Positive adjustments in Sales Concession section

[J Grant]

Denis, I agree, and have been pointing this out since I started posting on REO vs non REO sale...it is market specific, (and then report specific because what is true for one subject in a market area may not be for another), and the discount, if any, for REO purchases can change over time as well. One has to look at typical buyers, substitutes for the subject, market conditons etc.

 

[Have Laser-Will Travel]

(my bold)

On this, we agree.
However, that wouldn't be a violation of the GSE's prohibition on positive seller concessions.
What you describe would be a transactional adjustment (read Valuation Advisory #3 published by the Appraisal Practices Board, and available on the Appraisal Foundation Website).

But is that what you are talking about (a transactional or financing adjustment, as Terrel exampled)?
Or, is your question more related to a UAD formating issue and what will cause a hard stop if entered into a particular space in the grid?

Part of the problem here is that everyone is assuming that I am talking about making a positive adjustment for a sale concession...and therein lies the problem with FNMA forms, in my opinion. So let me clarify. UAD draws non-sale concession considerations into the same field (i.e. REO). I made a positive adjustment in this field because the buyer gave the seller a lease-back at below market rate. The AMC told me I needed to move the adjustment to the bottom of the grid because FNMA does not allow positive adjustments in this field. I questioned their accuracy but could not find the reference in the FNMA selling guide. The problem with moving such items to the bottom of the grid is that you would end up making, for example, a positive adjustment for REO on the bottom of the page while still having REO showing at the top of the page. It's just messy and confusing and confusing can spell "misleading" and we know what that can mean. Thank you for the reference, Denis. Based on your information, it appears that the problem is that the AMC is wrong. I have to run now but, will take a look at your reference.

 

[residentialguy]

The AMC told me I needed to move the adjustment to the bottom of the grid because FNMA does not allow positive adjustments in this field.

They are wrong. I put positive adjustments on the first line all the time.