How FHA and VA Loans Affect Your Offer
Extra Costs to the Seller
If you are obtaining a VA or FHA loan in order to finance your
purchase, you must include that information in your offer. This is because
government loans place additional financial and performance obligations on the
First, VA and FHA loans prohibit buyers from paying certain
types of fees that are often charged by lenders, escrow companies, settlement
agents, and title companies. They are called "non-allowable" fees.
They still get charged anyway, but as the buyer, you are "not
allowed" to pay them. The result is that the seller ends up paying them
instead of you. Call Dale or Cathy for NC Horse Farms.
Most of these "non-allowable" fees come from your
lender. By the time you are making an offer you should have already been
pre-qualified by a loan officer, so you or your real estate agent can ask how
much the lenderís non-allowable fees will be. Experienced agents should also
have an idea of what non-allowable fees will be charged by the escrow or
settlement agent and the title insurance company.
Since these are fees the seller would not pay on an offer with
conventional financing, this information must be included in your offer. You
should also realize that since the seller will be paying these additional fees,
they may be a little less negotiable on the price.
This site was developed to
provide information on Pinehurst real estate including Pinehurst Golf
and Waterfront homes, Pinehurst condos, and Pinehurst and Southern Pines
Commercial real estate.
Please visit our other area
Real Estate websites:
Pinehurst Homes For Sale
NC Horse Farms
Pinehurst NC Real Estate
Fort Bragg Real Estate
Pinehurst Real Estate