VA issued Circular 26-24-05 authorizing in advance, as a local variance, an Assumption Locality Variance charge (Variance). Per the Circular, a lender may charge an individual assuming a VA-guaranteed loan an assumption-related fee based on the location of the subject property. The Variance may be charged in addition to the $300 processing fee and the credit report fee VA currently authorizes for processing an assumption application. The Variance may be charged on assumption applications closed after February 26, 2024.
Click to view the VA Circular 26-24-05: https://www.tenaco.com/wp-content/uploads/2024/02/VA-Circular-26-24-05-02-27-24.pdf
