Mitchell6024/quickb · Datasets at Hugging Face

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d060696f-0074-4bfa-a6ac-b8a7c592d37c	• Coastal Barrier Resources System (CBRS) area (see Chapter 12, Topic 9 of this Handbook), • Special Flood Hazard Area (SFHA) if flood insurance is not available (see Chapter 12, Topic 8 of this Handbook), • Area subject to regular flooding, whether or not it has been designated an SFHA (see Chapter 12, Topic 8 of this Handbook), • Transmission line easement involving high-pressure gas, liquid	VA_Guidelines.txt
27093cd3-fb86-4d77-a775-2f83ce6651dc	line easement involving high-pressure gas, liquid petroleum (see Chapter 12, Topic 40 of this Handbook) or high voltage electricity if any part of the residential structure is within the easement (see Chapter 12, Topic 39 of this Handbook), and • Area susceptible to geological or soil instability for new and proposed construction cases unless the builder provides evidence that the site is not	VA_Guidelines.txt
194b790a-2b27-4c2b-ae23-270239cb2eb1	builder provides evidence that the site is not affected or the instability has been addressed in the engineering design (see Chapter 12, Topic 7 of this Handbook)	VA_Guidelines.txt
baf20c96-64bb-449e-92bc-4d99081ff14b	.	VA_Guidelines.txt
7fe5fe7c-d4c9-4749-a8f2-df2b6e534460	Continued on next page 10-19 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 10. Properties Not Eligible for an Appraisal Change Date March 11, 2019 • This chapter has been revised in its entirety. a. Lenders must determine that a property is not eligible for an appraisal at the Determination earliest possible opportunity.	VA_Guidelines.txt
83939779-3278-4c96-9de4-d1a95f3b6e99	If an appraisal is requested and the appraiser at Earliest finds that the property is not eligible, the appraiser should stop working on the Opportunity appraisal and immediately notify the lender. b.	VA_Guidelines.txt
2d67fa4a-716c-427c-afdf-ef9fe84f8eda	Properties Properties in the following locations are not eligible for an appraisal: Not Eligible for an • Airport Clear Zone (also known as a Runway Protection Zone), if the Appraisal Due property is proposed construction (see Chapter 12, Topic 41 of this to Location Handbook), • Lava Flow Zones 1 and 2 (see Chapter 12, Topic 10 of this Handbook), • Coastal Barrier Resources System (CBRS) area	VA_Guidelines.txt
51368dc1-e937-448a-a409-bf5847a41e4a	• Coastal Barrier Resources System (CBRS) area (see Chapter 12, Topic 9 of this Handbook), • Special Flood Hazard Area (SFHA) if flood insurance is not available (see Chapter 12, Topic 8 of this Handbook), • Area subject to regular flooding, whether or not it has been designated an SFHA (see Chapter 12, Topic 8 of this Handbook), • Transmission line easement involving high-pressure gas, liquid	VA_Guidelines.txt
d53f8494-3ee2-4629-9165-f1659d5a4fff	line easement involving high-pressure gas, liquid petroleum (see Chapter 12, Topic 40 of this Handbook) or high voltage electricity if any part of the residential structure is within the easement (see Chapter 12, Topic 39 of this Handbook), and • Area susceptible to geological or soil instability for new and proposed construction cases unless the builder provides evidence that the site is not	VA_Guidelines.txt
4d87d4c5-b582-4a07-b5b0-34ed0153ed76	builder provides evidence that the site is not affected or the instability has been addressed in the engineering design (see Chapter 12, Topic 7 of this Handbook)	VA_Guidelines.txt
3146d025-78bb-4031-ae29-ea12c8df97e1	.	VA_Guidelines.txt
d71e4680-f678-4f38-9205-d5ff982a3a36	Continued on next page 10-19 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 10. Properties Not Eligible for an Appraisal, continued c.	VA_Guidelines.txt
4f637f04-648c-4946-88db-6e9317902f1d	Property Properties in the following situations are not eligible for an appraisal: Types that are Not Eligible • A property that does not comply with current zoning regulations, for an however, a “legal non-conforming” use is acceptable and should be Appraisal described in the appraisal (see Chapter 12, Topic 12 of this Handbook)	VA_Guidelines.txt
1853ee69-c108-496f-9439-db42907f75bb	. • A property that is primarily non-residential is ineligible for VA loan guaranty (see Chapter 12, Topic 11 of this Handbook). • For new and proposed construction cases, if the local building authority routinely performs construction inspections, but none were conducted, the property is ineligible for VA loan guaranty (see Topic 14 of this chapter)	VA_Guidelines.txt
492ce2ce-3b41-47f3-a843-54c0da922bea	. • Condo-hotel properties (Condotels) where units are placed in a rental pool and “air” condominiums that do not have a homeowners association are not eligible for an appraisal. (see Chapter 11, Topic 12 of this Handbook	VA_Guidelines.txt
244b0109-a3e3-42f5-838c-80a33931b71b	. (see Chapter 11, Topic 12 of this Handbook.) • A property is ineligible for an appraisal if any party of interest to the transaction, other than the purchaser, is debarred Government-wide, or excluded from participation in the Loan Guaranty program due to a VA-imposed sanction.	VA_Guidelines.txt
29c4db0a-bafe-48ef-aefd-41287f0a5eb0	Sanctions typically involve construction complaints or unfair marketing practices. Lenders must confirm that builders of properties appraised as new or proposed construction have a valid VA-issued builder ID number to ensure that sanctioned builders do not participate in the VA Home Loan Guaranty program (see Topic 11 of this chapter).	VA_Guidelines.txt
1f37da40-f25a-468a-b037-4004f3f9ed7b	If the sanctioned party is a builder, this restriction applies to any property still owned by the builder, including houses under construction and existing houses.	VA_Guidelines.txt
00869c2d-9cec-4332-9cc2-8c7ab8051051	VA’s refusal to appraise will not be affected by either the fact that the local building authority approved the work on which the sanction was based, or the builder changes the company’s name or organizational structure or becomes a principal or officer in another organization. 10-20 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 11.	VA_Guidelines.txt
f0d568b3-b12b-4f81-97de-cfaef6be33bd	Builder Identification Numbers Change Date March 11, 2019 • This chapter has been revised in its entirety. a. ID Numbers VA registers builders and issues identification (ID) numbers. Builders must Assigned by obtain an ID number for each state where they are building homes for State Veterans who are obtaining VA-guaranteed loans. b.	VA_Guidelines.txt
7df79358-3686-4326-a064-cd768e392266	Builder For all new and proposed construction properties, with the exceptions of a must have ID new construction property sold by a lender or a home built by the Veteran for Before NOV is his/her own occupancy, the builder must have a valid ID number prior to the Issued NOV being issued. c. Must Meet The builder must meet any state and/or local licensing requirements. Licensing Requirements d.	VA_Guidelines.txt
c1866fd7-d897-4174-ae3e-2442906bec77	Licensing Requirements d. Online List A list of registered VA builders with ID numbers is available at of Registered https://vip.vba.va.gov/portal/VBAH/Home under “Featured Items” in the Builders “Builder Locator.” e.	VA_Guidelines.txt
17bcb38a-6ef0-4c04-a909-a2f668a02463	How to Builders who wish to apply for an ID number must send the following four Obtain a items to the RLC of jurisdiction: Builder ID Number • Copy of the builder’s license, if required by a state or local authority. • VA Form 26-421, Equal Employment Opportunity Certification. • VA Form 26-8791, VA Affirmative Marketing Certification	VA_Guidelines.txt
542d8411-4088-4f71-a172-9f933e65c237	. • Builder Information and Certifications for the VA Home Loan Guaranty program submitted on the builder’s letterhead or attached to a statement on the builder’s letterhead which references it.	VA_Guidelines.txt
c3a90cf3-757e-4884-8d04-01c340647ded	The certification statement and forms are available at: http://www.benefits.va.gov/HOMELOANS/appraiser_cv_builder_info .asp. 10-21 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 12. Proposed Construction Appraisal from Plans and Specifications Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
e6cf491b-d050-40e6-98cb-d8c65d8dcea4	Construction exhibits must be uploaded by the lender into WebLGY the same Construction day the case number is assigned.	VA_Guidelines.txt
14855d36-d785-4583-9ae5-f049984090e8	The exhibits must include: Exhibits • survey or plot plan, • plans sufficient to allow the appraiser to establish market value, • foundation or basement plan, • exterior elevations, • wall section, and • specifications, on either VA Form 26-1852, Description of Materials, HUD Form 92541, or another format that provides essentially the same information in sufficient detail. b.	VA_Guidelines.txt
46a612b9-d376-4748-87b5-b45f400f6788	The appraiser will certify in the appraisal report, “I hereby certify that the Certification information contained in [specific identification for all construction exhibits, of Exhibits (for example, Smith Construction Plan Type A, 9 sheets, VA Form 26-1852, Description of Materials, plot plan by Jones, Inc.)], was used to arrive at the estimate of reasonable value noted in this report.” c.	VA_Guidelines.txt
0da7c66c-694d-4231-aa7f-661a6d075fe6	Appraisal The appraiser will prepare the appraisal report subject to the completion per Subject to plans and specifications. Completion of Construction 10-22 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 13. Proposed Construction Appraisal from a Model Home Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
e381a549-38fc-4124-8dc6-53afd57163fa	Notification When ordering the appraisal, the lender must enter the full legal description of to Appraiser the subject property in the legal description block on the appraisal request form in WebLGY followed by “APPRAISAL FROM MODEL HOME.” This will alert the fee appraiser of the procedure to be followed. b.	VA_Guidelines.txt
8d7ace2f-1a89-4dee-9852-99a7e808a9bf	Model The model home must be: Home Requirements • fully completed, • the same plan type as the subject home (reversed plans are acceptable), • located in the same market area, and • readily accessible to the assigned fee appraiser. c.	VA_Guidelines.txt
21466d31-1b0c-4222-9a8f-439e007f92bf	Contact Contact information for the sales office or an individual who can provide the Information appraiser with access to the interior of the model home must be provided on for Model the appraisal request. Home Access d.	VA_Guidelines.txt
aa988e18-ad4f-4b07-9b3d-dd1ad68f3ab0	Home Access d. Differences The appraiser must be provided with information concerning any differences between in customer preference items, upgrades, or additional features between the Subject and model home and the subject property. Model Home e.	VA_Guidelines.txt
fad2555a-2a7a-4ee9-828c-bf025c7f9a30	Model Home e. Statement In the “Comments” section at the bottom of page 1 of Fannie Mae Form 1004, on the Uniform Residential Appraisal Report (URAR), the fee appraiser must insert Appraisal the following statement: “Appraisal from Model Home. Value has been based on an inspection of a model home of the same plan type as the subject.	VA_Guidelines.txt
11fda5c8-f377-4022-a5fa-a5e4ea4b9824	Construction to be completed according to contract dated__________.” Continued on next page 10-23 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 13. Proposed Construction Appraisal from a Model Home, continued f.	VA_Guidelines.txt
c8982ec1-2789-463a-8bf0-d0aca1453867	NOV When issuing the NOV, the SAR must: Requirements • issue the NOV under the guidelines for proposed construction (since the model home was used to illustrate the property instead of plans), and • place the following condition in item 16 of the NOV: “Appraisal from Model Home. Construction to be completed according to contract dated__________.	VA_Guidelines.txt
a663b866-7090-4ffe-b0ae-cc8b84925438	Appraiser is to be contacted for Final Inspection and to provide a statement verifying satisfactory completion.” 10-24 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 14. Construction Inspections Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
cffe48fa-fba3-4681-9de9-00cbd3ebdfdb	Local Many local building authorities have adopted comprehensive residential Building building codes and perform mandatory inspections at the foundation, framing, Inspections and final stages of construction. b. Confirming On cases involving new or proposed construction, lenders must confirm Local whether or not local inspections are performed. Inspections Performed c.	VA_Guidelines.txt
16e5cf25-be09-4215-a9f8-99d542c4cd74	Inspections Performed c. Purpose of The purpose of the inspections is to ensure that the property: Inspections • is built according to the building codes adopted by the local authority, and • has been satisfactorily completed as evidenced by a final construction inspection or certificate of occupancy. d.	VA_Guidelines.txt
258d8497-4067-4e8c-a6fd-9562123233e6	Missed In the event that the local authority provides construction inspections, but Inspections none were conducted, the property is ineligible to be the security for a VA-guaranteed loan. 10-25 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 15. Warranty Requirements for New Construction Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
5c9c0f67-edc9-4268-b379-2ce99e388610	New On a new construction property, the Veteran must be provided with: Construction Warranties • a 1-year warranty on VA Form 26-1859, Warranty of Completion of Construction, or • a 10-year, insurance backed warranty. b.	VA_Guidelines.txt
ac8a5b61-62d3-48ff-8546-9c79844a0aab	Evidence of Evidence that the new construction property was satisfactorily completed will Construction be documented as follows: Completion • If the local authority performs foundation, framing and final inspections, VA will accept the certificate of occupancy as evidence of local authority inspections and satisfactory completion of construction in compliance with local building code requirements	VA_Guidelines.txt
9aaecf3f-819a-4d00-a762-68725174e66c	.	VA_Guidelines.txt
09ac4246-63af-4660-9d6d-d3e0b748e9b6	If the local authority does not issue a certificate of occupancy, copies of the three satisfactory inspection reports or a written statement from the local authority confirming the three inspections were completed and that the construction was found to be satisfactory will be acceptable	VA_Guidelines.txt
b1a34abe-cf26-4285-8108-f97810f7d9e0	. • If the local authority does not provide construction inspections, the lender must certify that the property is complete (both on-site and off- site improvements), and that it meets VA MPRs for existing construction (see Chapter 12 of this Handbook). 10-26 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 16.	VA_Guidelines.txt
84c669d4-b97a-4f5b-bb45-9959aff33a21	Warranty Requirements for Proposed Construction Change Date March 11, 2019 • This chapter has been revised in its entirety. a. On a proposed construction property, the Veteran must be provided with a Construction construction warranty. Warranty b.	VA_Guidelines.txt
343a026b-7465-4c0d-a35b-389c9a83a679	Warranty Warranty requirements will be determined by whether or not the local Requirements building authority performs construction inspections: • If the local authority performs foundation, framing and final inspections, VA will accept the certificate of occupancy as evidence of local authority inspections and satisfactory completion of construction in compliance with local building code	VA_Guidelines.txt
ea2f76ad-31cb-4686-8397-eb789bf3ccec	in compliance with local building code requirements	VA_Guidelines.txt
f2b9b3d9-b21f-4a9f-a870-df9f8092de04	.	VA_Guidelines.txt
82f66392-1b00-4493-8142-69422ea8056c	If the local authority does not issue a certificate of occupancy, copies of the three satisfactory inspection reports or a written statement from the local authority confirming the three inspections were completed and that the construction was found to be satisfactory will be acceptable.	VA_Guidelines.txt
045b1dd1-09d1-41d2-a7db-f00a4582dd1b	The builder must provide the Veteran with a 1-year warranty on VA Form 26-1859, Warranty of Completion of Construction.	VA_Guidelines.txt
bcca778a-f45b-49da-98ed-5fea070282e1	VA assistance with construction complaints will be limited to defects in equipment, material, and workmanship reported during the required 1-year VA builder’s warranty period	VA_Guidelines.txt
e1e9caa8-53f8-474f-8d32-b86242ad829a	. • If the local authority does not provide construction inspections, the builder must provide both a 1-year builder’s warranty on VA Form 26- 1859, Warranty of Completion of Construction and a 10-year insurance backed warranty.	VA_Guidelines.txt
2e89cd6a-bf8e-45b2-80cc-d8090153e8b6	The lender must certify that the property is complete (both on-site and off-site improvements), and that it meets VA MPRs for existing construction (see Chapter 12 of this Handbook).	VA_Guidelines.txt
f990659c-ea50-468d-bbe3-9387ded1bb3d	VA assistance with construction complaints will be limited to defects in equipment, material, and workmanship reported during the required 1-year VA builder’s warranty period. 10-27 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 17. Post Construction Inspection by an Appraiser Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
08695050-ca11-4b8f-ab18-2a13b36d090b	Inspection On proposed construction cases, in addition to any local building authority by an inspections, the lender must have the VA-assigned fee appraiser visit the Appraiser property and certify that construction substantially complies with the certified Following construction exhibits upon which the appraisal was based and that the Construction improvements comply with any conditions of the	VA_Guidelines.txt
abaa7f80-076d-425a-bb03-70e8eb2d99bc	improvements comply with any conditions of the sales contract (for example, landscaping, decking, or fencing)	VA_Guidelines.txt
87e90394-63a9-44b8-909f-ecda231b0d52	. b.	VA_Guidelines.txt
5c6c86c5-d675-4373-a482-08a40e319a7e	Inspection The report may be prepared on: Report Form • Fannie Mae Form 1004D – Freddie Mac Form 442, Part B (Part A is not acceptable for VA use), or • the appraiser’s letterhead. c.	VA_Guidelines.txt
79480301-9c20-4bd4-a2ae-21442e1c0b6f	Inspection The report must contain: Report Contents • the appraiser’s certification that the completed construction substantially complies with the construction exhibits used in the appraisal, • front and rear exterior photos, and • an invoice for the inspection report. d.	VA_Guidelines.txt
2b4f39a3-9fdc-479b-a2bb-39858a57f8c9	Incomplete If the appraiser finds that construction is not complete or that there have been Construction deviations from the plans, the appraiser should provide details in the report or Deviations and include an invoice as the appraiser may charge a fee for each inspection. e. Uploading The appraiser must upload the report into WebLGY. the Report f.	VA_Guidelines.txt
63af57d4-9fa9-40b1-9b28-dd4565570819	Contact RLC When a post-construction inspection is needed and the VA-assigned appraiser for Another is not available, the lender should notify the RLC of jurisdiction to have Appraiser if another appraiser assigned. Needed 10-28 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 18.	VA_Guidelines.txt
e331e537-7a59-4099-ae72-6dfc716d666a	Veteran Building His/Her Own Home Change Date March 11, 2019 • This chapter has been revised in its entirety. a. Veteran If a Veteran, acting as a general contractor, is building a home for his/her own Building a occupancy, the appraisal must be ordered as “existing” construction. Home b. No ID A VA builder ID number and a construction warranty are not required. Number or Warranty c.	VA_Guidelines.txt
be9082b1-32c6-42b4-bc90-eb783952891c	Number or Warranty c. Veteran’s The lender must obtain the Veteran’s signed acknowledgement that no Statement construction warranty is provided and that VA will not assist with any construction defects. 10-29 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 19.	VA_Guidelines.txt
2bd2eac6-4780-47be-adef-44a8b9cdcfa2	Special Exception for a Veteran Purchasing a New Construction Property Without a Warranty Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
e0f34df2-f2f1-4ab4-9a69-1fde8eb6fb21	Special An exception may be made for a Veteran who wishes to purchase a new home Exception for from a builder who is not more than occasionally involved with VA financing a Property and will not provide either a 1-year VA builder’s warranty or a 10-year Without a insured protection plan.	VA_Guidelines.txt
8c182112-bc78-4bd3-9d2f-64937013fdfe	In that situation, all of the following will be required: Warranty • The Veteran purchaser’s written acknowledgment that, “I am aware that this property does not qualify for VA assistance with construction complaints, since it was not inspected by VA during construction.	VA_Guidelines.txt
2d87a88c-9690-44b8-b031-a9f392c1221e	I am also aware that this new property will not be covered by either a 1-year VA builder’s warranty or a 10-year insured protection plan, as is normally required in this situation	VA_Guidelines.txt
3010c6a2-3c02-4d58-9f21-3690dda66dd7	.” • The builder’s written certification that, “This company is not more than occasionally involved with VA financing and is aware that this property is being accepted without any VA-required warranty on an exception basis, and only upon the request of the Veteran purchaser.	VA_Guidelines.txt
54f1093c-f5cf-4407-b9e7-ce6eaff2d3ad	The dwelling was constructed according to standard building practices and is in conformity with all applicable building codes. • The lender obtains a copy of documentation issued by the local building authority to verify that construction was acceptably completed, such as a final inspection or certificate of occupancy.	VA_Guidelines.txt
d044a851-9fa1-49b3-88b6-15bff17a66cd	Where local authorities do not perform building inspections, the Veteran and builder must certify in writing that “The dwelling was not inspected during construction by any state, county, or local jurisdiction.” b.	VA_Guidelines.txt
0ad423ab-a451-4d2a-b52c-5164a8779e59	Builder ID The builder must have a VA-issued builder ID number as the exception only Number applies to the warranty requirement. 10-30 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 20. New Construction Sold by the Lender Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
2e5122c2-9894-422a-b2d2-db046803d9fc	Appraisal If a lender acquires title to a newly constructed home due to a builder’s Request bankruptcy or cessation of business, the lender must order the appraisal as follows: • As “existing”, not “new”, construction, and • As “IND”, not “LAPP”, as properties sold by the lender are not eligible for processing under LAPP. b.	VA_Guidelines.txt
66013185-4920-411b-a067-7adb92014720	The lender must: Documentation Required • provide evidence of property ownership, • complete any repairs needed for the property to meet VA’s MPRs, • obtain a certificate of occupancy from the local authority, and • obtain the Veteran’s signed acknowledgement that “This property is being purchased as existing construction from a lender who acquired this new construction property from the builder.	VA_Guidelines.txt
42816bfb-54a2-4d6b-b793-6d0d490b3d78	There is no warranty and VA will not provide assistance with any construction defects.” 10-31 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 21. Completed Appraisal Uploaded to WebLGY Change Date March 11, 2019 • This chapter has been revised in its entirety. a. WebLGY Fee appraisers are required to upload completed appraisal reports into WebLGY. b.	VA_Guidelines.txt
3cfdf250-f179-4eac-9f36-31f92b648061	Access to an VA staff, lenders, agents, servicers, and other authorized requesters with Appraisal VA-issued ID numbers that are associated with the loan number will have access to retrieve the appraisal from WebLGY for review, issuance of the NOV, or other functions. c. Required The appraiser must contact the RLC for assistance if an appraisal form is not Electronic available in MISMO XML format.	VA_Guidelines.txt
d625bd59-6719-4a9b-b924-2f34a466de59	Format d. Systems In the event that an appraiser completes an appraisal on a LAPP or Servicer Not in Appraisal Processing Program (SAPP) case and WebLGY is not available, the Operation appraiser may email the appraisal to the requester and upload the appraisal as soon as WebLGY is available.	VA_Guidelines.txt
67c44d08-e0d7-405b-bb05-d07f71adee79	The appraiser must place a note in WebLGY documenting that this procedure was followed. 10-32 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 22. Reconsideration of Value Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
3bc8747e-5851-4a62-9f53-175d6907f8f4	Written After the NOV has been issued, the Veteran may request reconsideration of Request value in writing by contacting the RLC of jurisdiction. If the request is submitted to the RLC through the lender, the SAR is encouraged to research market data and provide a recommendation to the RLC with the Veteran’s request. b.	VA_Guidelines.txt
c7df8599-2c08-4bd9-acf6-47fbb25ad53f	Market Providing market data in support of the request, as described in Chapter 10, Data Topic 8, of this Handbook, is encouraged, but not required. A market data grid is not required. c. Review by Within 5 business days, VA staff will review the appraisal report, additional VA staff submitted data, as well as the market data available through VA’s AMS.	VA_Guidelines.txt
18226b09-547c-411e-8de8-c95bc9fdfea0	In some cases, VA staff may conduct a field review which will be completed within 20 business days. If VA staff determines that an increase in value is appropriate, VA will issue an amended NOV. 10-33 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 22. Reconsideration of Value Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
03d31b2e-a577-4453-acd8-3b80396637dc	Written After the NOV has been issued, the Veteran may request reconsideration of Request value in writing by contacting the RLC of jurisdiction. If the request is submitted to the RLC through the lender, the SAR is encouraged to research market data and provide a recommendation to the RLC with the Veteran’s request. b.	VA_Guidelines.txt
407b6ee0-cabd-474d-b82d-e4a5db99901c	Market Providing market data in support of the request, as described in Chapter 10, Data Topic 8, of this Handbook, is encouraged, but not required. A market data grid is not required. c. Review by Within 5 business days, VA staff will review the appraisal report, additional VA staff submitted data, as well as the market data available through VA’s AMS.	VA_Guidelines.txt
e7d6848b-b601-44f2-886f-1a96af720d04	In some cases, VA staff may conduct a field review which will be completed within 20 business days. If VA staff determines that an increase in value is appropriate, VA will issue an amended NOV. 10-33 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 23. Repair Inspections Change Date March 11, 2019 • This chapter has been revised in its entirety. a.	VA_Guidelines.txt
8bd74818-785a-44a4-a82e-9fe0bb6c7c22	Repair When required on the NOV, repair inspections are completed by appraisers Inspections assigned by VA for: • repairs/alterations/improvements on existing properties, • customer preference items on new construction properties, and • post-construction inspections on properties appraised as proposed construction to confirm that construction was completed in accordance with the certified	VA_Guidelines.txt
8325e28d-4aa2-4e75-802d-0519376639c7	was completed in accordance with the certified construction exhibits upon which the appraised value was based (see Chapter 10, Topic 17 of this Handbook)	VA_Guidelines.txt
976f3ae4-851f-4839-bfd6-bb0e936a2a65	. b.	VA_Guidelines.txt
1b565807-1c08-4876-8456-ca488f0c8f9d	Lender When issuing NOVs for existing or new construction properties, SARs are Certification encouraged to condition the NOV for a lender certification of repairs, Encouraged especially repairs performed by licensed personnel, instead of an appraiser certification. Repair certifications which may involve lead-based paint must be completed by the fee appraiser. c.	VA_Guidelines.txt
f7573cc0-5bcd-483d-a31a-244301982dc1	Notification When repairs have been completed and are ready for inspection, lenders must to an notify the appraiser and provide a copy of the NOV as the requirements on the Appraiser NOV may differ from the recommendations listed on the appraisal (see Chapter 13, Topic 3 of this Handbook). d.	VA_Guidelines.txt
f2708a2d-9e5a-4700-ace6-528723940822	Contact When a repair inspection is needed and the VA-assigned appraiser is not RLC for available, the lender should notify the RLC of jurisdiction to have another Another appraiser assigned. Appraiser if Needed Continued on next page 10-34 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 23. Repair Inspections, continued e.	VA_Guidelines.txt
aae6f642-fbef-4f7f-ba01-8d95e817955a	Repair Inspections, continued e. Inspection Appraisers may place the repair inspection report on: Report Form • Fannie Mae Form 1004D – Freddie Mac Form 442, Part B (Part A is not acceptable for VA use), or • the appraiser’s letterhead. f.	VA_Guidelines.txt
2feb5938-ee60-4aa6-9831-b9fdd6437e2c	Inspection The repair inspection report must: Report Requirements • list the items on the NOV, • certify that quality materials were used, • certify that the items were completed in a satisfactory manner, • identify any non-compliant items, • include photos of all items, • be signed by the appraiser, and • uploaded into WebLGY. 10-35 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 24.	VA_Guidelines.txt
cf72344b-a064-45f5-837d-c9a0b9cc33df	Appraisal and Repair Inspection Fees Change Date March 11, 2019 • This chapter has been revised in its entirety. a. Based on The maximum appraisal and repair inspection fees allowed by VA are based Fees for on customary fees for similar services in that vicinity.	VA_Guidelines.txt
a213f64b-cc19-4dba-a631-c758a555b9e6	Regardless of the Similar amount of the maximum fee, appraisers must not charge Veterans more than Services they charge other clients for similar services. VA will entertain additional fees in unusual circumstances. b. Fees Listed Appraisal and repair inspection fees can be found at: Online http://www.benefits.va.gov/HOMELOANS/appraiser_fee_schedule.asp. c.	VA_Guidelines.txt
16ff10f8-2085-49fb-8c68-4572c3c11d8f	Mileage Mileage may be charged in accordance with the RLC’s fee schedule. The fee per mile is based upon the GSA mileage rate which can be found at: http://www.gsa.gov. d.	VA_Guidelines.txt
a9e201b4-527c-443a-aace-33d32f8573b1	When an appraisal is ordered, the requester must certify in WebLGY that the Certification appraisal fee has been collected and is being held to be paid to the appraiser that the Fee before the appraisal request will be assigned to an appraiser. will be Paid e. Fee Must be Appraisers are not authorized to collect appraisal fees directly from Veterans.	VA_Guidelines.txt
07a1c2d7-e011-4a52-85d7-9afea24fd289	Paid by the Fees must be paid by the requester who placed the appraisal request. Requester f. No “Rush” VA expects the highest level of service will be consistently provided to Fees Veterans and their mortgage lenders. No fees for “rush” or “priority” service are acceptable. Continued on next page 10-36 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 24.	VA_Guidelines.txt
aabf4893-a737-4624-a2a5-0fbb7f1b0c8e	Appraisal and Repair Inspection Fees, continued g. Appraisal On liquidation appraisals, the servicer may request reimbursement of the Fee Included appraisal fee that was paid to the appraiser when filing the claim under on a Claim guaranty.	VA_Guidelines.txt
0c07b9e3-5f6f-4d1c-89ad-fc8e000ba773	In the event that the borrower requests to pay the full arrears after the appraisal is performed, the servicer must include the cost of the appraisal in the calculation of the total amount due. h. Complex VA fee and timeliness schedules cover fees for typical appraisals. Appraisal Properties assignments that are complex in nature may require additional resources and time.	VA_Guidelines.txt
ca0e8c53-d1aa-41df-b0d8-f750ea1896a5	If an assignment is determined to be complex in nature, appraisers may negotiate additional fees with the lender, subject to VA approval. Fee should not exceed what is reasonable and customary for a similar complex property type in the market area. 10-37 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 25.	VA_Guidelines.txt

d060696f-0074-4bfa-a6ac-b8a7c592d37c

• Coastal Barrier Resources System (CBRS) area (see Chapter 12, Topic 9 of this Handbook), • Special Flood Hazard Area (SFHA) if flood insurance is not available (see Chapter 12, Topic 8 of this Handbook), • Area subject to regular flooding, whether or not it has been designated an SFHA (see Chapter 12, Topic 8 of this Handbook), • Transmission line easement involving high-pressure gas, liquid

VA_Guidelines.txt

27093cd3-fb86-4d77-a775-2f83ce6651dc

line easement involving high-pressure gas, liquid petroleum (see Chapter 12, Topic 40 of this Handbook) or high voltage electricity if any part of the residential structure is within the easement (see Chapter 12, Topic 39 of this Handbook), and • Area susceptible to geological or soil instability for new and proposed construction cases unless the builder provides evidence that the site is not

VA_Guidelines.txt

194b790a-2b27-4c2b-ae23-270239cb2eb1

builder provides evidence that the site is not affected or the instability has been addressed in the engineering design (see Chapter 12, Topic 7 of this Handbook)

VA_Guidelines.txt

baf20c96-64bb-449e-92bc-4d99081ff14b

.

VA_Guidelines.txt

7fe5fe7c-d4c9-4749-a8f2-df2b6e534460

Continued on next page 10-19 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 10. Properties Not Eligible for an Appraisal Change Date March 11, 2019 • This chapter has been revised in its entirety. a. Lenders must determine that a property is not eligible for an appraisal at the Determination earliest possible opportunity.

VA_Guidelines.txt

83939779-3278-4c96-9de4-d1a95f3b6e99

If an appraisal is requested and the appraiser at Earliest finds that the property is not eligible, the appraiser should stop working on the Opportunity appraisal and immediately notify the lender. b.

VA_Guidelines.txt

2d67fa4a-716c-427c-afdf-ef9fe84f8eda

Properties Properties in the following locations are not eligible for an appraisal: Not Eligible for an • Airport Clear Zone (also known as a Runway Protection Zone), if the Appraisal Due property is proposed construction (see Chapter 12, Topic 41 of this to Location Handbook), • Lava Flow Zones 1 and 2 (see Chapter 12, Topic 10 of this Handbook), • Coastal Barrier Resources System (CBRS) area

VA_Guidelines.txt

51368dc1-e937-448a-a409-bf5847a41e4a

• Coastal Barrier Resources System (CBRS) area (see Chapter 12, Topic 9 of this Handbook), • Special Flood Hazard Area (SFHA) if flood insurance is not available (see Chapter 12, Topic 8 of this Handbook), • Area subject to regular flooding, whether or not it has been designated an SFHA (see Chapter 12, Topic 8 of this Handbook), • Transmission line easement involving high-pressure gas, liquid

VA_Guidelines.txt

d53f8494-3ee2-4629-9165-f1659d5a4fff

line easement involving high-pressure gas, liquid petroleum (see Chapter 12, Topic 40 of this Handbook) or high voltage electricity if any part of the residential structure is within the easement (see Chapter 12, Topic 39 of this Handbook), and • Area susceptible to geological or soil instability for new and proposed construction cases unless the builder provides evidence that the site is not

VA_Guidelines.txt

4d87d4c5-b582-4a07-b5b0-34ed0153ed76

builder provides evidence that the site is not affected or the instability has been addressed in the engineering design (see Chapter 12, Topic 7 of this Handbook)

VA_Guidelines.txt

3146d025-78bb-4031-ae29-ea12c8df97e1

.

VA_Guidelines.txt

d71e4680-f678-4f38-9205-d5ff982a3a36

Continued on next page 10-19 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 10. Properties Not Eligible for an Appraisal, continued c.

VA_Guidelines.txt

4f637f04-648c-4946-88db-6e9317902f1d

Property Properties in the following situations are not eligible for an appraisal: Types that are Not Eligible • A property that does not comply with current zoning regulations, for an however, a “legal non-conforming” use is acceptable and should be Appraisal described in the appraisal (see Chapter 12, Topic 12 of this Handbook)

VA_Guidelines.txt

1853ee69-c108-496f-9439-db42907f75bb

. • A property that is primarily non-residential is ineligible for VA loan guaranty (see Chapter 12, Topic 11 of this Handbook). • For new and proposed construction cases, if the local building authority routinely performs construction inspections, but none were conducted, the property is ineligible for VA loan guaranty (see Topic 14 of this chapter)

VA_Guidelines.txt

492ce2ce-3b41-47f3-a843-54c0da922bea

. • Condo-hotel properties (Condotels) where units are placed in a rental pool and “air” condominiums that do not have a homeowners association are not eligible for an appraisal. (see Chapter 11, Topic 12 of this Handbook

VA_Guidelines.txt

244b0109-a3e3-42f5-838c-80a33931b71b

. (see Chapter 11, Topic 12 of this Handbook.) • A property is ineligible for an appraisal if any party of interest to the transaction, other than the purchaser, is debarred Government-wide, or excluded from participation in the Loan Guaranty program due to a VA-imposed sanction.

VA_Guidelines.txt

29c4db0a-bafe-48ef-aefd-41287f0a5eb0

Sanctions typically involve construction complaints or unfair marketing practices. Lenders must confirm that builders of properties appraised as new or proposed construction have a valid VA-issued builder ID number to ensure that sanctioned builders do not participate in the VA Home Loan Guaranty program (see Topic 11 of this chapter).

VA_Guidelines.txt

1f37da40-f25a-468a-b037-4004f3f9ed7b

If the sanctioned party is a builder, this restriction applies to any property still owned by the builder, including houses under construction and existing houses.

VA_Guidelines.txt

00869c2d-9cec-4332-9cc2-8c7ab8051051

VA’s refusal to appraise will not be affected by either the fact that the local building authority approved the work on which the sanction was based, or the builder changes the company’s name or organizational structure or becomes a principal or officer in another organization. 10-20 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 11.

VA_Guidelines.txt

f0d568b3-b12b-4f81-97de-cfaef6be33bd

Builder Identification Numbers Change Date March 11, 2019 • This chapter has been revised in its entirety. a. ID Numbers VA registers builders and issues identification (ID) numbers. Builders must Assigned by obtain an ID number for each state where they are building homes for State Veterans who are obtaining VA-guaranteed loans. b.

VA_Guidelines.txt

7df79358-3686-4326-a064-cd768e392266

Builder For all new and proposed construction properties, with the exceptions of a must have ID new construction property sold by a lender or a home built by the Veteran for Before NOV is his/her own occupancy, the builder must have a valid ID number prior to the Issued NOV being issued. c. Must Meet The builder must meet any state and/or local licensing requirements. Licensing Requirements d.

VA_Guidelines.txt

c1866fd7-d897-4174-ae3e-2442906bec77

Licensing Requirements d. Online List A list of registered VA builders with ID numbers is available at of Registered https://vip.vba.va.gov/portal/VBAH/Home under “Featured Items” in the Builders “Builder Locator.” e.

VA_Guidelines.txt

17bcb38a-6ef0-4c04-a909-a2f668a02463

How to Builders who wish to apply for an ID number must send the following four Obtain a items to the RLC of jurisdiction: Builder ID Number • Copy of the builder’s license, if required by a state or local authority. • VA Form 26-421, Equal Employment Opportunity Certification. • VA Form 26-8791, VA Affirmative Marketing Certification

VA_Guidelines.txt

542d8411-4088-4f71-a172-9f933e65c237

. • Builder Information and Certifications for the VA Home Loan Guaranty program submitted on the builder’s letterhead or attached to a statement on the builder’s letterhead which references it.

VA_Guidelines.txt

c3a90cf3-757e-4884-8d04-01c340647ded

The certification statement and forms are available at: http://www.benefits.va.gov/HOMELOANS/appraiser_cv_builder_info .asp. 10-21 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 12. Proposed Construction Appraisal from Plans and Specifications Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

e6cf491b-d050-40e6-98cb-d8c65d8dcea4

Construction exhibits must be uploaded by the lender into WebLGY the same Construction day the case number is assigned.

VA_Guidelines.txt

14855d36-d785-4583-9ae5-f049984090e8

The exhibits must include: Exhibits • survey or plot plan, • plans sufficient to allow the appraiser to establish market value, • foundation or basement plan, • exterior elevations, • wall section, and • specifications, on either VA Form 26-1852, Description of Materials, HUD Form 92541, or another format that provides essentially the same information in sufficient detail. b.

VA_Guidelines.txt

46a612b9-d376-4748-87b5-b45f400f6788

The appraiser will certify in the appraisal report, “I hereby certify that the Certification information contained in [specific identification for all construction exhibits, of Exhibits (for example, Smith Construction Plan Type A, 9 sheets, VA Form 26-1852, Description of Materials, plot plan by Jones, Inc.)], was used to arrive at the estimate of reasonable value noted in this report.” c.

VA_Guidelines.txt

0da7c66c-694d-4231-aa7f-661a6d075fe6

Appraisal The appraiser will prepare the appraisal report subject to the completion per Subject to plans and specifications. Completion of Construction 10-22 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 13. Proposed Construction Appraisal from a Model Home Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

e381a549-38fc-4124-8dc6-53afd57163fa

Notification When ordering the appraisal, the lender must enter the full legal description of to Appraiser the subject property in the legal description block on the appraisal request form in WebLGY followed by “APPRAISAL FROM MODEL HOME.” This will alert the fee appraiser of the procedure to be followed. b.

VA_Guidelines.txt

8d7ace2f-1a89-4dee-9852-99a7e808a9bf

Model The model home must be: Home Requirements • fully completed, • the same plan type as the subject home (reversed plans are acceptable), • located in the same market area, and • readily accessible to the assigned fee appraiser. c.

VA_Guidelines.txt

21466d31-1b0c-4222-9a8f-439e007f92bf

Contact Contact information for the sales office or an individual who can provide the Information appraiser with access to the interior of the model home must be provided on for Model the appraisal request. Home Access d.

VA_Guidelines.txt

aa988e18-ad4f-4b07-9b3d-dd1ad68f3ab0

Home Access d. Differences The appraiser must be provided with information concerning any differences between in customer preference items, upgrades, or additional features between the Subject and model home and the subject property. Model Home e.

VA_Guidelines.txt

fad2555a-2a7a-4ee9-828c-bf025c7f9a30

Model Home e. Statement In the “Comments” section at the bottom of page 1 of Fannie Mae Form 1004, on the Uniform Residential Appraisal Report (URAR), the fee appraiser must insert Appraisal the following statement: “Appraisal from Model Home. Value has been based on an inspection of a model home of the same plan type as the subject.

VA_Guidelines.txt

11fda5c8-f377-4022-a5fa-a5e4ea4b9824

Construction to be completed according to contract dated__________.” Continued on next page 10-23 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 13. Proposed Construction Appraisal from a Model Home, continued f.

VA_Guidelines.txt

c8982ec1-2789-463a-8bf0-d0aca1453867

NOV When issuing the NOV, the SAR must: Requirements • issue the NOV under the guidelines for proposed construction (since the model home was used to illustrate the property instead of plans), and • place the following condition in item 16 of the NOV: “Appraisal from Model Home. Construction to be completed according to contract dated__________.

VA_Guidelines.txt

a663b866-7090-4ffe-b0ae-cc8b84925438

Appraiser is to be contacted for Final Inspection and to provide a statement verifying satisfactory completion.” 10-24 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 14. Construction Inspections Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

cffe48fa-fba3-4681-9de9-00cbd3ebdfdb

Local Many local building authorities have adopted comprehensive residential Building building codes and perform mandatory inspections at the foundation, framing, Inspections and final stages of construction. b. Confirming On cases involving new or proposed construction, lenders must confirm Local whether or not local inspections are performed. Inspections Performed c.

VA_Guidelines.txt

16e5cf25-be09-4215-a9f8-99d542c4cd74

Inspections Performed c. Purpose of The purpose of the inspections is to ensure that the property: Inspections • is built according to the building codes adopted by the local authority, and • has been satisfactorily completed as evidenced by a final construction inspection or certificate of occupancy. d.

VA_Guidelines.txt

258d8497-4067-4e8c-a6fd-9562123233e6

Missed In the event that the local authority provides construction inspections, but Inspections none were conducted, the property is ineligible to be the security for a VA-guaranteed loan. 10-25 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 15. Warranty Requirements for New Construction Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

5c9c0f67-edc9-4268-b379-2ce99e388610

New On a new construction property, the Veteran must be provided with: Construction Warranties • a 1-year warranty on VA Form 26-1859, Warranty of Completion of Construction, or • a 10-year, insurance backed warranty. b.

VA_Guidelines.txt

ac8a5b61-62d3-48ff-8546-9c79844a0aab

Evidence of Evidence that the new construction property was satisfactorily completed will Construction be documented as follows: Completion • If the local authority performs foundation, framing and final inspections, VA will accept the certificate of occupancy as evidence of local authority inspections and satisfactory completion of construction in compliance with local building code requirements

VA_Guidelines.txt

9aaecf3f-819a-4d00-a762-68725174e66c

.

VA_Guidelines.txt

09ac4246-63af-4660-9d6d-d3e0b748e9b6

If the local authority does not issue a certificate of occupancy, copies of the three satisfactory inspection reports or a written statement from the local authority confirming the three inspections were completed and that the construction was found to be satisfactory will be acceptable

VA_Guidelines.txt

b1a34abe-cf26-4285-8108-f97810f7d9e0

. • If the local authority does not provide construction inspections, the lender must certify that the property is complete (both on-site and off- site improvements), and that it meets VA MPRs for existing construction (see Chapter 12 of this Handbook). 10-26 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 16.

VA_Guidelines.txt

84c669d4-b97a-4f5b-bb45-9959aff33a21

Warranty Requirements for Proposed Construction Change Date March 11, 2019 • This chapter has been revised in its entirety. a. On a proposed construction property, the Veteran must be provided with a Construction construction warranty. Warranty b.

VA_Guidelines.txt

343a026b-7465-4c0d-a35b-389c9a83a679

Warranty Warranty requirements will be determined by whether or not the local Requirements building authority performs construction inspections: • If the local authority performs foundation, framing and final inspections, VA will accept the certificate of occupancy as evidence of local authority inspections and satisfactory completion of construction in compliance with local building code

VA_Guidelines.txt

ea2f76ad-31cb-4686-8397-eb789bf3ccec

in compliance with local building code requirements

VA_Guidelines.txt

f2b9b3d9-b21f-4a9f-a870-df9f8092de04

.

VA_Guidelines.txt

82f66392-1b00-4493-8142-69422ea8056c

If the local authority does not issue a certificate of occupancy, copies of the three satisfactory inspection reports or a written statement from the local authority confirming the three inspections were completed and that the construction was found to be satisfactory will be acceptable.

VA_Guidelines.txt

045b1dd1-09d1-41d2-a7db-f00a4582dd1b

The builder must provide the Veteran with a 1-year warranty on VA Form 26-1859, Warranty of Completion of Construction.

VA_Guidelines.txt

bcca778a-f45b-49da-98ed-5fea070282e1

VA assistance with construction complaints will be limited to defects in equipment, material, and workmanship reported during the required 1-year VA builder’s warranty period

VA_Guidelines.txt

e1e9caa8-53f8-474f-8d32-b86242ad829a

. • If the local authority does not provide construction inspections, the builder must provide both a 1-year builder’s warranty on VA Form 26- 1859, Warranty of Completion of Construction and a 10-year insurance backed warranty.

VA_Guidelines.txt

2e89cd6a-bf8e-45b2-80cc-d8090153e8b6

The lender must certify that the property is complete (both on-site and off-site improvements), and that it meets VA MPRs for existing construction (see Chapter 12 of this Handbook).

VA_Guidelines.txt

f990659c-ea50-468d-bbe3-9387ded1bb3d

VA assistance with construction complaints will be limited to defects in equipment, material, and workmanship reported during the required 1-year VA builder’s warranty period. 10-27 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 17. Post Construction Inspection by an Appraiser Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

08695050-ca11-4b8f-ab18-2a13b36d090b

Inspection On proposed construction cases, in addition to any local building authority by an inspections, the lender must have the VA-assigned fee appraiser visit the Appraiser property and certify that construction substantially complies with the certified Following construction exhibits upon which the appraisal was based and that the Construction improvements comply with any conditions of the

VA_Guidelines.txt

abaa7f80-076d-425a-bb03-70e8eb2d99bc

improvements comply with any conditions of the sales contract (for example, landscaping, decking, or fencing)

VA_Guidelines.txt

87e90394-63a9-44b8-909f-ecda231b0d52

. b.

VA_Guidelines.txt

5c6c86c5-d675-4373-a482-08a40e319a7e

Inspection The report may be prepared on: Report Form • Fannie Mae Form 1004D – Freddie Mac Form 442, Part B (Part A is not acceptable for VA use), or • the appraiser’s letterhead. c.

VA_Guidelines.txt

79480301-9c20-4bd4-a2ae-21442e1c0b6f

Inspection The report must contain: Report Contents • the appraiser’s certification that the completed construction substantially complies with the construction exhibits used in the appraisal, • front and rear exterior photos, and • an invoice for the inspection report. d.

VA_Guidelines.txt

2b4f39a3-9fdc-479b-a2bb-39858a57f8c9

Incomplete If the appraiser finds that construction is not complete or that there have been Construction deviations from the plans, the appraiser should provide details in the report or Deviations and include an invoice as the appraiser may charge a fee for each inspection. e. Uploading The appraiser must upload the report into WebLGY. the Report f.

VA_Guidelines.txt

63af57d4-9fa9-40b1-9b28-dd4565570819

Contact RLC When a post-construction inspection is needed and the VA-assigned appraiser for Another is not available, the lender should notify the RLC of jurisdiction to have Appraiser if another appraiser assigned. Needed 10-28 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 18.

VA_Guidelines.txt

e331e537-7a59-4099-ae72-6dfc716d666a

Veteran Building His/Her Own Home Change Date March 11, 2019 • This chapter has been revised in its entirety. a. Veteran If a Veteran, acting as a general contractor, is building a home for his/her own Building a occupancy, the appraisal must be ordered as “existing” construction. Home b. No ID A VA builder ID number and a construction warranty are not required. Number or Warranty c.

VA_Guidelines.txt

be9082b1-32c6-42b4-bc90-eb783952891c

Number or Warranty c. Veteran’s The lender must obtain the Veteran’s signed acknowledgement that no Statement construction warranty is provided and that VA will not assist with any construction defects. 10-29 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 19.

VA_Guidelines.txt

2bd2eac6-4780-47be-adef-44a8b9cdcfa2

Special Exception for a Veteran Purchasing a New Construction Property Without a Warranty Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

e0f34df2-f2f1-4ab4-9a69-1fde8eb6fb21

Special An exception may be made for a Veteran who wishes to purchase a new home Exception for from a builder who is not more than occasionally involved with VA financing a Property and will not provide either a 1-year VA builder’s warranty or a 10-year Without a insured protection plan.

VA_Guidelines.txt

8c182112-bc78-4bd3-9d2f-64937013fdfe

In that situation, all of the following will be required: Warranty • The Veteran purchaser’s written acknowledgment that, “I am aware that this property does not qualify for VA assistance with construction complaints, since it was not inspected by VA during construction.

VA_Guidelines.txt

2d87a88c-9690-44b8-b031-a9f392c1221e

I am also aware that this new property will not be covered by either a 1-year VA builder’s warranty or a 10-year insured protection plan, as is normally required in this situation

VA_Guidelines.txt

3010c6a2-3c02-4d58-9f21-3690dda66dd7

.” • The builder’s written certification that, “This company is not more than occasionally involved with VA financing and is aware that this property is being accepted without any VA-required warranty on an exception basis, and only upon the request of the Veteran purchaser.

VA_Guidelines.txt

54f1093c-f5cf-4407-b9e7-ce6eaff2d3ad

The dwelling was constructed according to standard building practices and is in conformity with all applicable building codes. • The lender obtains a copy of documentation issued by the local building authority to verify that construction was acceptably completed, such as a final inspection or certificate of occupancy.

VA_Guidelines.txt

d044a851-9fa1-49b3-88b6-15bff17a66cd

Where local authorities do not perform building inspections, the Veteran and builder must certify in writing that “The dwelling was not inspected during construction by any state, county, or local jurisdiction.” b.

VA_Guidelines.txt

0ad423ab-a451-4d2a-b52c-5164a8779e59

Builder ID The builder must have a VA-issued builder ID number as the exception only Number applies to the warranty requirement. 10-30 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 20. New Construction Sold by the Lender Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

2e5122c2-9894-422a-b2d2-db046803d9fc

Appraisal If a lender acquires title to a newly constructed home due to a builder’s Request bankruptcy or cessation of business, the lender must order the appraisal as follows: • As “existing”, not “new”, construction, and • As “IND”, not “LAPP”, as properties sold by the lender are not eligible for processing under LAPP. b.

VA_Guidelines.txt

66013185-4920-411b-a067-7adb92014720

The lender must: Documentation Required • provide evidence of property ownership, • complete any repairs needed for the property to meet VA’s MPRs, • obtain a certificate of occupancy from the local authority, and • obtain the Veteran’s signed acknowledgement that “This property is being purchased as existing construction from a lender who acquired this new construction property from the builder.

VA_Guidelines.txt

42816bfb-54a2-4d6b-b793-6d0d490b3d78

There is no warranty and VA will not provide assistance with any construction defects.” 10-31 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 21. Completed Appraisal Uploaded to WebLGY Change Date March 11, 2019 • This chapter has been revised in its entirety. a. WebLGY Fee appraisers are required to upload completed appraisal reports into WebLGY. b.

VA_Guidelines.txt

3cfdf250-f179-4eac-9f36-31f92b648061

Access to an VA staff, lenders, agents, servicers, and other authorized requesters with Appraisal VA-issued ID numbers that are associated with the loan number will have access to retrieve the appraisal from WebLGY for review, issuance of the NOV, or other functions. c. Required The appraiser must contact the RLC for assistance if an appraisal form is not Electronic available in MISMO XML format.

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d625bd59-6719-4a9b-b924-2f34a466de59

Format d. Systems In the event that an appraiser completes an appraisal on a LAPP or Servicer Not in Appraisal Processing Program (SAPP) case and WebLGY is not available, the Operation appraiser may email the appraisal to the requester and upload the appraisal as soon as WebLGY is available.

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67c44d08-e0d7-405b-bb05-d07f71adee79

The appraiser must place a note in WebLGY documenting that this procedure was followed. 10-32 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 22. Reconsideration of Value Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

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3bc8747e-5851-4a62-9f53-175d6907f8f4

Written After the NOV has been issued, the Veteran may request reconsideration of Request value in writing by contacting the RLC of jurisdiction. If the request is submitted to the RLC through the lender, the SAR is encouraged to research market data and provide a recommendation to the RLC with the Veteran’s request. b.

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c7df8599-2c08-4bd9-acf6-47fbb25ad53f

Market Providing market data in support of the request, as described in Chapter 10, Data Topic 8, of this Handbook, is encouraged, but not required. A market data grid is not required. c. Review by Within 5 business days, VA staff will review the appraisal report, additional VA staff submitted data, as well as the market data available through VA’s AMS.

VA_Guidelines.txt

18226b09-547c-411e-8de8-c95bc9fdfea0

In some cases, VA staff may conduct a field review which will be completed within 20 business days. If VA staff determines that an increase in value is appropriate, VA will issue an amended NOV. 10-33 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 22. Reconsideration of Value Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

VA_Guidelines.txt

03d31b2e-a577-4453-acd8-3b80396637dc

Written After the NOV has been issued, the Veteran may request reconsideration of Request value in writing by contacting the RLC of jurisdiction. If the request is submitted to the RLC through the lender, the SAR is encouraged to research market data and provide a recommendation to the RLC with the Veteran’s request. b.

VA_Guidelines.txt

407b6ee0-cabd-474d-b82d-e4a5db99901c

Market Providing market data in support of the request, as described in Chapter 10, Data Topic 8, of this Handbook, is encouraged, but not required. A market data grid is not required. c. Review by Within 5 business days, VA staff will review the appraisal report, additional VA staff submitted data, as well as the market data available through VA’s AMS.

VA_Guidelines.txt

e7d6848b-b601-44f2-886f-1a96af720d04

In some cases, VA staff may conduct a field review which will be completed within 20 business days. If VA staff determines that an increase in value is appropriate, VA will issue an amended NOV. 10-33 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 23. Repair Inspections Change Date March 11, 2019 • This chapter has been revised in its entirety. a.

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8bd74818-785a-44a4-a82e-9fe0bb6c7c22

Repair When required on the NOV, repair inspections are completed by appraisers Inspections assigned by VA for: • repairs/alterations/improvements on existing properties, • customer preference items on new construction properties, and • post-construction inspections on properties appraised as proposed construction to confirm that construction was completed in accordance with the certified

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was completed in accordance with the certified construction exhibits upon which the appraised value was based (see Chapter 10, Topic 17 of this Handbook)

VA_Guidelines.txt

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. b.

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Lender When issuing NOVs for existing or new construction properties, SARs are Certification encouraged to condition the NOV for a lender certification of repairs, Encouraged especially repairs performed by licensed personnel, instead of an appraiser certification. Repair certifications which may involve lead-based paint must be completed by the fee appraiser. c.

VA_Guidelines.txt

f7573cc0-5bcd-483d-a31a-244301982dc1

Notification When repairs have been completed and are ready for inspection, lenders must to an notify the appraiser and provide a copy of the NOV as the requirements on the Appraiser NOV may differ from the recommendations listed on the appraisal (see Chapter 13, Topic 3 of this Handbook). d.

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f2708a2d-9e5a-4700-ace6-528723940822

Contact When a repair inspection is needed and the VA-assigned appraiser is not RLC for available, the lender should notify the RLC of jurisdiction to have another Another appraiser assigned. Appraiser if Needed Continued on next page 10-34 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 23. Repair Inspections, continued e.

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aae6f642-fbef-4f7f-ba01-8d95e817955a

Repair Inspections, continued e. Inspection Appraisers may place the repair inspection report on: Report Form • Fannie Mae Form 1004D – Freddie Mac Form 442, Part B (Part A is not acceptable for VA use), or • the appraiser’s letterhead. f.

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2feb5938-ee60-4aa6-9831-b9fdd6437e2c

Inspection The repair inspection report must: Report Requirements • list the items on the NOV, • certify that quality materials were used, • certify that the items were completed in a satisfactory manner, • identify any non-compliant items, • include photos of all items, • be signed by the appraiser, and • uploaded into WebLGY. 10-35 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 24.

VA_Guidelines.txt

cf72344b-a064-45f5-837d-c9a0b9cc33df

Appraisal and Repair Inspection Fees Change Date March 11, 2019 • This chapter has been revised in its entirety. a. Based on The maximum appraisal and repair inspection fees allowed by VA are based Fees for on customary fees for similar services in that vicinity.

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a213f64b-cc19-4dba-a631-c758a555b9e6

Regardless of the Similar amount of the maximum fee, appraisers must not charge Veterans more than Services they charge other clients for similar services. VA will entertain additional fees in unusual circumstances. b. Fees Listed Appraisal and repair inspection fees can be found at: Online http://www.benefits.va.gov/HOMELOANS/appraiser_fee_schedule.asp. c.

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Mileage Mileage may be charged in accordance with the RLC’s fee schedule. The fee per mile is based upon the GSA mileage rate which can be found at: http://www.gsa.gov. d.

VA_Guidelines.txt

a9e201b4-527c-443a-aace-33d32f8573b1

When an appraisal is ordered, the requester must certify in WebLGY that the Certification appraisal fee has been collected and is being held to be paid to the appraiser that the Fee before the appraisal request will be assigned to an appraiser. will be Paid e. Fee Must be Appraisers are not authorized to collect appraisal fees directly from Veterans.

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Paid by the Fees must be paid by the requester who placed the appraisal request. Requester f. No “Rush” VA expects the highest level of service will be consistently provided to Fees Veterans and their mortgage lenders. No fees for “rush” or “priority” service are acceptable. Continued on next page 10-36 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 24.

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aabf4893-a737-4624-a2a5-0fbb7f1b0c8e

Appraisal and Repair Inspection Fees, continued g. Appraisal On liquidation appraisals, the servicer may request reimbursement of the Fee Included appraisal fee that was paid to the appraiser when filing the claim under on a Claim guaranty.

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0c07b9e3-5f6f-4d1c-89ad-fc8e000ba773

In the event that the borrower requests to pay the full arrears after the appraisal is performed, the servicer must include the cost of the appraisal in the calculation of the total amount due. h. Complex VA fee and timeliness schedules cover fees for typical appraisals. Appraisal Properties assignments that are complex in nature may require additional resources and time.

VA_Guidelines.txt

ca0e8c53-d1aa-41df-b0d8-f750ea1896a5

If an assignment is determined to be complex in nature, appraisers may negotiate additional fees with the lender, subject to VA approval. Fee should not exceed what is reasonable and customary for a similar complex property type in the market area. 10-37 VA Pamphlet 26-7, Revised Chapter 10: Appraisal Process 25.

VA_Guidelines.txt