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B-220889 1 (1986-06-02)

handle is hein.gao/gaobadmin0001 and id is 1 raw text is: U THE COMPTROLLER GENERAL OECISION OF THE UNITEO SITATUES WASHINGTON. D.C. 20549 UNITI FILE: B-220889 DATE: June 2, 1986 MATTER OF: Howard Crider - Real Estate Expenses - Local Custom DIGEST: Transferred employee sold his residence at his old duty station to a buyer who obtained VA financing. Certain fees in excess of the amounts permitted as charges to the VA borrower/buyer were charged to and paid by the seller. When asked for a report on the custom in the area the local HUD office stated that more than 50 percent of the lenders were charging these fees to the sellers, and that this percentage was growing. While the phrase customary in the area is not susceptible of precise defini- tion we conclude that, if the number of lenders charging a particular fee is 50 percent and growing, the requirement of the Federal Travel Regulations that the fees be customary in the area is met. Therefore, the employee may be reimbursed for the fees paid, provided that the amounts do not exceed the amounts customary for the area. This decision is in response to a request from the Naval Facilities Engineering Command, Western Division, Department of the Navy (referred to hereafter as the agency) for our determination concerning Mr. Howard Crider's entitlement to reimbursement for certain real estate expenses he paid in connection with the sale of his resi- dence. For the reasons set forth below, we hold that Mr. Crider is entitled to the reimbursement claimed. Mr. Crider was transferred from San Diego, California, to San Bruno, California, and reported to his new duty station July 30, 1984. He sold his residence at his old duty station to a purchaser who obtained Veterans Administration (VA) financing, with settlement taking place on August 9, 1985. The expenses in question are described through references to entries on the settlement statement as follows: Q IICC

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