MILITARY & VA
How does the VA appraisal work and what can go wrong?
By Steve Lockhart
The short answer
Two appraisals exist in the mortgage world, and the VA kind is the stricter one.
Full answer
Two appraisals exist in the mortgage world, and the VA kind is the stricter one. On a VA purchase, the appraisal is required and cannot be waived, because it does two jobs at once: it confirms the property is worth the price, and it checks the home against the VA's Minimum Property Requirements, the baseline of safety, structure, and livability.
An independent VA appraiser is assigned through a random pool, so neither the buyer, the seller, nor the agent picks who inspects. The appraiser publishes a value on the VA's schedule. If the value comes in at or above the contract price, the loan proceeds normally. If it comes in below, you have an appraisal gap: the lender will only lend against appraised value, so the difference must be covered by renegotiating the price, adding cash, or walking.
Condition issues work differently. Older homes in Las Vegas, especially with aging roofs, heating and cooling, or electrical systems, can draw repair requirements the seller must satisfy before closing. Builders and newer communities rarely hit this; character homes often do.
The honest fix is planning. We price the offer with the appraisal in mind, tour with an eye on condition, and budget a plan for a surprise gap, so a low appraisal becomes a negotiation, not a crisis.
Go a little deeper
Frequently asked
Questions service members often follow up on
Can I challenge a VA appraisal I disagree with?
Yes, through a formal process called a Reconsideration of Value, which requires real evidence such as better comparable sales. It works sometimes and is worth pursuing when the comps clearly support it, but it is not a way to argue an honest gap away.
Who pays for the VA appraisal?
The buyer typically pays the appraisal fee as part of closing costs, and it is usually collected after the offer is accepted. The appraiser is assigned by the VA, so the payment does not influence the outcome.
What condition issues stop a VA loan?
The Minimum Property Requirements cover safety and basic livability: working utilities, sound structure, no health hazards, adequate space and access. Cosmetic age is usually fine; a broken roof, unsafe electrical work, or an inoperative system is not.
The Lockhart Method
The Lockhart Method
Your Home | My Strategy | Proven Results
My strategy: negotiate the appraisal before the appraisal. We price offers from real recent sales, tour with a condition eye, and keep a gap plan in the back pocket, so the VA value step is a checkpoint we already prepared for, never a surprise that ends the deal.
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