perfectmax
Junior Member
North Carolina
I am purchasing a home FSBO and he is doing a seller's concession for me to include closing costs of the loan. He bought the property about 11 months ago and he is selling for a higher value so he is faced with short term capital gains (23% is what he will have to pay on them).
He is telling me that he does not want to do a seller's concession unless I pay an additional 23% on the amount that we decide on for the seller's concession (closing costs).
Question: Is this correct or does seller's concession get deducted from the capital gains just like a realtors cost?
I am purchasing a home FSBO and he is doing a seller's concession for me to include closing costs of the loan. He bought the property about 11 months ago and he is selling for a higher value so he is faced with short term capital gains (23% is what he will have to pay on them).
He is telling me that he does not want to do a seller's concession unless I pay an additional 23% on the amount that we decide on for the seller's concession (closing costs).
Question: Is this correct or does seller's concession get deducted from the capital gains just like a realtors cost?