Fannie Mae & Freddie Mac Clarify Buyer Agent Commissions: Impact on Real Estate in Parkland, FL

Navigating the real estate market in Parkland, FL, can be tricky, especially with recent changes surrounding buyer agent commissions. Fannie Mae and Freddie Mac recently clarified how seller-paid commissions affect real estate transactions. Here’s a breakdown of what this means for you!

Understanding Fannie Mae & Freddie Mac’s Recent Clarification on Buyer Agent Commissions

Navigating the real estate market can be tricky, especially with recent changes surrounding buyer agent commissions. If you’re wondering how the National Association of Realtors (NAR) ruling affects your next home purchase or sale, don’t worry. Fannie Mae and Freddie Mac just offered some much-needed clarification, and I’m here to break down exactly what that means for you!

Seller Contributions to Buyer Agent Commissions

Freddie Mac and Fannie Mae clarified that sellers can still contribute to a buyer’s agent commission without it counting against the maximum seller concessions allowed in a home purchase. In other words, if a seller wants to pay your buyer agent’s commission to sweeten the deal, this won’t count towards the seller’s contribution limit for closing costs.

What Does This Mean for You?

  1. Smooth Sailing for Buyers: The recent clarification ensures that seller-paid commissions remain outside the contribution limits, providing relief to buyers facing rising costs.
  2. Fair Play for Agents: Buyer agents can still receive fair compensation for their work, maintaining the integrity of the real estate profession.
  3. Spring Market Ready: With the spring housing market in full swing, sellers can confidently prepare homes knowing these contributions won’t affect their ability to cover closing costs.

Understanding the Impact of Seller Contributions

Fannie Mae’s Selling Guide allows sellers to contribute to a buyer’s closing costs within certain limits, which range from 2% to 9% of the property value. These contributions help buyers cover essential expenses like appraisal fees and title insurance. However, commissions paid by sellers (or their agents) for the buyer’s agent are not included in these contribution limits.

Why Is This Important?

  1. Local Customs Matter: Real estate transactions often follow local customs regarding who pays what. Fannie Mae and Freddie Mac understand this and ensure that seller-paid commissions remain exempt from the contribution cap.
  2. Risk Management: Both agencies are keeping a close eye on the real estate market to ensure their policies reflect the latest industry changes.

Key Takeaways from Fannie Mae and Freddie Mac

  1. Contribution Limits Unchanged: Seller contributions to closing costs remain capped at 2% to 9%, depending on the property’s value.
  2. Seller-Paid Commissions Excluded: Seller-paid buyer agent commissions remain outside the cap, preserving customary transaction practices.
  3. Monitoring the Market: Fannie Mae and Freddie Mac are watching the ongoing commission lawsuits and settlements closely to evaluate potential policy implications.

The Road Ahead Looks Bright

This clarification is good news for buyers, sellers, and agents alike. It ensures smoother transactions and provides peace of mind as you navigate the spring market. Whether you’re buying your first home or investing in Parkland’s bustling real estate scene, make sure you connect with a trusted expert who understands the latest rules.


Q: How does this clarification affect real estate agents in Parkland, FL?
A: It allows agents to continue receiving fair compensation while adhering to the latest rules, ensuring smoother transactions for all parties.

Q: Can sellers still contribute to a buyer agent’s commission?
A: Yes, sellers can contribute to buyer agent commissions without these contributions counting against the closing cost limit.

Q: What are the contribution limits for seller concessions?
A: Seller concessions are capped at 2% to 9% of the property value, depending on the property’s value.

Q: Will this clarification impact ongoing commission lawsuits?
A: Fannie Mae and Freddie Mac are monitoring ongoing lawsuits and settlements to ensure their policies reflect the latest changes.

Need More Info?

If you need more information or have questions about buying, selling, or investing, I’m here to help. Let’s talk real estate and make sure your next move is a successful one!

Please visit our Home Buyer’s Page or Home Seller’s Page to find how we may provide trusted advice in the search or sale of your Parkland residence.

📲 Call/Text Direct at 954-444-8686
📩 Email:
🖥️ Website:
🖥️ Website:
🖥️ YouTube Channel

Thinking of selling your home? Locally or Globally, I Can Help:


See what my Clients Have to Say: GOOGLE REVIEWS

Let’s Stay Connected: @rustyhanna  /rusty.hanna