[Code of Federal Regulations]
[Title 41, Volume 4]
[Revised as of July 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 41CFR302-11.200]

[Page 187-188]
 
           TITLE 41--PUBLIC CONTRACTS AND PROPERTY MANAGEMENT
 
                   CHAPTER 302--RELOCATION ALLOWANCES
 
PART 302-11--ALLOWANCES FOR EXPENSES INCURRED IN CONNECTION WITH RESIDENCE TRANSACTIONS--Table of Contents
 
                    Subpart C--Reimbursable Expenses
 
Sec. 302-11.200  What residence transaction expenses will my agency pay?


    Provided that they are customarily paid by the seller of a residence 
at the old official station or by the purchaser of a residence at the 
new official station, your agency will pay the following expenses:
    (a) Your broker's fee or real estate commission that you pay in the 
sale of your residence at the last official station, not to exceed the 
rates that are generally charged in the locality of your old official 
station;
    (b) The customary cost for an appraisal;

[[Page 188]]

    (c) The costs of newspaper, bulletin board, multiple-listing 
services, and other advertising for sale of the residence at your old 
official station that is not included in the broker's fee or the real 
estate agent's commission;
    (d) The cost of a title insurance policy, costs of preparing 
conveyances, other instruments, and contracts and related notary fees 
and recording fees; cost of making surveys, preparing drawings or plats 
when required for legal or financing purposes; and similar expenses 
incurred for selling your residence to the extent such costs:
    (1) Have not been included in other residence transaction fees 
(i.e., brokers' fees or real estate agent fees);
    (2) Do not exceed the charges, for such expenses, that are normally 
charged in the locality of your residence;
    (3) Are usually furnished by the seller;
    (e) The costs of searching title, preparing abstracts, and the legal 
fees for a title opinion to the extent such costs:
    (1) Have not been included in other related transaction costs (i.e., 
broker's fees or real estate agency fees); and
    (2) Do not exceed the charges, for such expenses, that are 
customarily charged in the locality of your residence
    (f) The following ``other'' miscellaneous expenses in connection 
with the sale and/or purchase of your residence, provided they are 
normally paid by the seller or the purchaser in the locality of the 
residence, to the extent that they do not exceed specifically stated 
limitations, or if not specifically stated, the amounts customarily paid 
in the locality of the residence:
    (1) FHA or VA fees for the loan application;
    (2) Loan origination fees and similar charges such as loan 
assumption fees, loan transfer fees or other similar charges not to 
exceed 1 percent of the loan amount without itemization of the lender's 
administrative charges (unless requirements in Sec. 302-11.201 are met), 
if the charges are assessed in lieu of a loan origination fee and 
reflects charges for services similar to those covered by a loan 
origination fee;
    (3) Cost of preparing credit reports;
    (4) Mortgage and transfer taxes;
    (5) State revenue stamps;
    (6) Other fees and charges similar in nature to those listed in 
paragraphs (f)(1) through (f)(5) of this section, unless specifically 
prohibited in Sec. 302-11.202;
    (7) Charge for prepayment of a mortgage or other security instrument 
in connection with the sale of the residence at the old official station 
to the extent the terms in the mortgage or other security instrument 
provide for this charge. This prepayment penalty is also reimbursable 
when the mortgage or other security instrument does not specifically 
provide for prepayment, provided this penalty is customarily charged by 
the lender, but in that case the reimbursement may not exceed 3 months' 
interest on the loan balance;
    (8) Mortgage title insurance policy, paid by you, on a residence you 
purchased for the protection of, and required by, the lender;
    (9) Owner's title insurance policy, provided it is a prerequisite to 
financing or the transfer of the property; or if the cost of the owner's 
title insurance policy is inseparable from the cost of other insurance 
which is a prerequisite;
    (10) Expenses in connection with construction of a residence, which 
are comparable to expenses that are reimbursable in connection with the 
purchase of an existing residence;
    (11) Expenses in connection with environmental testing and property 
inspection fees when required by Federal, State, or local law; or by the 
lender as a precondition to sale or purchase; and
    (12) Other expenses of sale and purchase made for required services 
that are customarily paid by the seller of a residence at the old 
official station or if customarily paid by the purchaser of a residence 
at the new official station.