What is the VA reconsideration of value process and how does it work?
The answer depends on your state. Pick yours to see it.
A VA reconsideration of value lets a Veteran challenge an appraisal value they believe is too low. The Veteran may request the review within 5 business days of the Notice of Value (NOV) and submit additional market data with the request. VA staff then have 5 business days to review the appraisal report, the submitted data, and market data available through VA's Appraisal Management System, and VA issues an amended NOV if the review supports a different value.
Sources: Delaware DPR: Licensed or Certified Appraiser Licensure by Examination; Delaware DPR: Appraiser Trainee.
A VA reconsideration of value is the formal process for challenging a low appraisal on a VA loan. The veteran asks VA staff to review the appraisal, and VA completes its review within 5 business days, issuing an amended Notice of Value if the review supports a different value. A related process, the Tidewater procedure, lets interested parties submit additional sales data within 2 business days when the appraiser expects the value to come in below the sales price.
Sources: SD DLR — Appraiser Requirements (Classifications and Requirements of Appraisers); SDCL Ch. 36-21B: Real estate appraisers.