Hello! What is suggested, is to use RFC 6598 IP space, as many organizations do not already use this (100.64.0.0/10) and it should not be routable. This can be carved up nicely into the recommended /16 subnets for the VTEP space for multiple fabric. With that said, in all likelihood, if the fabric doesn't exceed more than a few leaf switches, a smaller subnet can be used, but it should still be fairly large as the way the fabric allocates IPs is not 100% efficient. A /22 would probably be okay for a small lab fabric (no guarantees there), but for production you probably wouldn't want to go below an /18, but that should not be a problem if you go with the 100.64.0.0/10 space.