The VA Appraiser Found a Repair Issue and Here Is Why That Rarely Kills the Transaction

The Appraisal Result That Worries Buyers More Than It Should

When a VA appraisal comes back with a repair requirement the buyer’s first instinct is often to assume the deal is in trouble. Travis Egan wants veterans and their agents to hear this clearly before that assumption takes over. A repair item on a VA appraisal usually does not kill the transaction.

What Actually Happens When a VA Appraisal Flags a Repair

The VA appraisal process includes a minimum property requirements review that identifies conditions affecting the safety, soundness, or sanitary conditions of the property. When the appraiser notes a repair requirement it means that condition needs to be addressed before the loan can close. It does not mean the deal is over.

The most common resolution is straightforward. Ask the seller to fix the issue before closing or provide a credit that allows the buyer to address it. In a market where sellers are motivated to get transactions to the closing table those conversations happen and they produce results more often than they fall apart.

Travis has closed plenty of deals that hit repair requirements mid-process. The path through is usually a negotiation with the seller about who handles the fix and how. That conversation takes some time and adds a step to the timeline but it is a step that gets taken successfully in the majority of cases.

What Buyers and Agents Should Keep in Mind

The repair requirement does slow things down a little. That is honest and worth planning for in terms of timeline expectations. But slow is different from dead and the distinction matters when a buyer is deciding whether to continue pursuing a property or walk away based on an assumption that the transaction cannot be saved.

Got questions about a VA appraisal repair requirement or anything else in the VA loan process? DM Travis Egan directly. He is here to help. Semper Fi.

Sources

VA.gov
MilitaryOneSource.mil
ConsumerFinancialProtectionBureau.gov
MortgageNewsDaily.com
Investopedia.com