{"id":6022,"date":"2021-12-17T18:10:40","date_gmt":"2021-12-17T23:10:40","guid":{"rendered":"https:\/\/mortgageequitypartners.com\/sc-charleston\/?p=6022"},"modified":"2024-10-11T17:06:16","modified_gmt":"2024-10-11T21:06:16","slug":"what-is-the-difference-between-a-va-appraisal-and-a-conventional-appraisal","status":"publish","type":"post","link":"https:\/\/mortgageequitypartners.com\/sc-charleston\/what-is-the-difference-between-a-va-appraisal-and-a-conventional-appraisal\/","title":{"rendered":"What is the difference between a VA appraisal and a conventional appraisal?"},"content":{"rendered":"<p><img decoding=\"async\" class=\"alignnone size-full wp-image-6026\" src=\"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-content\/uploads\/2021\/12\/VA-inspection-2.jpg\" alt=\"\" width=\"1200\" height=\"800\" srcset=\"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-content\/uploads\/2021\/12\/VA-inspection-2.jpg 1200w, https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-content\/uploads\/2021\/12\/VA-inspection-2-300x200.jpg 300w, https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-content\/uploads\/2021\/12\/VA-inspection-2-1024x683.jpg 1024w, https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-content\/uploads\/2021\/12\/VA-inspection-2-768x512.jpg 768w\" sizes=\"(max-width: 1200px) 100vw, 1200px\" \/><\/p>\n<h2>What is an appraisal?<\/h2>\n<p>This is a\u00a0common question\u00a0that many\u00a0borrowers\u00a0ask because an appraisal can\u00a0make or break the deal for their potential home.\u00a0Lenders will use\u00a0an appraisal\u00a0to\u00a0help determine\u00a0a home&#8217;s actual value based on its condition, location, and any other\u00a0features it may have.\u00a0It also\u00a0helps ensure that\u00a0the property meets all health and safety standards,\u00a0which are\u00a0commonly referred to as the Minimum Property Standards.\u00a0All of these factors help determine\u00a0whether or not\u00a0the home&#8217;s\u00a0contract price is\u00a0accurate,\u00a0and\u00a0it helps the\u00a0mortgage lender\u00a0decide\u00a0if\u00a0they\u00a0will\u00a0give a borrower a loan\u00a0for that specific property.<\/p>\n<h3>How is a VA appraisal different than a conventional appraisal?<\/h3>\n<p>A VA\u00a0loan appraisal needs to follow the <a href=\"https:\/\/mortgageequitypartners.com\/sc-charleston\/loan-programs\/federal-programs-hud\/\">VA Loan Program&#8217;s<\/a>\u00a0Minimum\u00a0Property\u00a0Requirements\u00a0to help\u00a0decide if\u00a0the\u00a0property is\u00a0a safe place\u00a0for\u00a0veterans to live.\u00a0The VA only\u00a0guarantees\u00a0loans on homes that are safe, sanitary, and\u00a0structurally sound.\u00a0Since the VA is\u00a0guaranteeing the loan,\u00a0they\u00a0have\u00a0created a\u00a0list of requirements\u00a0that must be met\u00a0in order for\u00a0the home\u00a0to be\u00a0funded using\u00a0a <a href=\"https:\/\/mortgageequitypartners.com\/sc-charleston\/loan-programs\/federal-programs-hud\/\">VA loan<\/a>. Here is a list of the VA loan home requirements, also known as Minimum Property Requirements:<\/p>\n<ul>\n<li>Acceptable roofing\u00a0that\u00a0will last the foreseeable future<\/li>\n<li>No\u00a0peeling or cracking\u00a0lead-based paint on both the interior and exterior<\/li>\n<li>Working appliances (heating, cooling, and electric systems)<\/li>\n<li>Sanitary sewage disposal<\/li>\n<li>Clean water supply with the necessary sanitary facilities<\/li>\n<li>Clear of any fungus, mold, dry rot, or\u00a0termites<\/li>\n<li>Adequate size for basic living\u00a0necessities<\/li>\n<li>Any crawl spaces or attics must be\u00a0adequately vented and\u00a0accessible<\/li>\n<li>Access to the house from the street<\/li>\n<li>Free of safety hazards<\/li>\n<\/ul>\n<p>The <a href=\"https:\/\/www.va.gov\/\">VA<\/a> sets all of these requirements\u00a0to make sure veterans,\u00a0active-duty\u00a0military members, and their loved ones remain safe.\u00a0Also,\u00a0this helps the\u00a0VA\u00a0decide whether or not\u00a0the property is worth\u00a0the amount\u00a0of the requested loan.\u00a0The main difference between VA appraisals and conventional appraisals is that\u00a0a conventional\u00a0appraisal\u00a0is less strict in the sense that\u00a0it\u00a0only needs\u00a0to follow the Minimum Property Standards set in place by the United States Department of <a href=\"https:\/\/www.hud.gov\/\">Housing and Urban Development<\/a>. The VA\u00a0requires the house to meet their Minimum Property Requirements that they have put in place for their VA loan program\u00a0and\u00a0the Minimum Property Standards.\u00a0Here is a list of\u00a0the\u00a0common health and safety checks required by the\u00a0Minimum Property Standards:<\/p>\n<ul>\n<li>Make sure every bedroom has two exit points<\/li>\n<li>Address any water damage<\/li>\n<li>Make sure there is an adequate heating source<\/li>\n<li>Check for any foundational damage\u00a0or damage caused by termites<\/li>\n<li>Confirm that there are\u00a0CO and Smoke detectors located in the correct area<\/li>\n<li>Address any exposed wiring<\/li>\n<li>Verify that the water heater is\u00a0well vented and\u00a0adequately secured<\/li>\n<li>Confirm that the stairs and decks have\u00a0proper railings<\/li>\n<li>Verify that there isn&#8217;t\u00a0any obvious damage that could present health and safety issues (broken\u00a0walls, broken glass, etc.)<\/li>\n<\/ul>\n<p>Many\u00a0of the\u00a0requirements overlap and are very similar, but for a home that is being funded using a VA loan,\u00a0the home must be appraised by a VA appraiser. A borrower who is using a conventional loan\u00a0will have their potential property appraised by\u00a0a conventional appraiser\u00a0whose\u00a0primary\u00a0focus\u00a0is on location, condition, and comparable homes in the area\u00a0to help determine the home&#8217;s true value.\u00a0Conventional appraisers\u00a0also\u00a0look for health and safety concerns that could diminish the\u00a0home&#8217;s\u00a0value, but they don&#8217;t\u00a0have to follow\u00a0the Minimum Property Requirements\u00a0required by\u00a0the <a href=\"https:\/\/www.va.gov\/\">Department of Veteran Affairs<\/a>.<\/p>\n<p>Whether you are getting a conventional\u00a0or VA loan,\u00a0both typically require\u00a0an appraisal.\u00a0However, the\u00a0requirements for each appraisal\u00a0will differ based on the\u00a0rules and regulations\u00a0set forth by either the Department of Veteran Affairs or the Department of\u00a0Housing and Urban Development. For more information and any questions,\u00a0please\u00a0contact\u00a0one\u00a0of our <a href=\"https:\/\/mortgageequitypartners.com\/sc-charleston\/our-team\/\">experienced mortgage professionals<\/a> to help prepare for your\u00a0upcoming appraisal.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>What is an appraisal? This is a\u00a0common question\u00a0that many\u00a0borrowers\u00a0ask because an appraisal can\u00a0make or break the deal for their potential home.\u00a0Lenders will use\u00a0an appraisal\u00a0to\u00a0help determine\u00a0a home&#8217;s actual value based on its condition, location, and any other\u00a0features it may have.\u00a0It also\u00a0helps ensure that\u00a0the property meets all health and safety standards,\u00a0which are\u00a0commonly referred to as the Minimum [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":5757,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[6,4],"tags":[],"class_list":["post-6022","post","type-post","status-publish","format-standard","has-post-thumbnail","category-articles","category-news","entry"],"_links":{"self":[{"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/posts\/6022","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/comments?post=6022"}],"version-history":[{"count":5,"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/posts\/6022\/revisions"}],"predecessor-version":[{"id":6527,"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/posts\/6022\/revisions\/6527"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/media\/5757"}],"wp:attachment":[{"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/media?parent=6022"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/categories?post=6022"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mortgageequitypartners.com\/sc-charleston\/wp-json\/wp\/v2\/tags?post=6022"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}