The contract should distinguish ordinary buyer closing costs from concessions subject to VA's separate limitation. The lender and title team should review the exact allocation before the parties rely on it.
What Michigan borrowers should know
A Michigan seller can pay customary VA buyer closing costs and may provide additional concessions within VA rules. The details should be confirmed against the current VA guidance, the lender's requirements and the facts of the transaction.
Use credits for allowable costs and prepaids; excess credit may be lost if not restructured before closing.
Mike's eligible appraisal credit is applied at closing and shown in the final figures.
A credit funded by a higher price must remain supported by the appraisal and transaction.
Compare the buyer, not the stereotype
A listing agent should evaluate what has been verified: credit, income, assets, COE, entitlement and payment comfort. Loan type alone does not reveal the buyer's financial strength or the lender's ability to execute.
- Compare payment, upfront cost and long-term cost.
- Verify COE, income, assets and property details before relying on an answer.
- Ask which requirement comes from VA and which is a lender overlay.
Make the VA offer easy to trust
Use a reachable lender, a realistic close date, clean contract language and a plan for appraisal communication. The strongest offer is the one whose terms and people remain dependable after acceptance.
Mike can review the scenario directly, compare available wholesale VA options and coordinate with the buyer's Realtor. The objective is a clear financing plan that still works when the appraisal, title work and final figures arrive.
Primary VA resources
Program rules change. Verify current information with the official VA home-loan portal, the VA funding-fee and closing-cost guide, and the VA Lenders Handbook.
Frequently asked questions
Does VA approve the borrower or the lender?
VA establishes the guaranty program, but a private lender reviews credit, income, assets, entitlement and the property. Lender requirements can differ.
Should I compare more than one VA lender?
Yes. Rate, points, lender fees, credits, overlays and service can vary. Compare official Loan Estimates for the same loan type and lock period.