How Long Does the VA Appraisal Process Take?
Understand the VA home loan appraisal process. Learn typical durations, influencing factors, and what to expect.
A VA appraisal is a specific evaluation required for properties financed with a Department of Veterans Affairs (VA) home loan. Its purpose is to determine the property’s fair market value and ensure it meets the VA’s Minimum Property Requirements (MPRs). This process protects both the veteran borrower and the lender by confirming the property is a sound investment.
Understanding the VA Appraisal Timeline
The time it takes for a VA appraisal to be completed typically ranges from 7 to 21 business days, from initial order to Notice of Value (NOV) issuance. Most areas experience an average completion time of about 10 to 14 days. These timeframes are VA guidelines, not strict deadlines, accounting for appraiser work and review.
The timeline begins when the lender orders the appraisal. After the appraiser submits their report, a Staff Appraisal Reviewer (SAR) at the lender reviews it. The Notice of Value is usually issued within five business days of the SAR receiving the report.
Factors Affecting Appraisal Duration
The availability of qualified VA appraisers in a specific geographic area impacts the process speed. Areas with fewer appraisers or high demand may experience longer wait times.
Property complexity also affects duration; unique properties or those with unusual features may require more research. An appraiser’s current workload can cause delays, as can difficulties accessing the property for inspection. Responsiveness from real estate agents or sellers in scheduling the inspection can expedite or prolong the process. Unforeseen events like holidays or severe weather can also extend the duration.
The Appraisal Process and Its Stages
The VA appraisal process begins when the lender orders the appraisal after a purchase agreement is in place. The VA assigns an independent appraiser to the property, who usually makes contact within two business days to schedule the on-site inspection.
During the visit, the appraiser assesses the property’s condition and compares it to similar, recently sold homes to determine its fair market value. They also verify the property meets the VA’s Minimum Property Requirements (MPRs). After inspection, the appraiser prepares a report, uploaded to the VA system within 10 business days. This report includes the estimated value and notes any required repairs.
After the Appraisal and What to Expect
Once the Notice of Value (NOV) is issued, it serves as the official valuation for the property. The NOV is valid for six months; the loan must close within this period or a new appraisal may be required. Borrowers receive a copy of the appraisal report and the NOV.
If the appraised value is lower than the purchase price, options include renegotiating the price with the seller or paying the difference. Buyers can also request a Reconsideration of Value (ROV) by submitting additional comparable sales data or property information. Any repairs noted in the NOV to meet MPRs must be completed and re-inspected before the loan can close.