VA Home Loans
The CRV (Certificate of Reasonable Value) is based
on an appraiser's estimate of the value of the property to be purchased.
Since the loan amount may not exceed the CRV, the first step in
getting a VA home loan is usually to request an appraisal. Anyone
(buyer, seller, real estate personnel or lender) can request a VA
(Veteran's Administration) appraisal by completing VA Form 26-1805,
"Request for Determination of Reasonable Value."
After completing the form, it can either be mailed to the Loan
Guaranty Division at the nearest VA office for processing, or an
appraisal can be requested by telephoning the Loan Guaranty Division
for assignment of an appraiser. The local VA office may be contacted
for information concerning its assignment procedures.
The appraiser will send a bill for his or her services to the requester,
according to a fee schedule approved by VA. To simplify things,
VA and HUD/FHA (Department of Housing and Urban Development/Federal
Housing Administration) use the same appraisal forms. Also, if the
property was recently appraised under the HUD procedure, under certain
limited circumstances, the HUD conditional commitment can be converted
to a VA CRV. The local VA office can explain how this is done.
It is important to recognize that while the VA appraisal estimates
the value of the property, it is not an inspection and does not
guarantee that the house is free of defects. Homebuyers are encouraged
to carefully inspect the property themselves, or to hire a reputable
inspection firm to inspect the property.
VA Home Loan Application Process
The application process for VA financing is no different from any
other type of loan. In fact, the VA home loan application form is
the same as that used for HUD/FHA and conventional loans. The mortgage
lender verifies the applicant's income and assets, and obtains a
credit report to see that other obligations are being paid on time.
If all is well, and the appraised value of the property is enough
to cover the loan needed, the lender, in most instances, can close
the loan under VA's automatic procedure. Only about 10 percent of
VA loan applications have to be submitted to an office for VA home
loan approval before closing.
Article continued at http://www.virginiahomeandloan.com/obtaining_va_home_loans.html