Should I Offer Buyer Concessions or Lower My Asking Price in Denver?

By Kayte Foster

Your house has been sitting on the market, buyers aren't making offers, and now you're wondering whether to lower the price or start offering money to get someone through the door.

Before you slash $20,000 off your asking price and emotionally recover in the kitchen, let's discuss another option: seller concessions.

If you're selling a home in Denver or the surrounding metro area, the right strategy depends on why buyers aren't making offers.

Here's the short answer: Lower your asking price when buyers don't see enough value in your home. Offer seller concessions when buyers like the house but need help with closing costs or mortgage affordability.

Sometimes, the right answer is both.

What's the Difference Between a Price Reduction and Seller Concessions?

A price reduction lowers your home's advertised price. This can attract buyers searching within a specific budget and make your listing more competitive.

Seller concessions allow you to contribute toward certain buyer expenses without necessarily reducing the purchase price.

Let's say your Denver home is listed for $600,000.

You have three options:

• Reduce the asking price to $590,000.

• Keep the price at $600,000 and offer $10,000 toward eligible buyer closing costs.

• Negotiate a combination of both.

Each approach affects the buyer's financing and your final proceeds differently.

That's why I prefer running the numbers before we start handing out discounts.

When Should I Lower My Asking Price?

If your home isn't getting showings, seller concessions probably aren't going to solve the problem.

Buyers have to want to see your house before they care about the incentives.

I evaluate competing listings, recent comparable sales, online engagement, showing activity, and buyer feedback.

If similar homes offer more space, better finishes, or stronger locations at the same price, we may need to adjust.

And pricing your home based on what you need to walk away with? Unfortunately, buyers don't receive that memo.

The market determines value. Our job is to position your home accordingly.

When Do Seller Concessions Make More Sense?

Seller concessions can be particularly effective when buyers love your home but struggle with upfront expenses or monthly payments.

Depending on their financing, concessions may help cover:

• Eligible closing costs.

• Prepaid expenses.

• Mortgage discount points.

• Temporary or permanent interest-rate buydowns.

For example, a buyer interested in your $600,000 home might benefit more from a $10,000 credit toward an approved mortgage rate buydown than from a $10,000 price reduction.

Why? A rate buydown may provide greater monthly payment relief, depending on the loan terms.

However, concessions have loan-program limits and restrictions. The buyer's lender must confirm what's permitted.

And no, we cannot magically inflate the purchase price to cover concessions. The appraisal still needs to support the transaction.

Which Strategy Puts More Money in My Pocket?

Consider these two hypothetical offers:

Option A: $590,000 purchase price with no concessions.

Option B: $600,000 purchase price with $10,000 in seller concessions.

Both produce $590,000 before other selling expenses.

However, your actual proceeds may differ based on commissions, closing costs, taxes, mortgage payoff, and contract terms.

The higher offer must also satisfy appraisal and financing requirements.

I compare estimated seller net proceeds, not just the number printed at the top of the contract.

Because a $600,000 offer that never closes isn't worth $600,000.

What's the Right Strategy for My Denver Home?

A home in Golden or Applewood may face entirely different competition than a property in Parker, Arvada, or Castle Rock.

I don't automatically recommend a price reduction after 14 or 30 days.

If we're getting no showings, I investigate pricing and presentation.

If we're getting showings but buyers hesitate over affordability, concessions may be worth exploring.

If buyers consistently prefer competing homes, we need to understand why.

The goal isn't simply to get an offer. It's to negotiate the strongest practical terms while protecting your bottom line.

Before You Lower Your Price, Let's Run the Numbers.

Thinking about reducing your asking price? I'll compare your home's competition, evaluate buyer incentives, and show you what different strategies could mean for your actual proceeds.

No guessing. No unnecessary discounts. Just a strategy built around your property.

Visit Kayte Foster Homes  and let's figure out how to get your home sold without leaving money on the table.