|This gorgeous, historical, grand Victorian has undergone a brilliant restoration w/meticulous attention to detail. From the kitchen, baths, marble & hrdwd flrs, roofs, elec and plumbing, to the grand moldings around 10′ ceilings. This home would command $1M+ at the beach, a quick 25 minute drive.|
- Written about Tom Schoenbeck on 05/02/2014
- document preparation fees
- processing fees
- administrative costs of originating your loan
- application fees
- faxing/mailing fees
- additional fees involved with loan processing
Additional allowable fees:
The 1% origination fee is designed to cover the time and money a lender invests into each loan file. But those aren’t the only costs that a VA loan will incur. Beyond the lender’s origination fee of 1 percent, VA borrowers can be charged for the following items:
- appraisal fees
- recording fees
- credit report fees
- prepaid items (taxes, assessments, and similar items)
- hazard insurance
- flood determination
- survey fee
- title work and insurance
- VA funding fee
- discount points
- well and septic inspection fees
- closing protection letter fee
- additional fees deemed appropriate by the VA
Unallowable VA loan fees:
The VA prevents lenders from charging certain fees to a VA borrower. VA loan recipients can never be charged for the following items:
- termite/pest inspection
- attorney fee charged as a benefit to the lender
- mortgage broker fee
- real estate agent commission
- prepayment penalties
- HUD inspection fees for builders
So, if any of the non-allowed fees are being charged, the seller, agent, or lender may pay them, but not the Vet.
Delaware farm stands and markets will be opening their doors to kick-off the season this month. Shoppers can easily and find local sources of fresh produce, meat, eggs and other agricultural products by using the local guide, the Delaware Fresh app for mobile devices and the Delaware Ag Directory. With the abundance of corn, soy, and wheat, coupled with the wet winter and spring, this should be a banner year for gorgeous crops!
This is very fascinating and informative ‘Real Time’ look at where our county’s wealth comes from, and where it goes. Notice, of the 3 Delaware counties, NCC has a net loss of $878 million, Kent County a net gain of $428 million and Sussex County a net wealth gain of $1.7 Billion AGI. The link will also show what state’s counties are providing us wealth and which state’s counties we are losing wealth to. Florida is a major wealth vacuum from Sussex County, whereas 3 Maryland Counties are major wealth contributors to our county. This may serve you to know where to target your on-line advertising outside of Delaware.
The question buyers often have is why they should hire a Realtor when having a new home built by a builder or developer. Often times a buyer feels they can traverse the process without a Realtor and just use the builder to guide them. As a Realtor, I always give my buyers the option of making their purchase unrepresented, but I also give them caution about doing so. Why? Let’s examine it:
1. In any sales transaction; car, house, or fine jewelry, someone is selling a product and someone is buying a product. If the person who is selling the product is the sole representative in the entire transaction, whose interest do you most feel they will be looking out for? As a buyer, would you know what questions to ask, would you know what fine points of a sales contract could cost you more than you thought you bargained for? Let’s look at it this way. Why do you think builders themselves hire Realtors to represent them? It’s because builders too recognize the value a Realtor brings to the table. They know when it comes to negotiating the deal, a Realtor has the professional skills necessary to make it a win-win for their principal.
2. Often times a buyer feels they will save money by not using a Realtor. Unfortunately, this is not true and often times ends up costing the consumer more. Buyers feel the commission the buyer’s broker earns will be given to them (the buyer) if they do not use a Realtor. If a buyer proceeds without representation, the commission the builder has already set aside is either then kept by the builder or given to their own representative, it is never given to the buyer. Additionally, other fine points in a sales contract, such as builder and buyer splitting the sales transfer tax, can be overlooked by a buyer and end up costing the buyer several thousands of dollars.
3. If a buyer is unrepresented and lives out of the local area, who will they then rely on to keep tabs on the building process? For me, I take photos of the building process and send them to my buyers so they can pictorally see what is taking place. It also gives me the opportunity to stop in and ask questions if I see something that seems out of place.
4. Being unrepresentated, you may not realize you have the right to an independent home inspection, or to use the settlement attorney or lender of your own choosing and not the builders.
5. A Realtor brings clout to the table. While you might not realize it, builders value Realtors because they recognize the fact that Realtors bring buyers and they respect their representation. Builders know there is a symbiotic relationship between good deals and future business. If you work without a Realtor on your side, the builder knows it won’t be you bringing them future clients and they don’t have the same degree of vested interest in keeping you happy.
The bottom line in all this is advocacy. A Realtor is your best advocate in the process and will not cost you a dime. Your Realtor is there for one purpose, to make sure your needs as the buyer, are taken care of. Their entire focus is on you and no one else.