What are VA non-allowable fees?
When completing an AZ purchase contract for a buyer who is using a VA loan for financing you will need to know how much to request for VA non-allowable fees. But first you need to understand the basic premise of what VA non-allowable fees are.....
Typical costs in this section for AZ is appx 2,200. We recommend requesting a seller credit for VA non-allowable fees of $1,500 to ensure they don’t exceed the 1% threshold. BUT if you are in a competitive situation DO NOT lose a home for your Veteran buyer. You can decrease your seller credit request to $600.00 to cover the settlement fee and the remaining fees should not exceed 1% unless the loan amount is very low in this case please consult with your mortgage consultant.
http://benefits.va.gov/WARMS/docs/admin26/handbook/ChapterLendersHanbookChapter8.pdf
