The Department of Housing and Urban Development (HUD) does not regulate consultant fees as they once did, however, many HUD approved 203k consultants will still adhere to the previously published fee schedule:
| REPAIR AMOUNT | CONSULTANT FEE |
|---|
| $5,000-7,500 | $400 |
| $7,501-15,000 | $500 |
| $15,001-30,000 | $600 |
| $30,001-50,000 | $700 |
| $50,001-75,000 | $800 |
| $ 75,001 -100,000 | $900 |
| $100,000 and up | $1,000 |
Many 203k consultants may charge an initial/additional fee for a feasibility study. The feasibility study is the initial inspection of the property. The 203k contractor provides the prospective home buyer (homeowner) with a “rough estimate” of work that will be necessary to comply with HUD’s requirements.
The consultant fees may be included in the 203k loan if allowed by the lender and if the consultant will take payment at closing.
