FHFA Confirms GSEs' Guidance on IPCs

The Federal Housing Finance Agency (FHFA) sent a letter to NAR confirming that both Fannie Mae and Freddie Mac published explicit confirmations on April 15th, 2024, that buyers whose agent is compensated by the seller will continue to have access to financing through those institutions.  Furthermore, so long as it remains "customary" by “local convention” for the seller to pay commissions, those will not be added to the interest party contributions (IPC) and subject to the caps on IPCs.

Interpretation of this rule under the proposed settlement was of great concern, and NAR wrote to Fannie Mae, Freddie Mac, and the FHA seeking confirmation of our interpretation. In a letter to NAR, FHA confirmed that this interpretation does hold.

FHFA's Letter to NAR

Fannie Mae's Notice on Real Estate Commissions and Interested Party Contributions

Freddie Mac's Guidance on Commission Paid to Real Estate Agents