In this edition of Jeffs Mortgage Minute, Im breaking down VA appraisal requirements in plain language so you know what to expect before you make an offer. Whether youre a veteran using your benefit for the first time or coming back for another home, understanding how the VA looks at value and property condition can help you avoid surprises and keep your purchase on track.
What Is a VA Appraisal?
A VA appraisal is an evaluation required on any home being financed with a VA loan. A VA-approved appraiser assesses both the market value of the property and whether it meets the VAs Minimum Property Requirements (MPRs) for safety, soundness, and sanitation.
Goals of the VA Appraisal
- Confirm the home is worth at least the purchase price.
- Identify any obvious health, safety, or structural issues.
- Ensure the home is safe, structurally sound, and sanitary for the veteran and their family.
Key VA Minimum Property Requirements (MPRs)
While the full list of VA MPRs is extensive, here are some of the most common areas that come up in real transactions:
1. Safety & Security
- Working smoke detectors (and carbon monoxide detectors where required by local code).
- Safe access to and from the property (no unsafe stairs, railings, or walkways).
- Windows and doors that operate properly and lock.
2. Structural Soundness
- No major foundation issues, significant settlement, or obvious structural damage.
- Roof in good condition with no active leaks and remaining economic life.
- Sound walls, floors, and ceilings (no large areas of damage or obvious hazards).
3. Sanitary Conditions
- Functioning plumbing with hot and cold running water.
- Safe and adequate water supply (public or approved private well).
- Working sewage disposal (public sewer or approved septic system).
4. Heating, Cooling, and Electrical
- A permanently installed heating system capable of maintaining a safe temperature.
- Electrical system that appears safe, with no exposed live wiring.
- Air conditioning is not always required, but if present it should be in reasonable working order.
5. Property Use and Access
- Residential use (or primarily residential) and acceptable zoning.
- Legal, year-round access to the property via public or private road.
- No encroachments or boundary issues that materially affect value or marketability.
How the VA Appraiser Determines Value
The VA appraiser will:
- Inspect the property, usually inside and out.
- Review recent comparable sales in the area.
- Adjust for differences between the subject property and the comparable sales.
- Arrive at an opinion of value, which becomes the basis for the Notice of Value (NOV).
The lender will generally base the maximum VA loan amount on the lower of the purchase price or the appraised value.
The Tidewater Initiative
If the appraiser believes the value may come in below the contract price, they may invoke the VAs Tidewater Initiative. This gives the lender, buyers agent, and listing agent a short window (typically 48 hours) to provide additional comparable sales that might support the contract value before the report is finalized.
Reconsideration of Value (ROV)
If the appraisal comes in low and Tidewater was not enough to support the contract price, the lender can request a Reconsideration of Value (ROV) from the VA. This is a formal review of the appraisal that may or may not result in an adjustment to the value.
Common VA Appraisal Red Flags
- Peeling or chipping lead-based paint on homes built before 1978.
- Active roof leaks or severely worn shingles.
- Exposed wiring, missing light covers, or unsafe electrical panels.
- Broken or missing handrails on stairs and decks.
- Evidence of significant water intrusion, mold, or wood-destroying insects.
- Non-functioning major systems (HVAC, plumbing, electrical).
Tips for VA Buyers
- Work with a VA-experienced lender and agent. They can help you spot issues early.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Budget for minor repairs. Some issues can be corrected quickly to meet VA standards.
- Stay in close communication. Respond quickly if your lender asks for additional comps for Tidewater or ROV.
Tips for Sellers on VA Transactions
- Address obvious safety and repair issues before listing (peeling paint, loose railings, trip hazards).
- Service HVAC and repair visible roof leaks or damage.
- Make sure all utilities are on for the appraisal.
- Be prepared to negotiate repairs if the appraiser calls out required items.
Final Thoughts
The VA appraisal is designed to protect veterans and their families by ensuring they purchase a home that is safe, sound, and fairly valued. With proper preparation and guidance from a knowledgeable VA lender and real estate team, most VA appraisals go smoothly.
If you have questions about using your VA benefit or how appraisal requirements could affect your purchase, feel free to reach outIm here to help you navigate the process with confidence.
Key VA Minimum Property Requirements (MPRs)
While the full list of VA MPRs is extensive, here are some of the most common areas that come up in real transactions:
1. Safety & Security
- Working smoke detectors (and carbon monoxide detectors where required by local code).
- Safe access to and from the property (no unsafe stairs, railings, or walkways).
- Windows and doors that operate properly and lock.
2. Structural Soundness
- No major foundation issues, significant settlement, or obvious structural damage.
- Roof in good condition with no active leaks and remaining economic life.
- Sound walls, floors, and ceilings (no large areas of damage or obvious hazards).
3. Sanitary Conditions
- Functioning plumbing with hot and cold running water.
- Safe and adequate water supply (public or approved private well).
- Working sewage disposal (public sewer or approved septic system).
4. Heating, Cooling, and Electrical
- A permanently installed heating system capable of maintaining a safe temperature.
- Electrical system that appears safe, with no exposed live wiring.
- Air conditioning is not always required, but if present it should be in reasonable working order.
5. Property Use and Access
- Residential use (or primarily residential) and acceptable zoning.
- Legal, year-round access to the property via public or private road.
- No encroachments or boundary issues that materially affect value or marketability.
How the VA Appraiser Determines Value
The VA appraiser will:
- Inspect the property, usually inside and out.
- Review recent comparable sales in the area.
- Adjust for differences between the subject property and the comparable sales.
- Arrive at an opinion of value, which becomes the basis for the Notice of Value (NOV).
The lender will generally base the maximum VA loan amount on the lower of the purchase price or the appraised value.
The Tidewater Initiative
If the appraiser believes the value may come in below the contract price, they may invoke the VAs Tidewater Initiative. This gives the lender, buyers agent, and listing agent a short window (typically 48 hours) to provide additional comparable sales that might support the contract value before the report is finalized.
Reconsideration of Value (ROV)
If the appraisal comes in low and Tidewater was not enough to support the contract price, the lender can request a Reconsideration of Value (ROV) from the VA. This is a formal review of the appraisal that may or may not result in an adjustment to the value.
Common VA Appraisal Red Flags
- Peeling or chipping lead-based paint on homes built before 1978.
- Active roof leaks or severely worn shingles.
- Exposed wiring, missing light covers, or unsafe electrical panels.
- Broken or missing handrails on stairs and decks.
- Evidence of significant water intrusion, mold, or wood-destroying insects.
- Non-functioning major systems (HVAC, plumbing, electrical).
Tips for VA Buyers
- Work with a VA-experienced lender and agent. They can help you spot issues early.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Budget for minor repairs. Some issues can be corrected quickly to meet VA standards.
- Stay in close communication. Respond quickly if your lender asks for additional comps for Tidewater or ROV.
Tips for Sellers on VA Transactions
- Address obvious safety and repair issues before listing (peeling paint, loose railings, trip hazards).
- Service HVAC and repair visible roof leaks or damage.
- Make sure all utilities are on for the appraisal.
- Be prepared to negotiate repairs if the appraiser calls out required items.
Final Thoughts
The VA appraisal is designed to protect veterans and their families by ensuring they purchase a home that is safe, sound, and fairly valued. With proper preparation and guidance from a knowledgeable VA lender and real estate team, most VA appraisals go smoothly.
If you have questions about using your VA benefit or how appraisal requirements could affect your purchase, feel free to reach outIm here to help you navigate the process with confidence.
2. Structural Soundness
- No major foundation issues, significant settlement, or obvious structural damage.
- Roof in good condition with no active leaks and remaining economic life.
- Sound walls, floors, and ceilings (no large areas of damage or obvious hazards).
3. Sanitary Conditions
- Functioning plumbing with hot and cold running water.
- Safe and adequate water supply (public or approved private well).
- Working sewage disposal (public sewer or approved septic system).
4. Heating, Cooling, and Electrical
- A permanently installed heating system capable of maintaining a safe temperature.
- Electrical system that appears safe, with no exposed live wiring.
- Air conditioning is not always required, but if present it should be in reasonable working order.
5. Property Use and Access
- Residential use (or primarily residential) and acceptable zoning.
- Legal, year-round access to the property via public or private road.
- No encroachments or boundary issues that materially affect value or marketability.
How the VA Appraiser Determines Value
The VA appraiser will:
- Inspect the property, usually inside and out.
- Review recent comparable sales in the area.
- Adjust for differences between the subject property and the comparable sales.
- Arrive at an opinion of value, which becomes the basis for the Notice of Value (NOV).
The lender will generally base the maximum VA loan amount on the lower of the purchase price or the appraised value.
The Tidewater Initiative
If the appraiser believes the value may come in below the contract price, they may invoke the VAs Tidewater Initiative. This gives the lender, buyers agent, and listing agent a short window (typically 48 hours) to provide additional comparable sales that might support the contract value before the report is finalized.
Reconsideration of Value (ROV)
If the appraisal comes in low and Tidewater was not enough to support the contract price, the lender can request a Reconsideration of Value (ROV) from the VA. This is a formal review of the appraisal that may or may not result in an adjustment to the value.
Common VA Appraisal Red Flags
- Peeling or chipping lead-based paint on homes built before 1978.
- Active roof leaks or severely worn shingles.
- Exposed wiring, missing light covers, or unsafe electrical panels.
- Broken or missing handrails on stairs and decks.
- Evidence of significant water intrusion, mold, or wood-destroying insects.
- Non-functioning major systems (HVAC, plumbing, electrical).
Tips for VA Buyers
- Work with a VA-experienced lender and agent. They can help you spot issues early.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Budget for minor repairs. Some issues can be corrected quickly to meet VA standards.
- Stay in close communication. Respond quickly if your lender asks for additional comps for Tidewater or ROV.
Tips for Sellers on VA Transactions
- Address obvious safety and repair issues before listing (peeling paint, loose railings, trip hazards).
- Service HVAC and repair visible roof leaks or damage.
- Make sure all utilities are on for the appraisal.
- Be prepared to negotiate repairs if the appraiser calls out required items.
Final Thoughts
The VA appraisal is designed to protect veterans and their families by ensuring they purchase a home that is safe, sound, and fairly valued. With proper preparation and guidance from a knowledgeable VA lender and real estate team, most VA appraisals go smoothly.
If you have questions about using your VA benefit or how appraisal requirements could affect your purchase, feel free to reach outIm here to help you navigate the process with confidence.
3. Sanitary Conditions
- Functioning plumbing with hot and cold running water.
- Safe and adequate water supply (public or approved private well).
- Working sewage disposal (public sewer or approved septic system).
4. Heating, Cooling, and Electrical
- A permanently installed heating system capable of maintaining a safe temperature.
- Electrical system that appears safe, with no exposed live wiring.
- Air conditioning is not always required, but if present it should be in reasonable working order.
5. Property Use and Access
- Residential use (or primarily residential) and acceptable zoning.
- Legal, year-round access to the property via public or private road.
- No encroachments or boundary issues that materially affect value or marketability.
How the VA Appraiser Determines Value
The VA appraiser will:
- Inspect the property, usually inside and out.
- Review recent comparable sales in the area.
- Adjust for differences between the subject property and the comparable sales.
- Arrive at an opinion of value, which becomes the basis for the Notice of Value (NOV).
The lender will generally base the maximum VA loan amount on the lower of the purchase price or the appraised value.
The Tidewater Initiative
If the appraiser believes the value may come in below the contract price, they may invoke the VAs Tidewater Initiative. This gives the lender, buyers agent, and listing agent a short window (typically 48 hours) to provide additional comparable sales that might support the contract value before the report is finalized.
Reconsideration of Value (ROV)
If the appraisal comes in low and Tidewater was not enough to support the contract price, the lender can request a Reconsideration of Value (ROV) from the VA. This is a formal review of the appraisal that may or may not result in an adjustment to the value.
Common VA Appraisal Red Flags
- Peeling or chipping lead-based paint on homes built before 1978.
- Active roof leaks or severely worn shingles.
- Exposed wiring, missing light covers, or unsafe electrical panels.
- Broken or missing handrails on stairs and decks.
- Evidence of significant water intrusion, mold, or wood-destroying insects.
- Non-functioning major systems (HVAC, plumbing, electrical).
Tips for VA Buyers
- Work with a VA-experienced lender and agent. They can help you spot issues early.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Budget for minor repairs. Some issues can be corrected quickly to meet VA standards.
- Stay in close communication. Respond quickly if your lender asks for additional comps for Tidewater or ROV.
Tips for Sellers on VA Transactions
- Address obvious safety and repair issues before listing (peeling paint, loose railings, trip hazards).
- Service HVAC and repair visible roof leaks or damage.
- Make sure all utilities are on for the appraisal.
- Be prepared to negotiate repairs if the appraiser calls out required items.
Final Thoughts
The VA appraisal is designed to protect veterans and their families by ensuring they purchase a home that is safe, sound, and fairly valued. With proper preparation and guidance from a knowledgeable VA lender and real estate team, most VA appraisals go smoothly.
If you have questions about using your VA benefit or how appraisal requirements could affect your purchase, feel free to reach outIm here to help you navigate the process with confidence.
4. Heating, Cooling, and Electrical
- A permanently installed heating system capable of maintaining a safe temperature.
- Electrical system that appears safe, with no exposed live wiring.
- Air conditioning is not always required, but if present it should be in reasonable working order.
5. Property Use and Access
- Residential use (or primarily residential) and acceptable zoning.
- Legal, year-round access to the property via public or private road.
- No encroachments or boundary issues that materially affect value or marketability.
How the VA Appraiser Determines Value
The VA appraiser will:
- Inspect the property, usually inside and out.
- Review recent comparable sales in the area.
- Adjust for differences between the subject property and the comparable sales.
- Arrive at an opinion of value, which becomes the basis for the Notice of Value (NOV).
The lender will generally base the maximum VA loan amount on the lower of the purchase price or the appraised value.
The Tidewater Initiative
If the appraiser believes the value may come in below the contract price, they may invoke the VAs Tidewater Initiative. This gives the lender, buyers agent, and listing agent a short window (typically 48 hours) to provide additional comparable sales that might support the contract value before the report is finalized.
Reconsideration of Value (ROV)
If the appraisal comes in low and Tidewater was not enough to support the contract price, the lender can request a Reconsideration of Value (ROV) from the VA. This is a formal review of the appraisal that may or may not result in an adjustment to the value.
Common VA Appraisal Red Flags
- Peeling or chipping lead-based paint on homes built before 1978.
- Active roof leaks or severely worn shingles.
- Exposed wiring, missing light covers, or unsafe electrical panels.
- Broken or missing handrails on stairs and decks.
- Evidence of significant water intrusion, mold, or wood-destroying insects.
- Non-functioning major systems (HVAC, plumbing, electrical).
Tips for VA Buyers
- Work with a VA-experienced lender and agent. They can help you spot issues early.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Budget for minor repairs. Some issues can be corrected quickly to meet VA standards.
- Stay in close communication. Respond quickly if your lender asks for additional comps for Tidewater or ROV.
Tips for Sellers on VA Transactions
- Address obvious safety and repair issues before listing (peeling paint, loose railings, trip hazards).
- Service HVAC and repair visible roof leaks or damage.
- Make sure all utilities are on for the appraisal.
- Be prepared to negotiate repairs if the appraiser calls out required items.
Final Thoughts
The VA appraisal is designed to protect veterans and their families by ensuring they purchase a home that is safe, sound, and fairly valued. With proper preparation and guidance from a knowledgeable VA lender and real estate team, most VA appraisals go smoothly.
If you have questions about using your VA benefit or how appraisal requirements could affect your purchase, feel free to reach outIm here to help you navigate the process with confidence.
5. Property Use and Access
- Residential use (or primarily residential) and acceptable zoning.
- Legal, year-round access to the property via public or private road.
- No encroachments or boundary issues that materially affect value or marketability.
How the VA Appraiser Determines Value
The VA appraiser will:
- Inspect the property, usually inside and out.
- Review recent comparable sales in the area.
- Adjust for differences between the subject property and the comparable sales.
- Arrive at an opinion of value, which becomes the basis for the Notice of Value (NOV).
The lender will generally base the maximum VA loan amount on the lower of the purchase price or the appraised value.
The Tidewater Initiative
If the appraiser believes the value may come in below the contract price, they may invoke the VAs Tidewater Initiative. This gives the lender, buyers agent, and listing agent a short window (typically 48 hours) to provide additional comparable sales that might support the contract value before the report is finalized.
Reconsideration of Value (ROV)
If the appraisal comes in low and Tidewater was not enough to support the contract price, the lender can request a Reconsideration of Value (ROV) from the VA. This is a formal review of the appraisal that may or may not result in an adjustment to the value.
Common VA Appraisal Red Flags
- Peeling or chipping lead-based paint on homes built before 1978.
- Active roof leaks or severely worn shingles.
- Exposed wiring, missing light covers, or unsafe electrical panels.
- Broken or missing handrails on stairs and decks.
- Evidence of significant water intrusion, mold, or wood-destroying insects.
- Non-functioning major systems (HVAC, plumbing, electrical).
Tips for VA Buyers
- Work with a VA-experienced lender and agent. They can help you spot issues early.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Budget for minor repairs. Some issues can be corrected quickly to meet VA standards.
- Stay in close communication. Respond quickly if your lender asks for additional comps for Tidewater or ROV.
Tips for Sellers on VA Transactions
- Address obvious safety and repair issues before listing (peeling paint, loose railings, trip hazards).
- Service HVAC and repair visible roof leaks or damage.
- Make sure all utilities are on for the appraisal.
- Be prepared to negotiate repairs if the appraiser calls out required items.
Final Thoughts
The VA appraisal is designed to protect veterans and their families by ensuring they purchase a home that is safe, sound, and fairly valued. With proper preparation and guidance from a knowledgeable VA lender and real estate team, most VA appraisals go smoothly.
If you have questions about using your VA benefit or how appraisal requirements could affect your purchase, feel free to reach outIm here to help you navigate the process with confidence.
How the VA Appraiser Determines Value
The VA appraiser will:
- Inspect the property, usually inside and out.
- Review recent comparable sales in the area.
- Adjust for differences between the subject property and the comparable sales.
- Arrive at an opinion of value, which becomes the basis for the Notice of Value (NOV).
The lender will generally base the maximum VA loan amount on the lower of the purchase price or the appraised value.
The Tidewater Initiative
If the appraiser believes the value may come in below the contract price, they may invoke the VAs Tidewater Initiative. This gives the lender, buyers agent, and listing agent a short window (typically 48 hours) to provide additional comparable sales that might support the contract value before the report is finalized.
Reconsideration of Value (ROV)
If the appraisal comes in low and Tidewater was not enough to support the contract price, the lender can request a Reconsideration of Value (ROV) from the VA. This is a formal review of the appraisal that may or may not result in an adjustment to the value.
Common VA Appraisal Red Flags
- Peeling or chipping lead-based paint on homes built before 1978.
- Active roof leaks or severely worn shingles.
- Exposed wiring, missing light covers, or unsafe electrical panels.
- Broken or missing handrails on stairs and decks.
- Evidence of significant water intrusion, mold, or wood-destroying insects.
- Non-functioning major systems (HVAC, plumbing, electrical).
Tips for VA Buyers
- Work with a VA-experienced lender and agent. They can help you spot issues early.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Budget for minor repairs. Some issues can be corrected quickly to meet VA standards.
- Stay in close communication. Respond quickly if your lender asks for additional comps for Tidewater or ROV.
Tips for Sellers on VA Transactions
- Address obvious safety and repair issues before listing (peeling paint, loose railings, trip hazards).
- Service HVAC and repair visible roof leaks or damage.
- Make sure all utilities are on for the appraisal.
- Be prepared to negotiate repairs if the appraiser calls out required items.
Final Thoughts
The VA appraisal is designed to protect veterans and their families by ensuring they purchase a home that is safe, sound, and fairly valued. With proper preparation and guidance from a knowledgeable VA lender and real estate team, most VA appraisals go smoothly.
If you have questions about using your VA benefit or how appraisal requirements could affect your purchase, feel free to reach outIm here to help you navigate the process with confidence.
- Order a home inspection in addition to the VA appraisal. The appraisal is not a full inspection.
- Work with a VA-experienced lender and agent. They can help you spot issues early.
Jeffs Mortgage Minute 
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