The speaker clarifies that when a seller pays the buyer's agent commission, it doesn't count toward the seller-concession cap under updated Fannie Mae and Freddie Mac guidelines. The payment stays separate from the mortgage and concession limits. Check singlefamily.fanniemae.com for full details.
All right, as the young people say, my B, my B, my bad, my bad. When I rolled out my video on Tuesday about the updated Fannie Mae and Freddie Mac guidelines, my wording was super clunky. So first of all, you can always get the information yourself at singlefamily.fannie Mae.com. Secondly, let me explain it a little better now that there's been 2 days to understand it. When you have a maximum amount of concessions available under the loan guidelines for the seller to pay on behalf of the buyer. If the buyer also asks the seller to pay their agent, that concession doesn't count under the other concession cap. So it's not that it's being rolled into the mortgage, it's that if the seller says yes to paying it, that dollar amount, whatever it is, doesn't count towards concessions. As always, talk to your local lender and make sure they too are getting their information from the source.
