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This dates back to the summer of 2010, but it looks like the wheels are in motion to implement a change. The bad news is that there will be a new lower cap on seller concessions (seller contributions). The good news is that it will not be a hard reduction in seller contributions from 6% to 3%. The new cap will be the greater of 3% or $6000. This is being done in an effort to avoid negatively impacting lower dollar homes.  Example:  On a $150k purchase, the limit on seller contribution is the greater of 3% ($4500) or $6000.  In this case $6000.  On a $250k purchase, it’s the greater of 3% ($7500) or $6000.  In this case, $7500.

This is not official at this point and there is not a date set for implementation, however HUD has taken the next step of publishing their intent to the federal register.  I would expect this to go into effect sometime in the next 12 months.