VA Handbook Chapter 10: Property and Appraisal Requirements Explained in Plain English

Last reviewed: October 6, 2026
Primary source: VA Pamphlet 26-7 (VA Lenders Handbook), Chapter 10: Appraisal Process, as revised in its entirety with Change Date March 11, 2019. The 2019 rewrite replaced the older chapter wholesale, so this is the current appraisal rulebook. One update sits on top of it: VA Circular 26-25-1 (March 31, 2025) eliminated the VA builder identification number requirement for guaranteed loans on new and proposed construction, so the chapter’s Topic 11 is now outdated on that one point. All 28 topic texts were verified against complete verbatim copies linked in the Sources section.

How this post works: We go through Chapter 10 in the VA’s own order, all 28 topics plus the appendix. For each section: what the handbook says (with direct quotes in the blue boxes), what that means in plain English, and where lenders commonly add their own requirements on top of the handbook. The Minimum Property Requirements (what the appraiser checks on the house) live in Chapter 12, which I already published and linked below, so this post covers the appraisal process, not the property condition rules. The story boxes are illustrations based on situations I see in my pipeline. Names and identifying details are changed, and no story describes any one borrower’s file.

Read this first (the three sentences that matter most)

One: you cannot shop for your VA appraiser. VA assigns one from its fee panel on rotation, and no lender, agent, or borrower gets to pick. Two: the appraiser’s opinion of value becomes official only when the Notice of Value (NOV) is issued after review, and that NOV is the number your loan is based on. Three: if the value comes in low, you have two structured chances to fight it. The Tidewater Procedure lets you submit comparable sales before the appraisal is finished, and the Reconsideration of Value lets you challenge it in writing after the NOV is issued.

The rest of this article separates what VA actually requires from what individual lenders add on top. Now here is the whole chapter, in order.

Topic 1: Appraisal Process Summary

What this section says

The ordering basics:

What the appraiser does:

And how it becomes official:

VA staff also performs oversight through desk and field reviews of completed appraisals and NOVs (subsection e).

What that means

This topic is the whole chapter in one page. Notice the order of operations: COE request first, then the lender orders the appraisal in WebLGY (VA’s online portal), then VA assigns the appraiser, then the appraiser values the home and notes any MPR repairs, then a reviewer (the SAR) checks the work and issues the NOV. The NOV is the finish line of the appraisal process. Until it is issued, there is no official VA value for your loan.

Two vocabulary notes that matter for the rest of this post. The appraiser estimates market value following national appraisal standards (USPAP). The NOV states the property’s reasonable value, which is VA’s term for the value it will base the loan on. In practice, the NOV’s reasonable value is the appraiser’s market value as reviewed and accepted.

Where lenders add overlays

The biggest misconception this topic kills: nobody in the transaction chooses the appraiser. Not you, not your agent, not your loan officer. VA assigns from the panel on rotation. If a lender ever hints they can “get you a good appraiser,” that is not a thing in the VA system. It is also not a thing that you can avoid: some lenders used to steer appraisals toward friendly appraisers in the conventional world, and VA’s rotation exists specifically to prevent that.

One practical overlay-adjacent point: lenders sometimes order the appraisal very late in the process to save the fee in case the loan falls apart. VA allows the order as soon as the COE is requested. If your lender is sitting on the appraisal order while your rate lock ticks, that delay is the lender’s choice, not VA’s rule.

Topic 2: Ordering an Appraisal

What this section says

Lenders and servicers, and their authorized agents, request appraisals in WebLGY through the Veterans Information Portal (VIP). They need a VIP username and password (which they must never share), and they must protect the sensitive information in the system. When the appraisal is ordered, the requester must certify:

The remaining subsections are practical: if the legal description is too long for the request form, upload the full copy into WebLGY the same day (the appraiser can proceed if there is enough to identify the property). For purchases, the executed sales contract and any construction exhibits must be uploaded the same day the request is made (Topic 3 covers the contract in detail). Appraiser assignment questions go to the Regional Loan Center (RLC) of jurisdiction; technical VIP/WebLGY questions go to the VIP Help Desk.

What that means

This is the behind-the-counter topic, mostly lender procedure. The part that touches you as the borrower: the lender has to certify the appraisal fee is collected and being held before VA will even assign an appraiser (see Topic 24). So if you are wondering why the lender asked for the appraisal fee upfront, that is why. It is not the lender pocketing money early. VA literally will not assign the appraiser until the lender certifies the fee is in hand.

Where lenders add overlays

Almost none here, this is pure VA procedure. The one borrower-facing friction: some lenders collect the appraisal fee at application and then sit on the order. The handbook requires same-day uploads of the contract and exhibits, which tells you VA expects the order to move promptly. A lender that collects your appraisal fee on Monday and orders the appraisal the following week is creating their own delay.

Topic 3: Sales Contract

What this section says

The appraiser must analyze the sales contract (and any options or listings on the property) in estimating reasonable value, and must have access to it to consider financing data and sales concessions. If the contract is amended before the appraisal’s effective date, the lender must give the appraiser the updated contract. If it is amended after the effective date but before closing:

Two teeth in this subsection: depending on how big the change is, the appraiser may treat it as a new assignment under USPAP and charge up to a full new appraisal fee, which can be charged to the veteran. And if the lender fails the due diligence or fails to forward the amendment, the loan can be reviewed for indemnification or the guaranty claim adjusted (subsection f).

What that means

The appraiser is not working blind. VA requires the appraiser to see your actual purchase contract, including any seller concessions, because concessions can affect value. The appraiser has to analyze the contract as part of the valuation, not just glance at the price.

The amendment rules are the part borrowers trip over. Small change before the appraisal is done: the lender sends the updated contract, no drama. Change after the appraisal’s effective date: the lender has to decide whether it could affect value, and if so, send it back to the appraiser. A big enough change can mean the appraiser treats it as a brand-new assignment and charges a whole new appraisal fee, to you. So if you are renegotiating the price or the concessions late in the game, know that it can restart the appraisal clock and cost you a second fee.

Where lenders add overlays

This topic is mostly VA procedure, but here is the practical borrower angle: contract amendments are where files stall. A price reduction after a low appraisal (common and sensible) has to go back through the appraiser if it could affect value. Good lenders do this the same day. Slow ones let it sit, and the file misses the closing date. When your agent renegotiates after the appraisal, ask your loan officer directly: “Did the amended contract go back to the VA appraiser?” If they look confused, that is your sign.

Topic 4: Duplicate Appraisal Requests

What this section says

If duplicates slip through and multiple appraisals get completed, the lender pays for all of them, and:

And after the NOV is issued:

What that means

You get one appraisal per property. Not one you like and one you do not. If the value comes in low, you cannot just order a second appraisal and hope for a better number. The handbook is explicit: duplicates are not authorized, and if they happen anyway, the NOV is based on the first appraisal requested. Ordering a second one cannot help you and can cost the lender both fees.

This is why the Tidewater Procedure (Topic 8) and the Reconsideration of Value (Topic 22) exist. VA’s answer to “I don’t like the value” is not “get another appraisal.” It is “submit your comparable sales for this appraiser to consider,” first during Tidewater, then through the ROV.

Where lenders add overlays

Watch for this one in reverse. A lender cannot order you a second VA appraisal to chase a higher value, so if anyone suggests they can “run it through a different appraiser,” that is not a VA process. What sometimes happens instead: a lender suggests switching to a conventional loan to get a new appraisal with a chosen appraiser. That is a real option in the sense that it exists, but understand what it costs you. You lose the VA funding fee structure, the MPR-based repair framework, and the Tidewater/ROV protections, all to roll the dice on a different appraiser. Sometimes that is the right call. Usually it is not, and it should be your decision with the math in front of you, not a lender’s workaround.

Topic 5: Canceling Appraisal Requests

What this section says

An appraisal request can be canceled before the appraisal is completed for a valid reason (for example, the borrower will not qualify). The lender must immediately notify the appraiser, and the appraiser may charge a fee for work already performed, which is chargeable to the veteran. The lender also emails the RLC to cancel the case in WebLGY, including the case number, property address, reason, and confirmation the fee will be paid.

A case can also be canceled after the appraisal is completed but before the NOV is issued (for example, the sale fell through). Same steps, and the lender does not have to issue the NOV. But:

What that means

There is a window to cancel, and it closes when the NOV is issued. Before completion: cancel for a valid reason, pay the appraiser for work done. After completion but before the NOV: cancel if the deal died, and no NOV is required. After the NOV: no cancellations, the case stands.

For you as the borrower, the practical bit is the fee. If the appraisal is canceled mid-stream because your loan fell apart for credit or income reasons, you can still owe the appraiser for the work performed up to the cancellation. That is in the handbook, not a lender gotcha.

Where lenders add overlays

Little overlay room here. The borrower-facing lesson is about timing: if you are going to walk away from a purchase, tell your lender immediately, before the appraiser visits the property. Every day of delay is more appraiser work you may be charged for. And if your lender drags their feet notifying the appraiser after you told them to cancel, the extra fee is on the lender’s delay, not yours. Put the cancellation request in writing (email counts) so the timeline is documented.

Topic 6: Customer Service Expectations

What this section says

VA fee panel appraisers are described as well-qualified, experienced appraisers who are not VA employees but are among the most visible participants in the program. They are expected to serve veterans and lenders professionally at all times. Key rules:

• If the appraiser has a conflict of interest or other valid reason, they must immediately notify the RLC so another appraiser can be assigned (reassignment without delay).
• Fee appraisers may be contacted by lender or servicer employees (not just SARs) about appraisal status, and must respond by the next business day with an update on when the report will be done.
• Email subject lines should carry the VA Loan Identification Number (LIN) only, no borrower name or address, for privacy.

The subsection borrowers care about most:

That notification is the trigger for the Tidewater Procedure. Appraisers must also respond to reviewer questions by the next business day, and if a correction is needed, upload a complete revised report. VA reviews every appraiser’s work and can remove appraisers from the panel for failures on customer service, accuracy, or timeliness.

What that means

This is VA’s quality-control topic. The appraiser works for the integrity of the valuation, not for any party, and VA can pull them from the panel. The conflict-of-interest reassignment rule protects you: if the appraiser has any reason they cannot be impartial on your property, they are required to step aside immediately and the RLC assigns someone else.

The “must notify the lender” rule in subsection e is the consumer protection hiding in a customer-service topic. On a conventional loan, you might first learn the value was low when the report lands. On a VA loan, the appraiser is required to raise the flag before finalizing, which opens the Tidewater window. That two-day head start is a VA-only benefit.

Where lenders add overlays

The Tidewater notification goes to the lender, not to you directly. That makes your lender’s responsiveness the whole game. The appraiser gives the parties two business days to submit market data. If your lender sits on the Tidewater notice for a day and a half before telling your agent, your agent has hours instead of days to pull comps. When you hear “the appraisal might come in low,” your first question should be: “When did Tidewater start, and what is the exact deadline?” Then light a fire under your agent that same hour.

Topic 7: Appraisal Timeliness

What this section says

The mechanics: lenders should give the appraiser contact info for whoever can grant property access without extra phone tag. Appraisers must contact to schedule within two business days of getting the assignment, documenting it in WebLGY:

Delays beyond the appraiser’s control must be noted in WebLGY (lenders should check there before calling the appraiser). If a documented delay pushes completion past the timeliness standard, the report must be uploaded no later than 3 business days after the appointment. And where VA appraisals routinely run slower than conventional ones, the RLC adds appraisers to the panel in that area.

What that means

VA’s stated goal is appraisals as fast as or faster than conventional. The timeliness standards are set per market area based on conventional turnaround times, and they are published on VA’s fee schedule page. The two-business-day scheduling contact and the WebLGY delay notes are how VA keeps everyone honest about where the time went.

Where lenders add overlays

The “VA appraisals take forever” reputation is mostly outdated, and this topic is why. VA monitors turn times against conventional appraisals by market and adds panel appraisers where they lag. When a VA appraisal is slow today, the cause is usually one of three things: the lender ordered it late, property access was a mess (no lockbox code, tenant scheduling), or it is a genuinely complex property. Two of those three are fixable by the parties, not by VA. If your appraisal is dragging, ask your lender to show you the WebLGY notes. The delay reason is documented there.

Topic 8: Market Data Submitted During the Appraisal Process

What this section says

For each comparable sale submitted, the requester should provide the street address, sales price, date of sale, gross living area, a copy of the listing if it was listed (with property details), and anything else to help the appraiser decide whether it works as a comparable. It is the requester’s responsibility to provide enough information for the appraiser to analyze. The appraiser then notes in the appraisal that Tidewater was followed, listing each submitted sale, whether it was considered and why not if it was not, and what effect the data had on the value opinion. If no data is submitted, the appraiser notes that and finishes the report. And:

What that means

Tidewater is the VA’s early-warning system, and it is unique to VA loans. Before the appraiser finalizes a below-price value, everyone gets a two-business-day window to submit better comparable sales. This is not a negotiation and not pressure on the appraiser (subsection e says so explicitly). It is a data-sharing window: “here are three closed sales you may not have seen, please consider them.”

What makes a submitted comp useful: recent, nearby, similar size and condition, and closed (pending sales can support time adjustments but verification of closed sales is what counts). Your agent’s job in that 48-hour window is to find sales the appraiser missed, especially ones that closed very recently and are not in the MLS data the appraiser pulled yet.

Where lenders add overlays

Tidewater is pure VA procedure, no overlays. But there is a practical failure mode I see: the two business days run from the appraiser’s notice to the requester (the lender), not to you. Every hour the lender sits on the notice is an hour your agent loses. Some lenders have a dedicated Tidewater process and alert the agent the same hour. Others route it through a general inbox. When you get the call that Tidewater was invoked, treat it like the urgent thing it is: call your agent immediately, and make sure they know the exact deadline is two business days, not “sometime this week.”

Illustration based on situations I see in my pipeline.

Topic 9: Properties Eligible for an Appraisal

What this section says

First, the responsibility rule:

Then the categories:

That is the existing-versus-new construction line: over a year old (or under a year but previously lived in) is existing construction; under a year and never occupied is new construction. Proposed and under-construction properties are also eligible, appraised from plans and specifications (Topic 12) or from a model home (Topic 13), including manufactured homes to be placed on a permanent foundation.

Other eligible categories: lender-owned foreclosure (REO) properties being sold by lenders (they must still meet MPRs, and lender-sold cases cannot be processed under LAPP, they go as individual appraisals); a fully completed home a veteran built acting as their own general contractor (Topic 18); a new home bought without the normally required warranty under the special exception (Topic 19); manufactured homes classified as real estate; modular homes including on-frame modular; and condominium units, with one big condition:

Leasehold estates (less than fee simple ownership) are eligible but must be approved by VA before the NOV is issued, with VA legal staff reviewing the lease documents. Properties in Planned Unit Developments (PUDs) are eligible if the lender determines title meets Chapter 16 requirements (VA keeps no approved PUD list). Properties to be altered, improved, or repaired are eligible with the appraisal prepared “subject to” completion of the work, giving an “as repaired” value. Flood hazard area properties are eligible if flood insurance will be issued. And properties securing an existing VA loan are eligible for appraisal for refinancing, for liquidation appraisals in foreclosure (ordered at least 30 days before the estimated sale date, per Chapter 11, Topic 20), and for partial releases of security (per Chapter 11, Topic 21).

What that means

Almost any residential property can get a VA appraisal. The chapter’s posture is inclusive: existing homes, new homes, homes being built, manufactured and modular homes, condos, leaseholds, PUDs, fixer-uppers appraised on their “as repaired” value. The eligibility determination is the lender’s job, and VA puts teeth behind it: if the lender gets it wrong, VA can deny or reduce a future guaranty claim.

The condo line is the one that surprises buyers. The unit is eligible, but the development must be VA-accepted before the loan is guaranteed. That acceptance is a separate process in Chapter 11. If you are buying a condo with a VA loan, the first question is not the appraisal, it is whether the complex is on VA’s accepted list.

Where lenders add overlays

Lenders narrow this list all the time as a business decision. Manufactured homes, condos in unapproved complexes, leaseholds, and properties needing major repairs are all eligible under this topic, but many lenders simply do not offer programs for them. When a lender says “we don’t do VA manufactured home loans,” that is the lender’s program menu, not the handbook. The handbook says the property is eligible. Finding a lender whose menu includes it is a separate task, and it is a legitimate reason to shop lenders.

Topic 10: Properties Not Eligible for an Appraisal

What this section says

Lenders must determine ineligibility at the earliest possible opportunity. If the appraiser discovers the property is not eligible, they stop work and immediately notify the lender.

Location-based ineligibility:

Property-type ineligibility: properties that do not comply with current zoning (though legal non-conforming use is acceptable and should be described in the appraisal); properties that are primarily non-residential; new or proposed construction where the local building authority routinely inspects but none were conducted; condo-hotels (condotels) with rental pools and “air” condominiums with no homeowners association; and any property where a party of interest to the transaction (other than the purchaser) is debarred government-wide or excluded from the program under a VA sanction. On that last one, the handbook is blunt: VA’s refusal to appraise is not affected by the local building authority having approved the work, by the builder changing the company name or structure, or by the builder becoming a principal or officer of another organization.

What that means

This is the short “no” list, and it is mostly about location hazards and property types VA will not touch: flood zones without insurance, lava zones, airport clear zones for proposed construction, homes sitting inside high-pressure gas or high-voltage easements, non-residential properties, condotels. The zoning rule has a sensible carve-out: a legal non-conforming use (like a grandfathered duplex in a now-single-family zone) is fine as long as the appraiser describes it.

The sanctioned-builder rule is worth reading twice. VA keeps sanctioned builders out of the program, and cosmetic changes (new company name, new corporate structure) do not reset it. If a builder was sanctioned, every property they still own is off limits, including houses under construction and existing houses.

Where lenders add overlays

Lenders rarely need overlays here because the list is already strict, but one thing to know: the flood insurance items are where files die quietly. A property in a Special Flood Hazard Area is eligible if flood insurance will be issued. If flood insurance is unavailable, or the area floods regularly regardless of designation, the property is ineligible. Some lenders will not even start these files because the insurance question takes weeks to answer. If you are buying near water, get the flood determination early, not the week before closing.

Topic 11: Builder Identification Numbers

What this section says

The 2019 chapter text says VA registers builders and issues ID numbers per state, that builders of new and proposed construction must have a valid ID number before the NOV is issued (with exceptions for lender-sold new construction and veteran-built homes), that builders must meet state and local licensing requirements, and it describes the four-item application package (license copy, VA Form 26-421, VA Form 26-8791, and builder certifications on letterhead).

Update that overrules this topic: VA Circular 26-25-1, “Elimination of Builder Identification Number for Certain Guaranteed Loans and Updates to Builder Complaint Process” (March 31, 2025, effective immediately), rescinded the builder ID procedure for VA-guaranteed loans on new and proposed construction. The circular states that a VA-issued builder identification number is no longer necessary for issuing the NOV or processing a loan on a new or proposed construction property, and that all references to builder ID numbers in Chapters 7, 10, and 13 will be removed in a future revision. Builder ID numbers are now issued only for Specially Adapted Housing grants and Native American Direct Loans.

What that means

As of March 2025, your builder does not need a VA builder ID number for your VA construction or new-construction loan. The 2019 chapter text still says they do, but the circular is newer and controls. What did not change: the builder still has to meet state and local licensing requirements, and lenders still vet builders themselves (license, insurance, track record) at the time of the loan instead of relying on a standing VA registration number.

Where lenders add overlays

This is the rare case where the overlay conversation flipped. Before 2025, some lenders treated the VA builder ID as the whole vetting process. Now the vetting is the lender’s own: they check the builder’s license, liability insurance, and documented history of completed builds directly. That means builder approval varies more by lender than it used to. If one lender rejects your builder, another might approve them, because there is no longer a single VA number that settles it. Ask what the lender’s builder requirements are before you sign a construction contract, not after.

Topic 12: Proposed Construction Appraisal from Plans and Specifications

What this section says

For a home appraised before it is built, the lender must upload the construction exhibits into WebLGY the same day the case number is assigned. The exhibits must include: a survey or plot plan; plans sufficient for the appraiser to establish market value; the foundation or basement plan; exterior elevations; a wall section; and specifications on VA Form 26-1852 (Description of Materials), HUD Form 92541, or an equivalent format with essentially the same detail.

The appraiser certifies in the report exactly which exhibits were used to reach the value, for example:

What that means

The appraiser values a house that does not exist yet, based on the plans. The value is explicitly “subject to” the home being completed per those plans and specs. That quoted certification is the appraiser’s paper trail: these exact exhibits, this exact value. If the builder later deviates from the plans, the value opinion was based on something different from what got built, which is why Topic 17 requires a post-construction inspection by the appraiser.

Where lenders add overlays

Most lenders add a practical overlay here without calling it one: they want reduced-size, readable exhibits and complete spec sheets before they will even order the appraisal, because an incomplete exhibit package guarantees delays. VA actually recommends reduced-size drawings (readable on 8.5 by 14 inch pages) to save everyone copying and storage costs. If your builder is slow producing the spec sheet (VA Form 26-1852 or equivalent), the appraisal cannot start. Get the exhibits before you get excited about timelines.

Topic 13: Proposed Construction Appraisal from a Model Home

What this section says

When the lender orders the appraisal, they enter the full legal description followed by “APPRAISAL FROM MODEL HOME” to alert the appraiser. The model home must be:

The lender provides access contact info for the model, and the appraiser must be told about any differences in customer preference items, upgrades, or additional features between the model and the buyer’s actual home. The appraiser inserts a required statement on the appraisal (“Appraisal from Model Home. Value has been based on an inspection of a model home of the same plan type as the subject. Construction to be completed according to contract dated____.”), and the SAR issuing the NOV adds a matching condition requiring the appraiser to do a final inspection verifying satisfactory completion.

What that means

Instead of valuing from blueprints, the appraiser walks a finished model of the same floor plan in the same market area, then adjusts for the differences between the model and your home (your upgrades, your lot, your options). The model has to be truly comparable: same plan, same market, fully completed, accessible. The NOV then conditions everything on a final inspection confirming your home was actually built to match.

Where lenders add overlays

The “differences” disclosure is where buyers get surprised. The model home usually has every upgrade the builder offers. Your contract might not. The appraiser has to be told about every difference, and the value reflects your home, not the loaded model. If your agent tells you “it appraised based on the model,” ask which adjustments were made for your specific options package. The model gets the appraiser in the door. Your contract sets the value.

Topic 14: Construction Inspections

What this section says

Many local building authorities have adopted comprehensive residential codes and perform mandatory inspections at the foundation, framing, and final stages. On new or proposed construction cases, lenders must confirm whether local inspections are performed. The inspections exist to ensure the property is built to the adopted code and satisfactorily completed, as shown by a final inspection or certificate of occupancy. And the hammer:

What that means

VA leans on local building inspectors for construction quality. If your county inspects at foundation, framing, and final, those inspections are doing the heavy lifting on quality control. But if the county offers inspections and the builder skipped them, the property is dead for VA financing. Not delayed, not curable with a later inspection. Ineligible.

Where lenders add overlays

This is a VA rule with no overlay softening it, which makes it a due-diligence item for you. Before you sign a construction contract with VA financing, confirm two things: does the local authority perform the three-stage inspections, and will this builder actually call for them? A builder who “forgot” to schedule the framing inspection can kill your VA loan permanently on that property. Put the inspection scheduling in the construction contract, in writing.

Topic 15: Warranty Requirements for New Construction

What this section says

Evidence of satisfactory completion: if the local authority does the foundation, framing, and final inspections, VA accepts the certificate of occupancy (or the three inspection reports, or a written statement from the authority confirming them). If the local authority does not inspect, the lender must certify the property is complete (on-site and off-site improvements) and meets VA MPRs for existing construction.

What that means

New construction (built, never lived in, under a year old) comes with a warranty for you: either the builder’s 1-year VA warranty on Form 26-1859 or a 10-year insurance-backed warranty. This is separate from the builder ID number (which Circular 26-25-1 eliminated). The warranty requirement survived. The completion evidence depends on whether your local authority inspects: if yes, the certificate of occupancy does the job; if no, your lender certifies completion and MPR compliance.

Where lenders add overlays

Some lenders will only accept the 10-year insurance-backed warranty and will not take the 1-year VA builder’s warranty, especially from smaller builders. The handbook allows either. If your builder offers the 1-year VA warranty and your lender says no, that is the lender’s policy. Also note the lender certification path when the local authority does not inspect: some lenders refuse to make that certification at all, which quietly kills VA new construction in uninspected jurisdictions at that lender. Ask upfront.

Topic 16: Warranty Requirements for Proposed Construction

What this section says

On proposed construction (not yet built at appraisal), the veteran must be provided with a construction warranty, and the requirements split on whether the local building authority inspects:

• If the local authority performs the three inspections: the certificate of occupancy (or the three reports, or the authority’s written statement) evidences completion, and the builder provides the 1-year warranty on VA Form 26-1859. VA’s help with construction complaints is limited to defects in equipment, material, and workmanship reported during that 1-year warranty period.
• If the local authority does not inspect: the builder must provide both the 1-year builder’s warranty on VA Form 26-1859 and a 10-year insurance-backed warranty. The lender must certify the property is complete and meets MPRs for existing construction. Same 1-year limit on VA construction complaint assistance.

What that means

Proposed construction gets stricter warranty treatment than new construction when nobody is inspecting. If the county inspects, the 1-year builder warranty plus the certificate of occupancy is enough. If nobody inspects, VA wants both warranties: the 1-year builder warranty and the 10-year insured plan, plus the lender’s certification that the place is complete and meets MPRs. Either way, VA’s construction complaint help covers defects in equipment, material, and workmanship reported within the 1-year builder warranty period. After that year, you are dealing with the builder or the 10-year insurer, not VA.

Where lenders add overlays

The double-warranty requirement (1-year plus 10-year where no local inspections occur) is already strict, and lenders rarely soften it. What they do add: approved-warranty-company lists. The handbook says “10-year, insurance backed warranty” without naming companies. Many lenders maintain their own list of acceptable warranty providers. If your builder’s 10-year plan is from a company not on the lender’s list, you have a problem the handbook did not create. Check the lender’s accepted warranty list before the builder buys the plan.

Topic 17: Post Construction Inspection by an Appraiser

What this section says

The report goes on Fannie Mae Form 1004D / Freddie Mac Form 442, Part B (Part A is not acceptable for VA use), or the appraiser’s letterhead. It must contain the appraiser’s certification of substantial compliance with the exhibits, front and rear exterior photos, and an invoice. If construction is not complete or deviated from the plans, the appraiser details it and may charge a fee per inspection. The appraiser uploads the report into WebLGY, and if the original appraiser is unavailable, the lender contacts the RLC for another assignment.

What that means

Remember Topic 12: the appraiser valued the home from the plans. This topic closes the loop. Before closing, the same VA-assigned appraiser walks the finished home and certifies it substantially matches the plans the value was based on, plus any contract conditions like the fence or landscaping. If the builder substituted materials or skipped the deck, the appraiser documents it. This is separate from the county’s code inspections: the county checks code compliance, the appraiser checks “did you build what I valued.”

Where lenders add overlays

Some lenders will not accept the appraiser’s letterhead version and insist on the 1004D form, which the handbook allows either way. The more common friction: per-inspection fees when the builder is not done. If the appraiser shows up and the landscaping is not in, that is a second trip and a second fee, chargeable in the transaction. Builders who schedule the final inspection before the punch list is done cost everyone money. Make sure the home is truly complete before the appraiser is called out.

Topic 18: Veteran Building His/Her Own Home

What this section says

If a veteran acting as a general contractor is building a home for their own occupancy, the appraisal is ordered as “existing” construction. No VA builder ID number and no construction warranty are required. But there is a trade:

What that means

Building your own home with a VA loan gets a simplified track: appraised as existing construction, no builder ID, no warranty. In exchange, you sign away the warranty and VA’s construction-defect assistance. You are the builder, so the defects are yours. Note the appraisal is ordered as “existing” even though the home is new, which changes which exhibits and inspections apply.

Where lenders add overlays

Here is the honest overlay: most lenders will not do veteran-as-general-contractor construction loans at all. The handbook permits it, but the lender risk departments hate it. This is one of the thinnest VA product menus in the industry. If you plan to GC your own build with VA financing, find the lender before you buy the lot, because the list of lenders offering this is very short.

Topic 19: Special Exception for a Veteran Purchasing a New Construction Property without a Warranty

What this section says

An exception may be made for a veteran buying a new home from a builder who is not more than occasionally involved with VA financing and will not provide either the 1-year VA builder’s warranty or a 10-year insured plan. All of the following are required: the veteran’s written acknowledgment that the property does not qualify for VA construction complaint assistance and carries neither warranty; the builder’s written certification that they are not more than occasionally involved with VA financing, that the property is accepted without warranty on an exception basis at the veteran’s request, and that the dwelling was built to standard practices and all applicable codes; and the lender obtains local building authority documentation (final inspection or certificate of occupancy) verifying acceptable completion, or, where no inspections occur, written certification from both veteran and builder that no inspections were performed.

One thing the exception does not waive:

Note: as covered in Topic 11, Circular 26-25-1 (March 2025) has since eliminated the builder ID requirement for guaranteed loans, so this subsection’s ID-number sentence is now outdated along with the rest of Topic 11.

What that means

This is the escape hatch for the small local builder who builds a few homes a year, does not do VA loans regularly, and will not buy into the VA warranty system. The veteran can still buy the home with a VA loan, but only by signing explicit acknowledgments that there is no warranty and no VA construction complaint help. Everyone’s cards are on the table in writing: the veteran’s, the builder’s, and the lender’s (with the local authority’s completion documentation).

Where lenders add overlays

Many lenders will not use this exception even though the handbook provides it. It requires extra documentation, extra certifications, and a builder outside the VA system, which is more work and more risk for the lender. If your builder will not provide a warranty, ask your lender whether they honor the Topic 19 exception before you go under contract. A “no” here is common and is the lender’s call.

Topic 20: New Construction Sold by the Lender

What this section says

The lender must provide evidence of ownership, complete any repairs needed for MPR compliance, obtain a certificate of occupancy, and get the veteran’s signed acknowledgment:

What that means

When a builder goes bankrupt mid-development and the lender ends up owning the new homes, VA has a specific playbook. The homes are appraised as existing construction (not new), processed as individual appraisals (not through the lender’s own LAPP pipeline, because the lender is the seller and that would be the fox guarding the henhouse), and the buyer signs a clear acknowledgment: no warranty, no VA construction defect help. The lender has to finish any MPR repairs and get the certificate of occupancy first.

Where lenders add overlays

Not much overlay here, this is a niche situation. The borrower takeaway is simpler: if you are buying a never-lived-in home from a lender that took it back from a failed builder, you are buying it as-is on the warranty front. Price it accordingly, get your own home inspection (the VA appraisal is not a home inspection), and understand the acknowledgment you are signing means exactly what it says.

Topic 21: Completed Appraisal Uploaded to WebLGY

What this section says

VA staff, lenders, agents, servicers, and other authorized requesters with VA-issued ID numbers associated with the loan number can retrieve the appraisal from WebLGY for review, NOV issuance, or other functions. Appraisers must use the MISMO XML electronic format (and contact the RLC if a form is not available in that format). If WebLGY is down when a LAPP or SAPP appraisal is completed, the appraiser may email the appraisal to the requester and upload it as soon as the system is back, documenting the workaround in WebLGY notes.

What that means

Everything lives in WebLGY. The appraisal is uploaded there, the reviewer pulls it from there, the NOV is issued from there. The system is the file. The MISMO XML requirement is VA’s data standardization: appraisals arrive as structured data, which is also what feeds the Appraisal Management System (AMS) electronic scoring mentioned in Topic 1.

Where lenders add overlays

None, this is system procedure. The borrower-relevant note: because the appraisal lives in WebLGY tied to the VA case number, it follows the case, not the lender. That is part of why Topic 26’s lender-change process works the way it does. Your appraisal is not locked in your lender’s filing cabinet.

Topic 22: Reconsideration of Value

What this section says

What that means

Tidewater (Topic 8) happens before the appraisal is finished. The Reconsideration of Value happens after the NOV is issued. That is the key distinction. After the NOV, you (the veteran) can write to the Regional Loan Center and ask for reconsideration. Going through your lender is allowed, and the lender’s SAR is encouraged to research the market data and send a recommendation along with your request.

Supporting market data is encouraged but not required, and you do not need a formal grid. VA staff reviews everything within five business days: the appraisal, your data, and VA’s own AMS market data. Sometimes they do a field review (a second appraiser physically reviewing the property and the report), which takes up to 20 business days. If VA agrees the value should be higher, you get an amended NOV. If not, the original NOV stands.

Where lenders add overlays

The ROV belongs to you, the veteran, not the lender. The handbook says you contact the RLC in writing. Some lenders discourage ROVs or slow-walk them because an ROV delays closing and the lender would rather renegotiate the price. But the right is yours. If your lender will not submit it, you can contact the RLC of jurisdiction directly in writing yourself. Also note what the ROV is not: it is not a new appraisal, and the five-business-day review clock is VA staff’s, which means planning your closing date around a potential ROV, not assuming it.

Illustration based on situations I see in my pipeline.

Topic 23: Repair Inspections

What this section says

When the NOV requires repairs, repair inspections are done by VA-assigned appraisers for three situations: repairs, alterations, or improvements on existing properties; customer preference items on new construction; and post-construction inspections on proposed construction cases (Topic 17). When SARs issue NOVs, they are encouraged to accept a lender certification of repairs instead of an appraiser certification, especially for repairs done by licensed personnel. One exception:

When repairs are done and ready for inspection, the lender notifies the appraiser and provides a copy of the NOV, because the NOV’s requirements can differ from the appraisal’s recommendations. If the assigned appraiser is unavailable, the lender contacts the RLC for another assignment. The inspection report goes on Form 1004D/442 Part B or the appraiser’s letterhead, and must:

What that means

The appraisal says what needs fixing (the MPR repairs, which Chapter 12 covers in detail). The NOV makes it official. Then someone has to verify the fixes actually happened. VA prefers the faster path: the lender certifies the repairs are done, especially when licensed contractors did the work. The appraiser only has to come back out when the NOV requires it, and lead-based paint repairs always require the fee appraiser’s certification, no lender shortcut.

Notice the detail that the NOV’s repair list can differ from the appraisal’s recommendations. The SAR reviewing the appraisal can add, remove, or modify repair conditions. So the document that controls the repair list is the NOV, not the appraisal report. When the appraiser comes back for the re-inspection, they work from the NOV.

Where lenders add overlays

Many lenders ignore the handbook’s encouragement and require an appraiser re-inspection for every repair, even when the SAR would accept a lender certification. That is the lender’s caution, not VA’s rule, and it adds a re-inspection fee plus scheduling time to your closing. It is worth asking: “Will you accept a lender certification of repairs on this file, or do you require the appraiser to re-inspect?” The answer affects both your timeline and your wallet. Also, some lenders will not allow escrow holdbacks for incomplete repairs at all, while VA’s framework contemplates the repair-then-verify sequence. If repairs cannot be finished before closing, ask about the lender’s holdback policy early.

Illustration based on situations I see in my pipeline.

Topic 24: Appraisal and Repair Inspection Fees

What this section says

The fee schedules are published per area (VA’s appraiser fee schedule page), mileage follows the RLC schedule based on the GSA rate, and VA will consider additional fees in unusual circumstances. Two rules protect you directly:

Also: appraisers cannot collect fees directly from veterans. The requester (the lender) who ordered the appraisal pays the appraiser. On liquidation appraisals, the servicer can include the appraisal fee in the guaranty claim, and if the borrower cures the arrears after the appraisal, the fee goes into the total amount due. Complex properties can justify negotiated higher fees with VA approval, capped at what is reasonable and customary for similar complex properties in the area.

What that means

VA sets maximum appraisal fees by market area, based on what similar appraisal services customarily cost there. The appraiser cannot charge you more than they charge anyone else for similar work. You pay the lender, the lender pays the appraiser, and the lender has to certify the fee is collected before VA assigns anyone. Rush fees are flatly banned: nobody can charge you extra to jump the line, because there is no line to jump.

Where lenders add overlays

The fee the veteran pays is the VA-scheduled fee, and the appraiser cannot mark it up for you. But watch for lender-side padding around it: some lenders add their own “appraisal management” or “appraisal review” fees on top of the VA appraisal fee at closing. The VA appraisal fee itself is set by the schedule. Anything labeled similarly that is not the appraiser’s fee deserves a question on your Loan Estimate: “Is this the VA appraisal fee, or a lender charge on top of it?” Also, re-inspection fees and the potential second fee for a post-effective-date contract amendment (Topic 3) are real costs the handbook allows. Budget for the possibility, not just the base fee.

Topic 25: Appraisal Fee Collection Issues

What this section says

If a lender does not pay, the appraiser can report documented collection problems to the RLC, which can contact the requester to resolve it and can require advance payment on that requester’s future appraisals. Appraisers cannot demand advance payment or charge late fees unless VA approves it in writing.

What that means

This topic is lender-to-appraiser business, but it protects the system you depend on. Appraisers do the work knowing VA has their back on payment: the RLC can lean on a non-paying lender and make them prepay future appraisals. That keeps appraisers willing to take VA assignments, which keeps your appraisal moving.

Where lenders add overlays

None here. The one thing worth knowing as a borrower: if your loan falls through and you already paid the appraisal fee, the lender holding that fee still owes the appraiser for work performed (Topic 5). Your refund, if any, is between you and the lender’s policy. Ask at application: “If this loan does not close, what happens to my appraisal fee?” Get the answer before you pay it, not after.

Topic 26: Request from the Veteran to Change Lenders

What this section says

The mechanics: the original lender’s SAR transfers the appraisal report and case number to the new lender in WebLGY (for LAPP-to-LAPP transfers). You give the new lender’s email, phone number, and VA Lender ID to include in your written request to the original lender. Then:

If the new lender is not LAPP-approved, your change request goes to the RLC, which issues the NOV.

What that means

You can fire your lender and keep your appraisal. The case number and the appraisal report transfer to the new lender on your written request (email counts), and the original lender is expected to cooperate. But the NOV does not transfer: the new lender’s reviewer must review the appraisal and issue a fresh NOV. In practice the value usually carries over, because it is the same appraisal, but the new SAR does their own review and can reach their own conclusions on conditions.

Where lenders add overlays

Two things to know. First, some lenders drag their feet on the transfer or claim it cannot be done. The handbook says they are expected to cooperate on your written request. Put it in an email so it is documented. Second, and this is the big one: changing lenders does not get you a new appraisal or a new appraiser. Combined with Topic 4’s no-duplicate rule, the appraisal follows the case. If you are switching lenders hoping for a better value, you will be disappointed: the new lender works from the same appraisal report. Switch lenders for better service, better rate, or fewer overlays. Not for a new value.

Topic 27: Natural Disaster during the Appraisal Process

What this section says

Lenders must check FEMA’s disaster listings for the affected counties and declaration dates (VA’s home loan site also posts disaster information). Then three scenarios:

• Appraisal ordered but the appraiser had not visited before the disaster: the appraiser completes the appraisal as usual, subject to any MPR repairs. No extra documentation needed.
• Appraisal completed but the loan had not closed before the disaster: the loan needs two signed, dated certifications with the guaranty request. The lender certifies the property “has been inspected to ensure that it was either not damaged in the recently declared disaster or has been restored to its pre-disaster condition or better.” The veteran certifies they inspected the property, find its condition acceptable, understand they will not be charged for disaster-related expenses, and wish to close.
• Value may have declined after the disaster despite repairs: the lender must have the VA-assigned appraiser perform a new appraisal, with the fee worked out between buyer and seller.

What that means

VA thought through the hurricane scenario. If the appraiser had not been out yet, business as usual. If the appraisal was done but you had not closed when the disaster hit, everyone re-verifies: the lender confirms the property is undamaged or restored, and you confirm you have seen it, accept its condition, and know you cannot be charged for disaster repairs. If the disaster may have hurt the value even after repairs, a new appraisal is required, and the buyer and seller negotiate who pays for it.

Where lenders add overlays

Lenders add overlays here constantly, usually in the form of broader disaster inspection policies. Many lenders require exterior or interior disaster inspections on any property in a declared disaster county, even when the handbook’s certifications would suffice, and some will not close until their own inspector signs off. That is the lender protecting itself, and it can delay closing by days or weeks. If you are buying in hurricane, tornado, or wildfire season, ask your lender upfront what their disaster policy requires beyond the handbook. Do not discover it the week of closing.

Topic 28: Title Limitations

What this section says

If VA itself becomes aware of a limitation or condition not considered in the appraisal or covered by the regulations, the RLC contacts the fee appraiser for more information if needed, considers the impact on reasonable value, notes the condition in WebLGY, and issues an amended NOV if appropriate.

What that means

The last topic is the cleanup crew. If title work turns up something the appraiser did not know about, an easement, a restriction, a limitation that could affect eligibility or value, the lender has to go back to the appraiser. If it surfaced after the appraisal’s effective date, the appraiser can treat it as a new assignment and charge you for the extra work. And VA itself can amend the NOV if it learns of a condition the appraisal missed.

Where lenders add overlays

This topic is mostly a lender-responsibility rule, but the borrower lesson is about title timing. Title issues discovered late can force the appraisal back open, with a new fee to you and a possible amended NOV. The earlier the title search is ordered, the earlier any limitation surfaces, and the less likely it becomes a last-week surprise. If your lender has not ordered title yet and you are two weeks from closing, ask why.

Appendix 1: Steps for Requesting an Appraisal

What this section says

The chapter closes with a 10-step checklist for requesters: get a VIP user ID and password; confirm the property is eligible (contact the RLC with questions); request the COE; log into VIP and select WebLGY, Request Appraisal, and the appraisal type; input everything to generate VA Form 26-1805-1 (the VA Request for Determination of Reasonable Value); provide a complete legal description and correct point-of-contact info so the appraiser gets property access without phone tag; let WebLGY assign the case number, assign the appraiser (VA selects the fee appraiser on a rotational basis, as required by law), generate the completed 26-1805-1, and email the assignment to the appraiser; upload the sales contract and construction exhibits the same day (VA recommends reduced-size drawings, readable on 8.5 by 14 inch pages, and does not accept 11 by 17 inch pages); upload the full legal description the same day if it did not fit the form; and if no appraiser is assigned, notify the RLC rather than re-entering the request (which would create a prohibited duplicate).

What that means

This is the lender’s recipe card, and two lines in it deserve your attention as a borrower. First, “VA is required by law to select the fee appraiser on a rotational basis from a panel maintained by VA.” Required by law. The rotation is not a suggestion. Second, the appendix repeats the same-day upload rules and the warning not to re-enter a request, because re-entering creates the duplicate appraisal Topic 4 prohibits. The whole appendix is built around one idea: get it right the first time, because the system does not give you a second bite.

Where lenders add overlays

Step 6 is where borrowers can actually help: “provide a complete legal description and ensure that the Point of Contact’s information is correct and that the POC can provide access to the property for the appraiser without any additional calls.” If you are the seller’s point of contact, or you can nudge the listing agent, make sure the appraiser gets in on the first try. Every failed access attempt is documented in WebLGY and pushes the timeline. The fastest appraisal is the one where the appraiser walks in on schedule.

Frequently asked questions

These are the questions Chapter 10 itself answers: who orders the appraisal, who the appraiser is, what the NOV means, and what happens when the value comes in low. If your question is about your specific situation, the quiz link above is the fastest way to get an answer.

Who orders the VA appraisal, and can I choose the appraiser?

Your lender orders it in VA’s WebLGY system after your Certificate of Eligibility is requested (Topic 2). You cannot choose the appraiser. VA assigns a fee panel appraiser on a rotational basis, and the handbook’s appendix notes VA is required by law to select the appraiser this way. Nobody in the transaction, not you, not your agent, not your loan officer, gets to pick.

What is the Notice of Value (NOV)?

The NOV is the official document that states the property’s reasonable value after a Staff Appraisal Reviewer (or VA staff) reviews the appraisal (Topic 1). The appraiser’s report is an opinion. The NOV is the value your loan is based on. The detailed NOV forms and conditions live in Chapter 13, which covers value notices.

What is “reasonable value” versus market value?

The appraiser estimates market value following national appraisal standards (USPAP). The NOV states reasonable value, which is VA’s term for the value it will base the guaranty on. In practice, the NOV’s reasonable value is the appraiser’s market value as reviewed and accepted by the SAR or VA.

What happens if the appraisal comes in below the purchase price?

VA will not base the loan on more than the NOV’s reasonable value. Before the appraisal is finalized, the Tidewater Procedure (Topic 8) gives the parties two business days to submit supporting comparable sales. After the NOV is issued, you can request a Reconsideration of Value in writing to the Regional Loan Center (Topic 22). What you cannot do is order a second appraisal hoping for a better number (Topic 4). The practical options are: Tidewater data, an ROV, renegotiating the price, or the buyer covering the gap in cash.

What is the Tidewater Procedure?

When the appraiser’s estimated value appears to be below the sales price, the appraiser must notify the lender before completing the appraisal and allow two business days for the parties to submit additional comparable sales data (Topic 8). VA piloted it in the Tidewater area of Virginia. It is a data-sharing window, not pressure on the appraiser, and the appraiser documents every submitted sale and its effect on the value.

What is a Reconsideration of Value (ROV), and how is it different from Tidewater?

Tidewater happens before the appraisal is finished. The ROV happens after the NOV is issued: you request it in writing from the Regional Loan Center (through your lender or directly), supporting market data is encouraged but not required, and VA staff reviews everything within five business days, sometimes with a field review of up to 20 business days. If VA agrees, you get an amended NOV (Topic 22).

Can I get a second appraisal if I do not like the value?

No. Topic 4 prohibits duplicate appraisal requests for the same veteran on the same property, and if duplicates happen anyway, the NOV is based on the first appraisal requested. After the NOV is issued, no duplicates may be requested during the NOV’s validity period. Your remedies are Tidewater and the ROV, not a second appraisal.

How long is the VA appraisal or NOV good for?

One honest caveat here: the 2019 revision of Chapter 10 does not state a validity period. The NOV mechanics, including validity, live in Chapter 13 (Value Notices), which this post did not research line by line. Many lender guidelines treat the NOV as valid for six months from the appraisal’s effective date. If your transaction will stretch past a few months, ask your lender to confirm the NOV validity they are working under.

Who pays for the appraisal?

You do, through the lender. The lender must certify in WebLGY that the fee has been collected and is being held before VA will assign an appraiser (Topic 24). The appraiser cannot collect the fee directly from you. VA sets maximum fees by market area, the appraiser cannot charge you more than other clients for similar work, and rush or priority fees are banned outright.

Does the VA appraisal check the condition of the house?

Yes, partly. The appraiser notes readily apparent repairs needed for the property to meet VA’s Minimum Property Requirements (Topic 1). But the appraisal is not a home inspection. The MPR rules themselves are Chapter 12, which I covered in detail here: VA Handbook Chapter 12: Minimum Property Requirements, Explained in Plain English. If the appraisal flags MPR repairs, Topic 23 covers how they get verified.

Can I switch lenders mid-transaction and keep my appraisal?

Yes. On your written request (email counts), the original lender must transfer the case number and appraisal report to the new lender in WebLGY (Topic 26). But the NOV does not transfer: the new lender’s reviewer must issue a new NOV. And switching lenders does not get you a new appraiser or a new value. It is the same appraisal report.

What are the warranty requirements on new construction?

For new construction, you must receive either a 1-year VA builder’s warranty (Form 26-1859) or a 10-year insurance-backed warranty (Topic 15). For proposed construction where the local authority does not perform inspections, both warranties are required (Topic 16). One update: as of March 2025, the builder no longer needs a VA builder ID number (Circular 26-25-1), but the warranty requirements still stand.

What if a natural disaster hits during the appraisal process?

Topic 27 covers three cases. If the appraiser had not visited yet, the appraisal proceeds normally. If the appraisal was done but the loan had not closed, the lender and you both sign certifications that the property is undamaged or restored and that you accept its condition, and you cannot be charged for disaster-related expenses. If the value may have declined despite repairs, a new appraisal is required, with the fee negotiated between buyer and seller.

What about liquidation appraisals and partial releases?

Chapter 10 mentions them only as pointers. Liquidation appraisals (foreclosure) and partial releases of security are handled under Chapter 11, Topics 20 and 21. What Chapter 10 does say: a liquidation appraisal should be ordered at least 30 days before the estimated foreclosure sale date, with confirmed interior access arranged first (Topic 9). I have not published a Chapter 11 post yet, so treat this as a signpost, not coverage.

Related reading

Chapter 10 is the appraisal process rulebook. These guides cover the pieces around it:

• VA Handbook Chapter 12: Minimum Property Requirements, Explained in Plain English: what the appraiser is actually checking on the property, the repair rules behind every NOV condition.
• VA Handbook Chapter 4: Credit Underwriting, Explained in Plain English: the income, credit, and residual-income standards your file still has to meet after the appraisal clears.
• VA Handbook Chapter 6: Refinancing Loans, Explained in Plain English: when a refinance needs an appraisal (cash-out: always; IRRRL: generally never) and the 2019 rules that changed both.
• VA Handbook Chapter 2: Veteran’s Eligibility and Entitlement, Explained in Plain English: the Certificate of Eligibility that has to be requested before the appraisal can even be ordered.
• VA Handbook Chapter 3: The VA Loan and Guaranty, Explained in Plain English: how the NOV’s reasonable value connects to the guaranty and your entitlement.

Sources

• VA Pamphlet 26-7 (VA Lenders Handbook), Chapter 10: Appraisal Process. Chapter text verified against a complete verbatim copy of the revised chapter (all 28 topics plus Appendix 1, each carrying Change Date March 11, 2019, “This chapter has been revised in its entirety”): https://patriotpacificmlo.com/wp-content/uploads/2023/01/Chapter_10_Appraisal_Process.pdf. Cross-checked against a second hosted copy at https://wdiscience.com/wp-content/uploads/2025/05/VA-Pamphlet-26-7-ch10-14.pdf. The official chapter title (“Appraisal Process”) and all 28 official topic names come from the chapter’s own overview table.
• VA Circular 26-25-1, “Elimination of Builder Identification Number for Certain Guaranteed Loans and Updates to Builder Complaint Process,” March 31, 2025 (effective immediately): https://www.benefits.va.gov/homeloans/documents/circulars/26-25-01.pdf. Rescinds the builder ID procedure for VA-guaranteed loans on new and proposed construction; builder ID numbers now issued only for Specially Adapted Housing grants and Native American Direct Loans. This supersedes Chapter 10, Topic 11 and the builder-ID sentence in Topic 19.
• KnowVA (VA’s official knowledge base) was not used: it is JavaScript-gated and does not yield chapter text to text fetching, so the hosted verbatim copies above were used instead. Both copies were complete and mutually consistent on the sections checked.
• Notes on currency: the March 2019 chapter revision predates Circular 26-25-1 (2025) on builder ID numbers; where they conflict, this article follows the circular. NOV validity periods are not stated in the 2019 Chapter 10 text; they are addressed in Chapter 13 (Value Notices), which was not researched for this article. Liquidation appraisals and partial releases of security are covered in Chapter 11 (Topics 20 and 21), referenced here only as pointers.

I am a mortgage loan originator, not the VA. This article walks through the VA Lenders Handbook as of the last-reviewed date above. Story illustrations are based on situations I see in my pipeline, and no story describes any one borrower’s file. Only VA determines program requirements, lender requirements vary, and final approval always depends on the lender underwriting your file.