Can a builder legally get away with telling a consumer they will only get a 3% seller contribution i

If push came to shove, and the state attorney general took an interest, the builder probably couldn’t legally do this. As normal practice, however, it happens all the time. You certainly have the right to present a sales contract with the purchase price, asking for 3%, and not agreeing to use the in house lender. Doesn’t mean the contract will be accepted, but sure can’t hurt to make them say no. You (or your buyers agent, hopefully you have your own) could also ask the selling agent if they have concerns about the legality of forcing you to use their lender, might get their attention. If you do use the in house lender, be SURE that the rates and costs are competitive, and that the loan is not being marked up by as much, or more, than the discount you’re receiving!