Does a VA appraisal follow the property?
Yes, a VA appraisal typically stays with a property for six months. This means that if a property fails to meet the VA minimum property requirements, any subsequent buyers using a VA loan will also need to address those issues.
FAQs about VA appraisals:
1. What is a VA appraisal?
A VA appraisal is an assessment of a property’s value and condition by a VA-approved appraiser to ensure it meets minimum property requirements for a VA loan.
2. What are the VA minimum property requirements?
The VA has specific guidelines for properties to be eligible for a VA loan, including being safe, sanitary, structurally sound, and in good repair.
3. Can a VA loan be used for any type of property?
No, VA loans are typically only available for single-family homes, condos, and approved manufactured homes.
4. Who pays for the VA appraisal?
The buyer is usually responsible for paying for the VA appraisal as part of the closing costs.
5. How long is a VA appraisal valid for?
A VA appraisal is typically valid for six months. If the property does not close within that time frame, a new appraisal may be required.
6. Can a seller request a copy of the VA appraisal?
No, the VA appraisal belongs to the lender and the buyer. Sellers are not entitled to a copy of the appraisal.
7. What happens if a property fails to meet the VA minimum property requirements?
If a property fails to meet the VA minimum property requirements, the buyer and seller can negotiate who will make the necessary repairs or upgrades to bring the property into compliance.
8. Can a VA appraisal value a property below the purchase price?
Yes, if the appraiser determines that the property is worth less than the purchase price, the buyer may need to renegotiate with the seller or come up with the difference in cash.
9. Are VA appraisals different from traditional appraisals?
VA appraisals are similar to traditional appraisals but also include an evaluation of the property’s compliance with VA minimum property requirements.
10. Can a VA appraisal be waived?
In some cases, a VA appraisal may be waived if the buyer is not utilizing a VA loan or if the lender determines that an appraisal is not necessary.
11. Can a buyer request a second VA appraisal?
If a buyer disagrees with the results of the initial VA appraisal, they may request a second appraisal, but they will likely need to pay for it themselves.
12. Can a VA appraisal be transferred to a different buyer?
No, a VA appraisal is tied to a specific property and cannot be transferred to a different buyer. Each buyer using a VA loan will need their own appraisal.