VA appraisals

VA Loan Reader Questions: Appraisal Disputes

December 18, 2012

VA Loan Reader Questions: Appraisal Disputes

A reader asks, “I am working with my good friend and VA buyer. The VA has denied the loan do to the fact that the appraiser is calling for removal of the septic. We have provided two certs to the appraiser and the VA proving it needs not to be replaced.”

“Another reason for her calling for removal is because there was a permit requested two years ago on the property.  The seller pulled the permit because they were going to put an addition on, but ended up getting divorced and selling the home  Now the appraiser has not personally tested the septic herself, but is calling for removal. What do we do?”

Appraisal disputes like these are tricky for the simple fact that the VA minimum property standards defer to local and state building code where applicable. There is no specific, technical guidance on file at the VA for these issues–state and local codes apply.

In any case, the VA does not override these code requirements, so if a home is technically compliant with VA minimum standards but not in compliance with applicable building codes, it must be corrected as directed by the appraiser.

In this situation there is a dispute between the buyer and appraiser. Cases like these should be directed to the VA Regional Loan Center with jurisdiction; only the VA can issue further guidance and resolve the issue.

Find the VA Regional Loan Center near you. Any issue such as this that needs resolution should involve the Department of Veterans Affairs–for advice at the very least. You can also contact the VA by phone at 1-800 827-1000.

Do you have questions about VA home loans? Ask us in the comments section.


  1. Charles Floyd Dwayne Crandall

    I am very dissatisfied with my VA appraisal in the calculation of the gross living area square footage. After e-mailing her several times and her making other adjustments which resulted in no difference in the value, she now wants to come back to correct her error from the 1st time around but says it would result in even lower square footage. In the 1st appraisal, an add on room (entirely enclosed and under a trussed roof with central a/c and same level flooring) was omitted. I have radiant heat in the other rooms and this room along with a bedroom that was converted from a one-car attached garage are heated differently. The converted garage room was included but not the other room. I live in St. Louis City. Is it customary to omit such rooms from the square footage. Can I get another appraisal?

    • Joe Wallace

      This is a matter you'll need to take up with your VA Regional Loan Center. Find yours at

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