What is the purpose of a seller's concession in a real estate transaction?

A seller's concession is a specific strategy used in real estate transactions to assist buyers by covering some or all of their closing costs. This financial assistance can make it easier for buyers to finalize the sale, especially if they are facing budget constraints. By offering this concession, sellers can make their property more attractive to potential buyers who might otherwise struggle with the up-front expenses associated with purchasing a home.

Reducing the listing price of the property or offering a warranty does not directly address buyers’ immediate financial burdens at the closing table. Similarly, increasing the property’s market value would not be the purpose of a seller's concession, as concessions are typically aimed at facilitating a sale rather than enhancing the overall value of the property.