Seller Concessions

In the summer of 2008, I had a property for sale and was anxiously awaiting my first offer. When I finally had received it, I let out a large sigh. The offer was 10k below asking with an additional 6% seller concessions. That means, the Buyer wants me to give them 6% back to cover closing costs and down payment. That is almost 10k in concessions for a total off 20k below asking. Is the market really this bad where I am suppose to give my house away?

First time homeowner programs promote seller concessions. If someone can get into a house with out having to pay closing costs or even a down payment, that is great. Where were these programs when I was a first time home buyer? I remember saving like crazy and working as much as I could to scrape up my own down payment and closing costs. Times have changed and here we are, still 20k below asking. I ended up turning the offer down and waited a little longer for a better one that came through shortly there after.
Lets fast forward to October of that same year. I had a buyer who had Mortgage commitment prior to Oct 1st, 2008. His Mortgage guy instructed us to write the offer with 3% back from the seller and 3% to a down payment assistance program ran by one of the first time home buyer programs. FHA states that as long as the house was under contract prior to Oct 1s, 2008, they would honor the down payment assistance program. The only problem was, the bank that my buyer was using, wasn't going to honor the program. Well, wouldn't you know it, laws changed and they ended up getting rid of the down payment option. He was stuck with having to come up with the 3% for a down payment, which he didn't have.
I feel badly for those who work hard and just want the American Dream. To come so close to being able to purchase a home and then have it ripped out from under you is pretty horrifying.