Articles and news about VA loans and HUD requirements. VA loans are a great way to buy a home with no down payment.

Appraisal Requirements For Finished Basements

081-logoA reader asks, “I have a question regarding finish basements and the VA appraisal of them. The home is advertised as single family ranch home with 3 bedrooms. Two bedrooms are located on the main floor with the third in the basement. The basement is not open but does have egress for the bedroom window located that meets current state code. Would the VA view this home as a 3 bedroom home or not? “

The answer to questions like these doesn’t necessarily lie with VA minimum property requirements, or appraisal requirements, but rather with the local housing market and any applicable state or local building codes.

Comparable properties are used to make certain value determinations at VA appraisal time–the classification of similar homes in the market would likely play a big part in how this particular property is classified. It’s important to know that VA appraisal rules are very specific in some ways and very general in others.

When it comes to situations like these, VA minimum property requirement rules don’t specifically address the issue mentioned in the reader question. This would be something the local housing market might play a role in determining. Are other, similar homes classified in the same way? That could make a difference at appraisal time.

State and local building code also play a role in VA appraisal requirements, so it’s best to consult the local authority in cases like these. Checking with a real estate agent to see how comparable homes might be classified is also a good idea.

Do you have questions about VA mortgage loans or VA refinance loans? Ask us in the comments section.

Bruce Reichstein

About Bruce Reichstein

Bruce Reichstein is an Expert on (VA) Military/Veteran Home Loan Guidelines for over 26 years. He is an experienced VA Loan Mortgage Banker who is passionate about assisting US Military Veterans utilize their Veteran Eligibility to purchase a home.

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