Change Date

September 15, 2004, Change 4

·  This section has been changed to create subsection lettering.

·  Subsection c changes the “Loan Prospector” reference to “Automated Underwriting.”  The “Certificate of Reasonable Value (CRV)” reference has been updated to “Notice of Value (NOV).”

a. VA Regulations

VA regulations at 38 CFR 36.4312 provide the list of fees and charges that the veteran can pay.

b. Overview

The veteran can pay a maximum of:

·   reasonable and customary amounts for any or all of the “Itemized Fees and Charges” designated by VA, plus

·   a 1% flat charge by the lender, plus

·   reasonable discount points.

Note:  Some special provisions apply to construction, alteration, improvement and repair loans

Reference:  Section 2, subsection e, “Construction Loans.”

c. Itemized Fees and Charges

The veteran may pay any or all of the following itemized fees and charges, in amounts that are reasonable and customary.

Charge

Description

Appraisal and Compliance Inspections

The veteran can pay the fee of a VA appraiser and VA compliance inspectors.

·   The veteran can also pay for a second appraisal if he or she is requesting reconsideration of value.

·   The veteran cannot pay for an appraisal requested by the lender or seller for reconsideration of value.

·   The veteran cannot pay for appraisals requested by parties other than the veteran or lender.