What Does A VA Home Inspection Cover?

Do VA appraisers lowball?

Sometimes the VA appraisal is lower than the asking price, and sometimes it is higher.

When the appraisal is lower than the asking price, it essentially means that the lender does not place a value on the home as high as the seller..

What inspections does a VA loan require?

Home Inspections and VA Loans Home inspections aren’t required for VA loans, but they’re of significant value for homebuyers.

How long does it take for a VA loan to be approved?

Most VA loans close in 40 to 50 days, which is standard for the mortgage industry regardless of the type of financing. In fact, dig into the numbers a bit and you don’t find much difference between VA and conventional loans. Let’s review five key factors that could affect the timeline of a VA loan purchase.

Can a seller refuse to accept a VA loan?

VA mortgage loans also come with minimum property requirements that can end up forcing home sellers to make many repairs. Because VA appraisals may increase their repair costs, home sellers sometimes refuse to accept purchase offers backed by the agency’s mortgages.

How strict are VA appraisals?

How tough are VA appraisal guidelines? Any appraisal will help a lender determine a property’s value. But VA appraisals go beyond conventional appraisals by incorporating a second function: ensuring that homes meet the VA’s Minimum Property Requirements (MPRs). Veterans need homes in good repair, not dicey money pits.

Is a VA appraisal the same as an inspection?

An appraisal is required in order for the VA lender to make a loan approval. … The property inspection evaluates the property’s physical condition while the property appraisal helps establish the current market value.

What can disqualify you from a VA loan?

Dishonorable Discharge Veteran status requires that service members are discharged or released from the military under conditions other than dishonorable. A veteran with a dishonorable discharge will not be eligible to participate in the VA Loan Guaranty program.

Is a water test required for a VA loan?

A water test is required every time a property with a private well or cistern is purchased or refinanced with a VA loan. This is to ensure the water from the well is safe for drinking and household use.

How old can a roof be for a VA loan?

20 years oldAppraisers have some flexibility in assessing the “reasonable future utility” of a roof. Roofs that are 20 years old won’t automatically lead an appraiser to recommend replacement. Borderline roofs will usually lead an appraiser to call for a professional roof inspection.

What credit score do I need for a VA loan?

No minimum credit score You read that right: The U.S. Department of Veterans Affairs, which insures all VA home loans, doesn’t require a certain credit score. But the private lenders that issue VA loans may have their own minimum credit score requirements, typically ranging from 580 to 660.

Do VA appraisals usually come in low?

VA appraisals are much like regular appraisals — an appraiser will come out to the house you’re looking to buy and establish its value. … If a VA appraisal comes in low, problems can occur. For example, a home on the market for $275,000 can get a VA offer with all $275,000 financed.

What does a VA appraiser look at?

VA appraisers will look at the property’s interior and exterior and assess the overall condition. They’ll also recommend any obvious repairs needed to make the home meet the MPRs. Remember, this isn’t a home inspection, and the VA doesn’t guarantee the home is free of defects.

Does an appraiser know the purchase price?

The sales contract is just one more piece of data to be used in the appraisal process. Therefore, the appraiser will most likely know the selling price of a home but this is not always the case.

What fails a VA home inspection?

Insufficient Heating Homes that do not have adequate heating systems will never pass the VA appraisal. … For this reason, homes that employ the use of a wood stove as the main heat source must have a secondary heating system that can maintain a minimum temperature of 50 degrees in plumbing areas of the home.

Do I get my appraisal money back at closing?

So the lender does not have this money to give it back to you. Refunds for appraisals are not generally issued, but you are entitled to a copy of the appraisal. … That means that they are cleared to borrow the money, and that once the property is approved, the mortgage should fund.

Why do sellers hate VA loans?

Home sellers, weary of the VA appraisal process, can be steered away from VA borrowers in some parts of the country, making it difficult for qualified veterans to use their hard-earned home loan benefits. Some sellers and agents think they can find better-qualified borrowers than those with VA loans.

Are VA Home Inspectors picky?

Agents say the appraisers sometimes don’t meet VA guidelines that say appraisals should be completed within 14 days in Washington state. VA home inspectors can be overly picky as well, they say.

Can a VA loan be denied?

A loan can be denied by the automated underwriting system for any number of reasons. It could be that something was input wrong. … In any case, VA loans offer a lot of flexibility and options. Just because you are unable to get an automated underwriting approval doesn’t mean you are not eligible for a VA guaranteed loan.

Who pays for the VA home inspection?

If you’re new to the VA loan process, you’ll learn you must pay both the initial appraisal and any required home inspection. Costs vary by location and home type, but the VA appraisal fee generally ranges between $300-$500. Homebuyers may ask the seller to repay this cost as part of your negotiations.

Does VA loan require well inspection?

Veterans and military members can use a VA loan to buy a property that relies on a private well or some other non-public water source. Connection to a public water system is not required. But lenders will need to verify the water meets health and safety requirements before you can close on the loan.

Is a VA loan bad for a seller?

The short answer is “no.” It’s true VA loans were once harder to close — but that’s ancient history. Today, you’re likely to have roughly the same issues with a buyer who has this sort of mortgage as any other. And VA’s flexible guidelines may be the only reason your buyer can purchase your home.