offer to sweeten the deal for the
> buyer to ease the cash at close needs.  Basically, they upped the price of
> the house by the same amount, but that same amount was made available to
me
> at the closing table to reduce my burden.  It's very common.


Does your lender know.  That is the point.

How increasing the price to above what you can afford, then refunding the
price to what you think you can afford, doesn't seem right.  Does it?  The
lender is the one at risk as they loaned you more than the house is really
worth.

How this "eases your burden" better than decreasing the price at the front
end is beyond me.


--
Paul A. Thomas, CPA
taxman at negia.net