🔎 Understanding VA Home Loan Inspection for a Smooth Homebuying Process 🔎
Are you a veteran or an active-duty service member planning to buy a home? If so, you may be eligible for a VA home loan, which allows you to purchase a house with little or no down payment. However, before you can complete the homebuying process, you must undergo a VA home loan inspection.
The VA loan inspection is a requirement to ensure that the property meets VA minimum property requirements (MPRs) and that the home is safe, sanitary, and sound. This inspection can be an overwhelming process, especially if you’re a first-time homebuyer. Don’t worry; we’re here to help. In this article, we’ll cover everything you need to know about VA home loan inspection and how to prepare for it.
What is a VA Home Loan Inspection?
A VA home loan inspection is a crucial part of the VA home loan process. A VA appraiser will inspect the property you intend to purchase to ensure that it meets VA minimum property requirements. The VA loan inspection has three primary purposes:
Purpose |
Description |
|---|---|
Protect the veteran |
The VA inspection ensures that the home is safe, sound, and sanitary, protecting you from purchasing a property with significant defects or hazards. |
Protect the lender |
The VA loan inspection protects your lender against loss in case you default on your loan. |
Protect the VA |
The VA loan inspection ensures that the home is worth the amount you’re borrowing, protecting the VA from loaning more than the value of the property. |
What are VA Minimum Property Requirements?
VA minimum property requirements are the basic standards that every property must meet to qualify for a VA home loan. These requirements ensure that the property is safe, sound, and sanitary. VA MPRs include:
- Adequate heating system
- Functioning plumbing systems
- Adequate roof life
- Safe electrical system
- No mold or mildew
- Adequate water supply and wastewater disposal
- Safe and unobstructed access to the property
Who Pays for the VA Loan Inspection?
Who pays for the VA loan inspection depends on the lender’s policy. However, VA regulations state that the veteran cannot pay for the inspection, meaning the buyer’s agent or the seller might cover the cost. Some lenders might ask for the inspection fee upfront, while others might roll it into your loan’s closing costs.
What Happens During a VA Home Loan Inspection?
During the VA home loan inspection, the VA appraiser will conduct a thorough examination of the property you intend to buy to ensure it meets minimum property requirements. The inspection can take up to ten business days to be completed. Here are some of the things that the appraiser will look for:
- Structural integrity
- The home’s general condition, including the foundation, roofing, walls, and floors
- Any signs of pest infestation or damage
- The heating and air conditioning system
- Plumbing and electrical systems
- The water supply and drainage
- The lot’s overall condition, including soil drainage, landscaping, and surface drainage away from the structure.
What Happens If the Property Doesn’t Meet VA Minimum Property Requirements?
If the property you intend to buy does not meet VA minimum property requirements, you have several options:
- You can walk away from the purchase
- You can negotiate with the seller to make the necessary repairs
- You can pay for the repairs yourself
- You can challenge the appraisal decision by requesting a “reconsideration of value” or “ROV.” However, this is a complicated process that requires lots of documentation.
VA Home Loan Inspection FAQs
1. Is a VA home loan inspection mandatory?
Yes, a VA home loan inspection is mandatory to ensure that the property meets VA minimum property requirements.
2. How long does the VA home loan inspection take?
The VA home loan inspection can take up to ten business days to be completed.
3. Can a veteran perform their VA home inspection?
No, only a VA-approved appraiser can perform the VA home loan inspection.
4. Who pays for the VA loan inspection?
The lender usually pays for the VA loan inspection, but the buyer’s agent or the seller might cover the cost.
5. What happens if the property doesn’t meet VA MPRs?
If the property doesn’t meet VA MPRs, you can walk away from the purchase, negotiate with the seller, pay for the repairs yourself, or challenge the appraisal decision.
6. What are VA minimum property requirements?
VA minimum property requirements are the basic standards that every property must meet to qualify for a VA home loan. These requirements ensure that the property is safe, sound, and sanitary.
7. How do I prepare for a VA home loan inspection?
You can prepare for a VA home loan inspection by ensuring that the property you intend to purchase meets VA MPRs, fixing any outstanding issues, and having all necessary documentation ready to present to the VA appraiser.
8. Can I request a reconsideration of value?
Yes, you can request a “reconsideration of value” if the VA appraisal does not match the purchase price or if you feel it’s too low. However, this is a complicated process that requires lots of documentation.
9. What happens if I don’t pass the VA home loan inspection?
If the property you intend to purchase doesn’t pass the VA home loan inspection, you’ll need to fix the issues before you can get the loan.
10. How much does a VA loan inspection cost?
The cost of a VA loan inspection varies depending on the lender, the property’s location, and the appraiser’s fee. However, VA regulations state that the veteran cannot pay for the inspection.
11. Can I choose my VA appraiser?
No, you cannot choose your VA appraiser. The VA has a system in place to randomly assign appraisers to inspection requests.
12. How long is a VA loan appraisal valid?
A VA loan appraisal is valid for six months.
13. What happens during a VA property inspection?
During a VA property inspection, the appraiser will examine the property to ensure it meets VA minimum property requirements. They’ll check for issues such as structural integrity, pest infestations, plumbing and electrical systems, and heating and air conditioning systems.
Conclusion
Buying a home is an exciting but complex process, especially if you’re a first-time homebuyer. However, the VA home loan inspection can be a daunting process. Understanding what to expect during the inspection and how to prepare for it can make all the difference.
Remember, the VA home loan inspection is mandatory, so it’s essential to ensure that the property you intend to buy meets VA minimum property requirements. If you have any concerns, don’t hesitate to speak with your lender or real estate agent. They can provide you with valuable insight and guidance to navigate the inspection process successfully.
If you’re ready to buy a home using your VA home loan, take the first step by contacting a VA-approved lender today.
Closing Disclaimer
The information provided in this article is for informational purposes only and does not constitute legal, financial, or professional advice. Always seek professional guidance before making any financial or real estate-related decisions. The article’s author and publisher will not be held liable for any inaccuracies, omissions, or damages arising from its use.