Mitchell6024/quickb · Datasets at Hugging Face

id stringlengths 36 36	text stringlengths 1 400	source stringclasses 1 value
4543f0c8-d01f-44e4-be2f-185d2b07c595	First and third (final) inspections: To verify that the manufactured home is properly attached to the permanent foundation as specified in the construction exhibits, and that all onsite and offsite improvements are properly completed.	VA_Guidelines.txt
3d2cbb74-66de-4872-bba3-3b746b303d62	Special inspections: As discussed in the topic Inspection Stages in this chapter, and as necessitated by the construction of other onsite improvements financed with the VA guaranteed loan. Note: Second stage inspections are not generally required since manufactured homes are factory fabricated.	VA_Guidelines.txt
17f3ea6b-251c-403a-bad2-3570b156b4e6	Additional In cases involving a used manufactured home moved to the purchaser’s lot to Inspections for be affixed to a permanent foundation, all of the following additional Used manufactured home inspection reports are required to ensure the safety of the Manufactured dwelling: Homes Water-Plumbing Systems Inspection Report, VA Form 26-8731a Electrical Systems Inspection Report, VA Form 26-8731b	VA_Guidelines.txt
ee644063-edda-4e9c-b7d9-6dd75647fd11	Systems Inspection Report, VA Form 26-8731b Fuel and Heating Systems Inspection Report, VA Form 26-8731c, and certification that the roof was coated after set-up on the site	VA_Guidelines.txt
dd9fa81f-a4a3-4ed1-9ca3-bf57eefcf1b6	.	VA_Guidelines.txt
16dc4e91-a188-4879-ae55-98533de841ac	These reports must be completed by qualified third-party inspectors, for example, experienced plumbers, electricians, heating and air-conditioning contractors and manufactured home service personnel, following the installation and setup of the manufactured home on the lot. The roof coating certification can be made by the lender.	VA_Guidelines.txt
c1d08cff-16e6-4939-8c95-52cac7f8dc73	Continued on next page January 1, 2001 14-111 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections 14.04 Manufactured Homes Classified as Real Estate Required The following inspections are required on manufactured homes classified as Inspections real estate.	VA_Guidelines.txt
2ad66e77-df28-4a8f-9647-829b91c27c4b	First and third (final) inspections: To verify that the manufactured home is properly attached to the permanent foundation as specified in the construction exhibits, and that all onsite and offsite improvements are properly completed.	VA_Guidelines.txt
f1110fd2-11ae-48bf-8661-ff45e4352572	Special inspections: As discussed in the topic Inspection Stages in this chapter, and as necessitated by the construction of other onsite improvements financed with the VA guaranteed loan. Note: Second stage inspections are not generally required since manufactured homes are factory fabricated.	VA_Guidelines.txt
7096177b-5488-4da9-9368-4cb7d2664b7f	Additional In cases involving a used manufactured home moved to the purchaser’s lot to Inspections for be affixed to a permanent foundation, all of the following additional Used manufactured home inspection reports are required to ensure the safety of the Manufactured dwelling: Homes Water-Plumbing Systems Inspection Report, VA Form 26-8731a Electrical Systems Inspection Report, VA Form 26-8731b	VA_Guidelines.txt
522d6f61-f9db-4657-8e51-7c1495210a31	Systems Inspection Report, VA Form 26-8731b Fuel and Heating Systems Inspection Report, VA Form 26-8731c, and certification that the roof was coated after set-up on the site	VA_Guidelines.txt
0609eaa0-6051-4a2f-b378-e1ff6f7286b9	.	VA_Guidelines.txt
45235dc3-855f-45b5-8956-a4effa371fd7	These reports must be completed by qualified third-party inspectors, for example, experienced plumbers, electricians, heating and air-conditioning contractors and manufactured home service personnel, following the installation and setup of the manufactured home on the lot. The roof coating certification can be made by the lender.	VA_Guidelines.txt
7daecb58-b29d-4213-a5f1-d9fb35b477a5	Continued on next page January 1, 2001 14-111 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections 14.04 Manufactured Homes Classified as Real Estate, Continued Qualified While inspectors will perform only those inspections for which they are Inspectors qualified, licensed manufactured home service personnel will be permitted to perform any of the required inspections.	VA_Guidelines.txt
4e300bd1-9c57-47b0-b458-990b4d654c5e	Lenders must order the inspections and retain the original of the reports in their loan origination file. No loan on a manufactured home with unsatisfactory inspections is eligible for VA guaranty.	VA_Guidelines.txt
57eed947-e9d0-4ae5-83d8-befa1806918b	January 1, 2001 14-122 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14	VA_Guidelines.txt
7ee86f99-dd8d-49f5-922a-f1c3d534aef6	.05 Delayed Installation of Appliances and Finished Floor Covering What is With the exception of floor covering in bathrooms and wood finish flooring, Required installation of appliances and finished floor covering may be delayed until as late as just prior to loan closing, provided the third-stage inspection report includes the following: In Section 1, a description of all appliances and finish	VA_Guidelines.txt
f8caaf59-ac1a-4af8-b02c-91867f38d913	1, a description of all appliances and finish floor covering to be installed as identified in the specifications, for example, carpet manufacturer’s name and carpet quality code number, and the living area(s) involved, if not obvious	VA_Guidelines.txt
4825fed7-151c-4c6b-a9e6-51262b591285	.	VA_Guidelines.txt
0cea9a85-ef66-48da-afa4-f8b25ed97c01	In Section 6, check “Prefinal Report Approved,” and “Certification is required that lender’s inspection prior to loan closing reveals satisfactory installation of specified appliances and finish floor covering as described in Item 1 in the area(s) identified in Item 1.” What is not A revised VA Value Notice is not required.	VA_Guidelines.txt
79104f46-69f7-4380-8a17-12c986e2a3a9	Required July 14, 2003 14-133 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14	VA_Guidelines.txt
4486bc7b-3936-4ba8-a482-ba8384812168	.06 Lender Use of Inspection Reports Receipt of If construction is acceptable and there are no deviations or substitutions, the Inspection compliance inspector will submit the inspection report (VA Form 26-1839) in Reports the following manner: If the lender is known: Provide the lender with a copy, Provide the builder with a copy, and Keep a copy for his/her file.	VA_Guidelines.txt
3ee48c8a-7886-4515-af49-a366ebdd0be0	If the lender is not known: Provide the builder with two copies, one of which the builder will forward to the lender when known, and Keep a copy for his/her file.	VA_Guidelines.txt
0900f264-78e9-4304-8ae1-c2973d21b449	Use of Considering the requirements to obtain VA loan guaranty, before the loan is Inspection closed, the lender should ensure that Reports all VA value notice requirements regarding inspections are met any deviations and/or noncompliance items listed on the third-stage inspection report are resolved to VA’s satisfaction any appliances or floor coverings installed under Section 14	VA_Guidelines.txt
13de28ac-0b6a-4a1e-9318-96c5d740054f	.05 are the same as those described in Section 1 of the third-stage inspection report, and the third stage inspection report includes all of the information required for a final inspection.	VA_Guidelines.txt
32ad402a-765c-40a3-892e-719feb80257c	Retention of The lender must retain all inspection-related material in their loan origination Inspection file. Reports July 14, 2003 14-144 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14.07 Changes to Construction Exhibits How to Request Use the table below to request a change to construction exhibits after the a Change appraisal. When a Veteran is ...	VA_Guidelines.txt
0b5ca1d3-beaf-40e1-b052-d3f14f6decf3	When a Veteran is ... Then ... under contract the veteran under contract must make a written request for any changes. not under contract the builder, lender, or sponsor making the written request for modification must certify that the property is not under contract to a veteran.	VA_Guidelines.txt
48b54323-49a6-4174-8f78-0b25760523c5	Change VA Form 26-1844, Request For Acceptance of Changes in Approved Request Form Drawings and Specifications must be used to request the change.	VA_Guidelines.txt
939bf31d-2a14-4f13-881e-2bc912014878	There are two exceptions: If there is no veteran-purchaser involved and the change is limited to substitution of mechanical equipment of equal value, then the fee inspector may check VA Form 26-1839, Section 1B, Substitutions or Deviations, describe the change of equipment and the value attributed to the substituted equipment and note the change on the related plans and specifications.	VA_Guidelines.txt
786d2df8-5ab5-48a4-9b28-2feaa11c2d7e	If the property was inspected by HUD, provided the additions, substitutions or variations are clearly described on the HUD inspection report the veteran-purchaser has signed his/her acceptance of the changes, and the change items are of a minor nature with no additional cost to the veteran involved and no change in reasonable value is indicated.	VA_Guidelines.txt
72f243e5-8b4d-4624-9348-72377136621c	Example: Substitution of water heater, furnace, hardware, bath fixtures and/or relocation of electrical outlets, windows, etc.	VA_Guidelines.txt
93f01aec-e441-4d30-a082-04809532458c	Continued on next page July 14, 2003 14-155 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14.07 Changes to Construction Exhibits, Continued Approval of Fee inspectors may approve and distribute a properly completed VA Form Changes not 26-1844, containing all required signatures, which does not involve deletions Affecting or a change in value.	VA_Guidelines.txt
1fc2dee8-8ee0-4256-ae3d-0a4919cd9330	In these cases, the builder must complete VA Form 26- Property Value 1844 in duplicate and have the form at the job site at the time of the scheduled inspection.	VA_Guidelines.txt
4147b45e-ed7b-49bc-a4be-6b81b846dd92	The inspector confirms the above information inspects the property according to the plans, specifications and change order signs the change order in the appropriate space gives the builder the original counter-signed change order to forward to the lender, and retains one copy.	VA_Guidelines.txt
07cf327a-6649-41b8-b967-4ad077075254	Approval of VA staff must approve any VA Form 26-1844, Request for Acceptance of Changes Which Changes in Approved Drawings and Specifications, including deletions or a Affect Property change in value, by issuing an amended NOV.	VA_Guidelines.txt
f014a9cf-0c9e-4b16-bbf2-dfd0310f42c7	Value VA will generally find it more appropriate to pursue this action in cases which also involve changes in notice of value conditions or legal requirements, legal descriptions substitution of plan types, etc… Continued on next page July 14, 2003 14-166 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14	VA_Guidelines.txt
536c33a4-f0c0-4e61-85ca-cbb5862f1eca	.07 Changes to Construction Exhibits, Continued Notification For changes approved by the VA staff, VA mails a copy of the amended NOV directly to the veteran-purchaser, places copy of amended NOV in the VA loan file, and notifies the lender that the amended NOV is available through TAS.	VA_Guidelines.txt
bb4ead43-6c6d-4831-ab01-5f4461c54100	If no veteran is under contract, a copy will be attached to the veteran’s copy of the notice of value in the loan file and mailed to him/her upon receipt of a loan application or loan report. Cancellation of Any violation of the Conditions of Acceptance printed on the reverse of VA VA Approval Form 26-1844 will be cause to withdraw or cancel VA’s acceptance of the changes.	VA_Guidelines.txt
96536600-b747-4031-a915-7d2b0a392bb7	July 14, 2003 14-177 Additional Inspections, 14-11 Final Inspection, 14-8 Approval of Changes Affecting Property First and Third (final) Inspections, 14-11 Value, 14-16 First Inspection Stage, 14-5 Approval of Changes not Affecting Property How to Request a Change, 14-15 Value, 14-16 Individual Water Supply, 14-8 Assigning an Inspector, 14-3 Inspection Stages, 14-4 Cancellation of VA Approval,	VA_Guidelines.txt
9ca22628-52a2-45f4-a4fd-fa53e868bc14	Stages, 14-4 Cancellation of VA Approval, 14-17 Interior Inspection, 14-7 Change Notification, 14-17 Lender Use of Inspection Reports, 14-14 Change Request Form, 14-15 Lender’s Loan Origination file, 14-10 Completion of Excavation Alternative, 14-5 Manufactured Homes Classified as Real Completion of Foundation Alternative, 14-5 Estate, 14-11 Consequences of Inspections, 14-1 Missed Inspections,	VA_Guidelines.txt
a864c189-39e3-4a86-becc-f37040d88dc9	of Inspections, 14-1 Missed Inspections, 14-9 Construction Exhibits, 14-15	VA_Guidelines.txt
0259a2a2-f45f-4d2f-a955-ea74a0c61d61	.	VA_Guidelines.txt
8e15e80d-7aaa-4f19-b14c-0b4ca3e10abd	See Section Obtaining an Inspection, 14-3 10. 10 Qualified Inspectors, 14-12 Construction Inspections, 14-1.	VA_Guidelines.txt
e6ba442f-0612-4496-bd4e-486f14c9b5cc	See Chapter Re-inspection, 14-9 12, VA Minimum Property Requirements Requesting an Inspection, 14-3 (MPRs) Required Inspections, 14-11 Delayed Installation of Appliances and Second Inspection Stage, 14-6 Finished Floor Covering, 14-13 Sewage Disposal System, 14-8 Delays in starting construction, 14-3 Special Inspections, 14-9, 14-11 Determining the Type of Inspection, 14-1 Specially Adapted	VA_Guidelines.txt
323d72df-b0fd-4c03-939d-f445de063796	the Type of Inspection, 14-1 Specially Adapted Housing Cases, 14-2 Discontinuing Reliance on Local Third Inspection Stage, 14-7 Inspections, 14-10 VA Reliance on Local Building Inspections, Equal Employment Opportunity 14-10 Requirement, 14-4 Waiving First and Second Stage Inspections, 14-10 Exterior Inspection, 14-7 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP)	VA_Guidelines.txt
9dc640f8-aac9-43c7-af7c-37840bf5f959	15: Lender Appraisal Processing Program (LAPP) Chapter 15	VA_Guidelines.txt
1a4f5144-4c0f-407c-a5ea-893506920b7a	.	VA_Guidelines.txt
6c0407ad-a478-45fc-b98a-9076aad82178	Lender Appraisal Processing Program (LAPP) Overview Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering and to make minor grammatical edits. a.	VA_Guidelines.txt
92e441dd-5826-4fb9-94d3-85a29a7d1b14	Purpose of The purpose of the Lender Appraisal Processing Program (LAPP) is to LAPP speed up the time to loan closing by allowing VA-authorized lenders to receive appraisal reports directly from appraisers and process them without VA involvement. b. How LAPP There are basically four steps in processing LAPP cases.	VA_Guidelines.txt
a601f277-aa74-4811-8b63-fbc50af032f7	Works Stage Description 1 The LAPP lender requests VA assignment of a fee appraiser and a VA loan number (same as any other case) and identifies the case as “LAPP.” 2 The VA-assigned appraiser sends the appraisal report directly to the LAPP lender’s VA-approved staff appraisal reviewer (SAR)	VA_Guidelines.txt
8ae8b5d2-86d9-4927-b8f3-04ca61bd0f31	. 3 The LAPP lender’s SAR reviews the appraisal report for completeness and conformity with industry-accepted appraisal practices and techniques as well as other VA requirements, determines the reasonable value of the property and any conditions which must be met prior to VA guaranty of the loan, and sends the veteran buyer a written notice of the value which includes any conditions or	VA_Guidelines.txt
855431a9-3236-4c21-bf23-cf09836931a4	of the value which includes any conditions or requirements upon which the VA loan guaranty is contingent	VA_Guidelines.txt
2b2c553d-9208-4e71-b02d-6e871fa4b0ec	. 4 The LAPP lender then underwrites and closes the loan on the automatic basis and requests VA guaranty.	VA_Guidelines.txt
862dd033-1383-4ecc-876c-90cb07797faf	Continued on next page 15-1 Continued from previous page 15-1 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) Overview, Continued c.	VA_Guidelines.txt
a760b860-a4d5-4899-ae1b-494fcc16a6c4	In this This chapter contains the following topics: Chapter Topic See Page 15.01 LAPP Eligibility 15-3 15.02 Lender Quality Control System Requirements 15-5 15.03 Applying for LAPP Authority 15-7 15.04 SAR Training and Initial Case Reviews 15-8 15.05 Changes in SAR’s Employment of Lender’s Status 15-12 15.06 Lender Responsibilities Under LAPP 15-13 15.07 LAPP Processing Procedures 15-14 15	VA_Guidelines.txt
cc5ce71d-9798-423e-901c-c14696dfa3ab	.07 LAPP Processing Procedures 15-14 15.08 Affiliates and Agents 15-15 15-2 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.01 LAPP Eligibility Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering and to make minor grammatical edits. a.	VA_Guidelines.txt
59266fc8-0500-475e-b718-6001e8d779ce	Lender VA may grant Lender Appraisal Processing Program (LAPP) authority to any Requirements automatic lender that requests it and meets the qualification criteria outlined in this chapter, including the Lender Quality Control System Requirements. b. Role of Staff The lender exercises its LAPP authority through an employee who is a VA- Appraisal approved staff appraisal reviewer (SAR).	VA_Guidelines.txt
709f6b75-5417-48c4-bc0e-c4cd4ac00cd4	Reviewer c. SAR A lender’s staff appraisal SAR must: Requirements be a full-time salaried employee of the lender, and have at least 3 years of work experience which qualifies him or her to competently perform administrative appraisals reviews in conjunction with underwriting loans for VA loan guaranty purposes. d.	VA_Guidelines.txt
406a57d0-b610-4b3b-9810-4f96a7d9a97f	SAR’s Work The SAR’s work experience must indicate that he or she has: Experience general knowledge of the principles, methods, practices and techniques of Requirements appraising and the ability to apply that knowledge, the ability to review the work of others and recognize deviations from accepted appraisal principles and practices, the ability to detect errors in computations, and ability to	VA_Guidelines.txt
bc1db4ce-eca5-435f-828c-34931143199a	to detect errors in computations, and ability to detect conclusions which are not supported	VA_Guidelines.txt
b0a6927c-8ae9-4185-9fb8-554e0dbd8e29	.	VA_Guidelines.txt
6cfadf23-f29c-4d93-ad9f-ff3d6243a860	It is also desirable for the SAR to have: knowledge of general realty practices and principles related to real property valuation, skill in collecting and assembling data, and ability to prepare clear and concise reports. Note: Three years of experience related to the HUD Direct Endorsement program satisfies the experience requirement provided all other application requirements are satisfied.	VA_Guidelines.txt
e305ac3e-f1ad-446d-a14e-c465d8e9b899	Continued on next page 15-3 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.01 LAPP Eligibility, Continued e. Location of There is no restriction on the location of a lender’s SAR. SAR f.	VA_Guidelines.txt
86850815-ce8c-429e-9ced-6e4b6508e914	SAR f. Geographic Once a SAR has satisfied the LAPP training and initial case review Extent of LAPP requirements (SAR Training and Initial Case Reviews in this chapter), their LAPP authority may be used for properties in any state in which the lender has authority to close loans under the automatic procedure.	VA_Guidelines.txt
f41a4efe-c24f-4c7d-b60a-b5ee935dabd5	If a lender’s automatic authority is extended into a new state, their SAR’s LAPP authority is immediately extended as well. Note: It is the SAR’s responsibility to stay informed about any local VA processing requirements unique to the VA jurisdiction in which a property is located. g.	VA_Guidelines.txt
4713861c-d5f0-47e3-9db2-aaf472dc9e87	SAR There must not be a conflict of interest between the SAR’s role as SAR Conflicts of and any other activities that he or she conducts.	VA_Guidelines.txt
161403f4-6473-49b6-947f-1531249066fb	Examples of other Interest activities which would be a conflict of interest include: SAR is on the VA fee appraisal panel, or SAR is employed by or performs appraisal review services for another lender. 15-4 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15	VA_Guidelines.txt
982c5a14-937e-420d-9fe4-5801c89e477e	.02 Lender Quality Control System Requirements Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering, add hyperlinks, and to make minor grammatical edits. a.	VA_Guidelines.txt
db1329a4-a9c4-4016-a67c-13e64cae1258	Introduction To qualify for LAPP authority, the lender must have an effective quality control (QC) system which ensures the adequacy and quality of its staff appraisal reviews. This QC system must be independent of the lender’s loan production operation. Upon request, the lender must agree to furnish VA with findings and information about the system.	VA_Guidelines.txt
bc602dd8-06e1-4904-8bf0-086b9ffc60ff	The senior officer must certify on each SAR’s Lender's Staff Appraisal Reviewer Application (SAR) Application, VA Form 26-0785, that the QC system meets the requirements detailed in this section. b. QC Reviews of the SARs’ work may be performed by an independent party or Reviewers independent internal audit division which reports directly to the lender’s chief executive officer.	VA_Guidelines.txt
99884f26-ed23-4a27-91a3-4da4d08c9d9e	QC personnel should possess a basic familiarity with appraisal theory and techniques and the ability to prescribe appropriate corrective actions when problems in the appraisal review process are identified. c. Frequency Perform desk reviews of each SAR’s appraisal reviews on a routine basis and Scope of (monthly or quarterly).	VA_Guidelines.txt
152bbea2-d022-4128-868c-037584fcb20a	The sample size should be no less than 5 percent of Reviews the SAR’s LAPP cases processed monthly or a minimum number of cases (for example, five cases). There must be a procedure for expanding the scope of the reviews if a pattern of deficiencies is identified.	VA_Guidelines.txt
5f0431e1-12e3-41d1-90e2-6db14727bc36	Continued on next page 15-5 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.02 Lender Quality Control System Requirements, Continued d.	VA_Guidelines.txt
fd2d0157-1e68-4a9b-840f-a03f94a93b96	QC Review QC reviews should consider the: Criteria overall quality of the SAR’s appraisal review, acceptability of the property in light of VA minimum property requirements, and appropriateness of the reasonable value determination. e.	VA_Guidelines.txt
0e7acc07-096d-42aa-9e06-1393386fb89a	Maintenance The QC system must provide assurance that all current pertinent VA of VA regulations, directives, and other releases are maintained and immediately Publications available to the quality control personnel and SARs. f.	VA_Guidelines.txt
acdab233-c90d-48cc-aa3e-d06be1ea1394	Management The QC system must provide for written notification of deficiencies cited as a Notification result of audits or reviews at least quarterly to the lender's senior management and Corrective or chief executive officer. Action The QC system must require senior management to promptly initiate and document actions to correct deficiencies and provide SARs with corrective instructions. g.	VA_Guidelines.txt
21808ccb-8a11-4503-96d4-c16a3d1cf61f	Review of In addition to reviews of the SARs’ work, random field reviews of VA fee VA Fee Panel panel appraisals should be performed. These reviews can be done by the Appraisals SAR, or an independent appraiser on a contract basis.	VA_Guidelines.txt
6e3faf8a-06bd-45ca-a923-87872e3ed7d3	Note: Formally report any substantive negative findings to the VA Regional Loan Center where the appraiser is a member of the fee panel. 15-6 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15	VA_Guidelines.txt
b24aacb6-bfa7-4a30-8b46-3936b8d80d62	.03 Applying for LAPP Authority Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering, add hyperlinks, and to make minor grammatical edits. a.	VA_Guidelines.txt
2612c2c9-07d4-4d6e-b9c3-2a6397aa1f13	Application Submit a separate Lender's Staff Appraisal Reviewer Application (SAR) and Fees Application, VA Form 26-0785, and fee for each SAR approval request to the VA regional office with jurisdiction over the SAR’s physical location.	VA_Guidelines.txt
f6fcd368-3ebc-490d-a732-13628acdcd06	Legitimate requests to submit the application to a VA office more conveniently located for training and other interactions between the SAR and VA will be considered.	VA_Guidelines.txt
812979d9-40bc-423f-aee5-ad5804ec6efb	For each SAR approval request, include a $100 processing fee plus the information, statements and certifications exactly as detailed on the application, either on lender letterhead or attached to a statement on lender letterhead which references it. The same procedure applies to subsequent requests for VA approval of additional SARs. b.	VA_Guidelines.txt
a85091de-ad0e-45cf-9575-5d5e1634c4fc	Notification The VA regional office will review the application materials submitted and of VA Decision notify the lender of its decision as quickly as possible. If VA determines that the SAR meets basic LAPP qualification requirements, it will inform the lender that the SAR must fulfill the SAR Training and Initial Case Review requirements detailed in this chapter. c.	VA_Guidelines.txt
21c94683-f77f-47e3-a965-247776e4c050	SAR ID The notice from VA will provide a permanent ID number for each SAR Number approved.	VA_Guidelines.txt
58be6bdd-6fcf-49be-9296-8fbae13cfc72	The SAR always retains the same ID number, even if he or she goes to work for another lender and is approved as a SAR for that lender. 15-7 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15	VA_Guidelines.txt
605fec17-210f-4aec-98d3-08d3081f5511	.04 SAR Training and Initial Case Reviews Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering, add hyperlinks, and to make minor grammatical edits. a.	VA_Guidelines.txt
bccc61e7-79c9-4b34-afa2-4a4bc518aa41	Training The Staff Appraisal Reviewer (SAR) may not begin performing appraisal and Case reviews independently after VA’s notification of approval until he or she Review fulfills VA training requirements and VA initial case review requirements. Requirements Generally, VA staff will train the SAR and then conduct the initial case reviews. b.	VA_Guidelines.txt
099d532c-b035-4160-8b03-20cea0f4a97b	Exceptions The following are the three exceptions to the SAR training and initial case to Training and review requirements: Case Review Requirements SAR Training During or After Case Reviews The lender may request that the training be conducted during or after the case review requirement.	VA_Guidelines.txt
c0193592-ff2d-4ee1-91be-898a65b3230d	SAR With Prior LAPP Experience The lender may request a waiver of the training and case review requirements for a SAR who previously satisfied those requirements while employed by another LAPP lender, and has satisfactorily processed LAPP cases within the last year.	VA_Guidelines.txt
2679697e-404d-4e99-b04e-53a73556c77c	Experienced SAR to Train and Supervise New SAR The lender may request that one of its experienced SARs train and review the initial cases of a new SAR. The experienced SAR must: have full LAPP authority and be performing acceptably, provide adequate training to the new SAR, and review and ensure the acceptability of the new SAR’s initial LAPP cases.	VA_Guidelines.txt
c8d110db-1556-4065-a2ca-46e548175684	Continued on next page 15-8 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.04 SAR Training and Initial Case Reviews and Initial Case Reviews, Continued c.	VA_Guidelines.txt
ec4391a1-08b4-4bda-83c4-28b8774f33b6	Training and Once the training and case reviews are acceptably completed, the lender’s Case Reviews senior officer must send the VA office a signed and dated notice which Completed by includes Experienced SAR the name and SAR ID number of both the trainee and trainer, and a letter stating that the training covered all VA LAPP requirements, and the trainer reviewed at least five cases successfully	VA_Guidelines.txt
c21a5e8b-bbd6-4fff-98f5-66a327cce5f1	trainer reviewed at least five cases successfully completed by the trainee	VA_Guidelines.txt
d0441af5-bb7c-4ff0-a0fa-49e9a31c5602	.	VA_Guidelines.txt
46b682d2-ce10-440c-96d2-a479489f237f	Note: The letter must include the VA case numbers for at least five cases. d. Training by If the training and case review requirements are not waived by VA or VA Staff completed by an experienced SAR upon receipt of VA’s notification that the SAR meets the basic LAPP qualification requirements, the lender must call that VA office to arrange for SAR training.	VA_Guidelines.txt
e3c3fcab-3331-49fd-aa44-2a4df41f924c	VA will normally provide the training at the VA office (but may provide it in meetings or seminars at other locations in conjunction with scheduled VA field travel) and within 30 days. At a minimum, the training by VA staff should consist of a 1 day session to discuss LAPP processing procedures and guidelines and any local VA office requirements and conditions.	VA_Guidelines.txt
1b4beff3-5d13-4703-8dc6-be2631ecd200	Note: Due to the need for consistency between VA offices nationwide, each office is expected to limit local requirements and conditions to only those that are essential. Continued on next page 15-9 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.04 SAR Training and Initial Case Reviews and Initial Case Reviews, Continued e.	VA_Guidelines.txt
905031c9-4c61-4fb6-98cf-e41542d99a4b	Procedure Each SAR’s first five cases must be processed as described in the table below for Case Stage Description Reviews 1 SAR fully reviews the fee appraiser’s report. 2 SAR determines the reasonable value of the property. 3 SAR drafts a notice of value (NOV) to the veteran purchaser.	VA_Guidelines.txt
6e371b99-24e5-4f37-8d4d-689911e5d889	Note: SAR should not send it to the veteran purchaser. 4 VA staff or an experienced SAR with VA permission reviews the following items: the NOV, the appraisal request, the appraisal report, and any related documents	VA_Guidelines.txt
bc7bc886-0e70-4263-b206-998c45374bf0	. 5 If the SAR’s work on the case is acceptable VA staff will issue a NOV to the lender within 5 work days of receipt of the package, or The experienced SAR reviewer will also update and sign the SAR certification and mail the NOV to the veteran purchaser.	VA_Guidelines.txt

4543f0c8-d01f-44e4-be2f-185d2b07c595

First and third (final) inspections: To verify that the manufactured home is properly attached to the permanent foundation as specified in the construction exhibits, and that all onsite and offsite improvements are properly completed.

VA_Guidelines.txt

3d2cbb74-66de-4872-bba3-3b746b303d62

Special inspections: As discussed in the topic Inspection Stages in this chapter, and as necessitated by the construction of other onsite improvements financed with the VA guaranteed loan. Note: Second stage inspections are not generally required since manufactured homes are factory fabricated.

VA_Guidelines.txt

17f3ea6b-251c-403a-bad2-3570b156b4e6

Additional In cases involving a used manufactured home moved to the purchaser’s lot to Inspections for be affixed to a permanent foundation, all of the following additional Used manufactured home inspection reports are required to ensure the safety of the Manufactured dwelling: Homes Water-Plumbing Systems Inspection Report, VA Form 26-8731a Electrical Systems Inspection Report, VA Form 26-8731b

VA_Guidelines.txt

ee644063-edda-4e9c-b7d9-6dd75647fd11

Systems Inspection Report, VA Form 26-8731b Fuel and Heating Systems Inspection Report, VA Form 26-8731c, and certification that the roof was coated after set-up on the site

VA_Guidelines.txt

dd9fa81f-a4a3-4ed1-9ca3-bf57eefcf1b6

.

VA_Guidelines.txt

16dc4e91-a188-4879-ae55-98533de841ac

These reports must be completed by qualified third-party inspectors, for example, experienced plumbers, electricians, heating and air-conditioning contractors and manufactured home service personnel, following the installation and setup of the manufactured home on the lot. The roof coating certification can be made by the lender.

VA_Guidelines.txt

c1d08cff-16e6-4939-8c95-52cac7f8dc73

Continued on next page January 1, 2001 14-111 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections 14.04 Manufactured Homes Classified as Real Estate Required The following inspections are required on manufactured homes classified as Inspections real estate.

VA_Guidelines.txt

2ad66e77-df28-4a8f-9647-829b91c27c4b

First and third (final) inspections: To verify that the manufactured home is properly attached to the permanent foundation as specified in the construction exhibits, and that all onsite and offsite improvements are properly completed.

VA_Guidelines.txt

f1110fd2-11ae-48bf-8661-ff45e4352572

Special inspections: As discussed in the topic Inspection Stages in this chapter, and as necessitated by the construction of other onsite improvements financed with the VA guaranteed loan. Note: Second stage inspections are not generally required since manufactured homes are factory fabricated.

VA_Guidelines.txt

7096177b-5488-4da9-9368-4cb7d2664b7f

Additional In cases involving a used manufactured home moved to the purchaser’s lot to Inspections for be affixed to a permanent foundation, all of the following additional Used manufactured home inspection reports are required to ensure the safety of the Manufactured dwelling: Homes Water-Plumbing Systems Inspection Report, VA Form 26-8731a Electrical Systems Inspection Report, VA Form 26-8731b

VA_Guidelines.txt

522d6f61-f9db-4657-8e51-7c1495210a31

Systems Inspection Report, VA Form 26-8731b Fuel and Heating Systems Inspection Report, VA Form 26-8731c, and certification that the roof was coated after set-up on the site

VA_Guidelines.txt

0609eaa0-6051-4a2f-b378-e1ff6f7286b9

.

VA_Guidelines.txt

45235dc3-855f-45b5-8956-a4effa371fd7

These reports must be completed by qualified third-party inspectors, for example, experienced plumbers, electricians, heating and air-conditioning contractors and manufactured home service personnel, following the installation and setup of the manufactured home on the lot. The roof coating certification can be made by the lender.

VA_Guidelines.txt

7daecb58-b29d-4213-a5f1-d9fb35b477a5

Continued on next page January 1, 2001 14-111 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections 14.04 Manufactured Homes Classified as Real Estate, Continued Qualified While inspectors will perform only those inspections for which they are Inspectors qualified, licensed manufactured home service personnel will be permitted to perform any of the required inspections.

VA_Guidelines.txt

4e300bd1-9c57-47b0-b458-990b4d654c5e

Lenders must order the inspections and retain the original of the reports in their loan origination file. No loan on a manufactured home with unsatisfactory inspections is eligible for VA guaranty.

VA_Guidelines.txt

57eed947-e9d0-4ae5-83d8-befa1806918b

January 1, 2001 14-122 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14

VA_Guidelines.txt

7ee86f99-dd8d-49f5-922a-f1c3d534aef6

.05 Delayed Installation of Appliances and Finished Floor Covering What is With the exception of floor covering in bathrooms and wood finish flooring, Required installation of appliances and finished floor covering may be delayed until as late as just prior to loan closing, provided the third-stage inspection report includes the following: In Section 1, a description of all appliances and finish

VA_Guidelines.txt

f8caaf59-ac1a-4af8-b02c-91867f38d913

1, a description of all appliances and finish floor covering to be installed as identified in the specifications, for example, carpet manufacturer’s name and carpet quality code number, and the living area(s) involved, if not obvious

VA_Guidelines.txt

4825fed7-151c-4c6b-a9e6-51262b591285

.

VA_Guidelines.txt

0cea9a85-ef66-48da-afa4-f8b25ed97c01

In Section 6, check “Prefinal Report Approved,” and “Certification is required that lender’s inspection prior to loan closing reveals satisfactory installation of specified appliances and finish floor covering as described in Item 1 in the area(s) identified in Item 1.” What is not A revised VA Value Notice is not required.

VA_Guidelines.txt

79104f46-69f7-4380-8a17-12c986e2a3a9

Required July 14, 2003 14-133 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14

VA_Guidelines.txt

4486bc7b-3936-4ba8-a482-ba8384812168

.06 Lender Use of Inspection Reports Receipt of If construction is acceptable and there are no deviations or substitutions, the Inspection compliance inspector will submit the inspection report (VA Form 26-1839) in Reports the following manner: If the lender is known: Provide the lender with a copy, Provide the builder with a copy, and Keep a copy for his/her file.

VA_Guidelines.txt

3ee48c8a-7886-4515-af49-a366ebdd0be0

If the lender is not known: Provide the builder with two copies, one of which the builder will forward to the lender when known, and Keep a copy for his/her file.

VA_Guidelines.txt

0900f264-78e9-4304-8ae1-c2973d21b449

Use of Considering the requirements to obtain VA loan guaranty, before the loan is Inspection closed, the lender should ensure that Reports all VA value notice requirements regarding inspections are met any deviations and/or noncompliance items listed on the third-stage inspection report are resolved to VA’s satisfaction any appliances or floor coverings installed under Section 14

VA_Guidelines.txt

13de28ac-0b6a-4a1e-9318-96c5d740054f

.05 are the same as those described in Section 1 of the third-stage inspection report, and the third stage inspection report includes all of the information required for a final inspection.

VA_Guidelines.txt

32ad402a-765c-40a3-892e-719feb80257c

Retention of The lender must retain all inspection-related material in their loan origination Inspection file. Reports July 14, 2003 14-144 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14.07 Changes to Construction Exhibits How to Request Use the table below to request a change to construction exhibits after the a Change appraisal. When a Veteran is ...

VA_Guidelines.txt

0b5ca1d3-beaf-40e1-b052-d3f14f6decf3

When a Veteran is ... Then ... under contract the veteran under contract must make a written request for any changes. not under contract the builder, lender, or sponsor making the written request for modification must certify that the property is not under contract to a veteran.

VA_Guidelines.txt

48b54323-49a6-4174-8f78-0b25760523c5

Change VA Form 26-1844, Request For Acceptance of Changes in Approved Request Form Drawings and Specifications must be used to request the change.

VA_Guidelines.txt

939bf31d-2a14-4f13-881e-2bc912014878

There are two exceptions: If there is no veteran-purchaser involved and the change is limited to substitution of mechanical equipment of equal value, then the fee inspector may check VA Form 26-1839, Section 1B, Substitutions or Deviations, describe the change of equipment and the value attributed to the substituted equipment and note the change on the related plans and specifications.

VA_Guidelines.txt

786d2df8-5ab5-48a4-9b28-2feaa11c2d7e

If the property was inspected by HUD, provided the additions, substitutions or variations are clearly described on the HUD inspection report the veteran-purchaser has signed his/her acceptance of the changes, and the change items are of a minor nature with no additional cost to the veteran involved and no change in reasonable value is indicated.

VA_Guidelines.txt

72f243e5-8b4d-4624-9348-72377136621c

Example: Substitution of water heater, furnace, hardware, bath fixtures and/or relocation of electrical outlets, windows, etc.

VA_Guidelines.txt

93f01aec-e441-4d30-a082-04809532458c

Continued on next page July 14, 2003 14-155 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14.07 Changes to Construction Exhibits, Continued Approval of Fee inspectors may approve and distribute a properly completed VA Form Changes not 26-1844, containing all required signatures, which does not involve deletions Affecting or a change in value.

VA_Guidelines.txt

1fc2dee8-8ee0-4256-ae3d-0a4919cd9330

In these cases, the builder must complete VA Form 26- Property Value 1844 in duplicate and have the form at the job site at the time of the scheduled inspection.

VA_Guidelines.txt

4147b45e-ed7b-49bc-a4be-6b81b846dd92

The inspector confirms the above information inspects the property according to the plans, specifications and change order signs the change order in the appropriate space gives the builder the original counter-signed change order to forward to the lender, and retains one copy.

VA_Guidelines.txt

07cf327a-6649-41b8-b967-4ad077075254

Approval of VA staff must approve any VA Form 26-1844, Request for Acceptance of Changes Which Changes in Approved Drawings and Specifications, including deletions or a Affect Property change in value, by issuing an amended NOV.

VA_Guidelines.txt

f014a9cf-0c9e-4b16-bbf2-dfd0310f42c7

Value VA will generally find it more appropriate to pursue this action in cases which also involve changes in notice of value conditions or legal requirements, legal descriptions substitution of plan types, etc… Continued on next page July 14, 2003 14-166 VA Pamphlet 26-7, Revised Chapter 14: Construction Inspections Change 3 14

VA_Guidelines.txt

536c33a4-f0c0-4e61-85ca-cbb5862f1eca

.07 Changes to Construction Exhibits, Continued Notification For changes approved by the VA staff, VA mails a copy of the amended NOV directly to the veteran-purchaser, places copy of amended NOV in the VA loan file, and notifies the lender that the amended NOV is available through TAS.

VA_Guidelines.txt

bb4ead43-6c6d-4831-ab01-5f4461c54100

If no veteran is under contract, a copy will be attached to the veteran’s copy of the notice of value in the loan file and mailed to him/her upon receipt of a loan application or loan report. Cancellation of Any violation of the Conditions of Acceptance printed on the reverse of VA VA Approval Form 26-1844 will be cause to withdraw or cancel VA’s acceptance of the changes.

VA_Guidelines.txt

96536600-b747-4031-a915-7d2b0a392bb7

July 14, 2003 14-177 Additional Inspections, 14-11 Final Inspection, 14-8 Approval of Changes Affecting Property First and Third (final) Inspections, 14-11 Value, 14-16 First Inspection Stage, 14-5 Approval of Changes not Affecting Property How to Request a Change, 14-15 Value, 14-16 Individual Water Supply, 14-8 Assigning an Inspector, 14-3 Inspection Stages, 14-4 Cancellation of VA Approval,

VA_Guidelines.txt

9ca22628-52a2-45f4-a4fd-fa53e868bc14

Stages, 14-4 Cancellation of VA Approval, 14-17 Interior Inspection, 14-7 Change Notification, 14-17 Lender Use of Inspection Reports, 14-14 Change Request Form, 14-15 Lender’s Loan Origination file, 14-10 Completion of Excavation Alternative, 14-5 Manufactured Homes Classified as Real Completion of Foundation Alternative, 14-5 Estate, 14-11 Consequences of Inspections, 14-1 Missed Inspections,

VA_Guidelines.txt

a864c189-39e3-4a86-becc-f37040d88dc9

of Inspections, 14-1 Missed Inspections, 14-9 Construction Exhibits, 14-15

VA_Guidelines.txt

0259a2a2-f45f-4d2f-a955-ea74a0c61d61

.

VA_Guidelines.txt

8e15e80d-7aaa-4f19-b14c-0b4ca3e10abd

See Section Obtaining an Inspection, 14-3 10. 10 Qualified Inspectors, 14-12 Construction Inspections, 14-1.

VA_Guidelines.txt

e6ba442f-0612-4496-bd4e-486f14c9b5cc

See Chapter Re-inspection, 14-9 12, VA Minimum Property Requirements Requesting an Inspection, 14-3 (MPRs) Required Inspections, 14-11 Delayed Installation of Appliances and Second Inspection Stage, 14-6 Finished Floor Covering, 14-13 Sewage Disposal System, 14-8 Delays in starting construction, 14-3 Special Inspections, 14-9, 14-11 Determining the Type of Inspection, 14-1 Specially Adapted

VA_Guidelines.txt

323d72df-b0fd-4c03-939d-f445de063796

the Type of Inspection, 14-1 Specially Adapted Housing Cases, 14-2 Discontinuing Reliance on Local Third Inspection Stage, 14-7 Inspections, 14-10 VA Reliance on Local Building Inspections, Equal Employment Opportunity 14-10 Requirement, 14-4 Waiving First and Second Stage Inspections, 14-10 Exterior Inspection, 14-7 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP)

VA_Guidelines.txt

9dc640f8-aac9-43c7-af7c-37840bf5f959

15: Lender Appraisal Processing Program (LAPP) Chapter 15

VA_Guidelines.txt

1a4f5144-4c0f-407c-a5ea-893506920b7a

.

VA_Guidelines.txt

6c0407ad-a478-45fc-b98a-9076aad82178

Lender Appraisal Processing Program (LAPP) Overview Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering and to make minor grammatical edits. a.

VA_Guidelines.txt

92e441dd-5826-4fb9-94d3-85a29a7d1b14

Purpose of The purpose of the Lender Appraisal Processing Program (LAPP) is to LAPP speed up the time to loan closing by allowing VA-authorized lenders to receive appraisal reports directly from appraisers and process them without VA involvement. b. How LAPP There are basically four steps in processing LAPP cases.

VA_Guidelines.txt

a601f277-aa74-4811-8b63-fbc50af032f7

Works Stage Description 1 The LAPP lender requests VA assignment of a fee appraiser and a VA loan number (same as any other case) and identifies the case as “LAPP.” 2 The VA-assigned appraiser sends the appraisal report directly to the LAPP lender’s VA-approved staff appraisal reviewer (SAR)

VA_Guidelines.txt

8ae8b5d2-86d9-4927-b8f3-04ca61bd0f31

. 3 The LAPP lender’s SAR reviews the appraisal report for completeness and conformity with industry-accepted appraisal practices and techniques as well as other VA requirements, determines the reasonable value of the property and any conditions which must be met prior to VA guaranty of the loan, and sends the veteran buyer a written notice of the value which includes any conditions or

VA_Guidelines.txt

855431a9-3236-4c21-bf23-cf09836931a4

of the value which includes any conditions or requirements upon which the VA loan guaranty is contingent

VA_Guidelines.txt

2b2c553d-9208-4e71-b02d-6e871fa4b0ec

. 4 The LAPP lender then underwrites and closes the loan on the automatic basis and requests VA guaranty.

VA_Guidelines.txt

862dd033-1383-4ecc-876c-90cb07797faf

Continued on next page 15-1 Continued from previous page 15-1 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) Overview, Continued c.

VA_Guidelines.txt

a760b860-a4d5-4899-ae1b-494fcc16a6c4

In this This chapter contains the following topics: Chapter Topic See Page 15.01 LAPP Eligibility 15-3 15.02 Lender Quality Control System Requirements 15-5 15.03 Applying for LAPP Authority 15-7 15.04 SAR Training and Initial Case Reviews 15-8 15.05 Changes in SAR’s Employment of Lender’s Status 15-12 15.06 Lender Responsibilities Under LAPP 15-13 15.07 LAPP Processing Procedures 15-14 15

VA_Guidelines.txt

cc5ce71d-9798-423e-901c-c14696dfa3ab

.07 LAPP Processing Procedures 15-14 15.08 Affiliates and Agents 15-15 15-2 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.01 LAPP Eligibility Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering and to make minor grammatical edits. a.

VA_Guidelines.txt

59266fc8-0500-475e-b718-6001e8d779ce

Lender VA may grant Lender Appraisal Processing Program (LAPP) authority to any Requirements automatic lender that requests it and meets the qualification criteria outlined in this chapter, including the Lender Quality Control System Requirements. b. Role of Staff The lender exercises its LAPP authority through an employee who is a VA- Appraisal approved staff appraisal reviewer (SAR).

VA_Guidelines.txt

709f6b75-5417-48c4-bc0e-c4cd4ac00cd4

Reviewer c. SAR A lender’s staff appraisal SAR must: Requirements be a full-time salaried employee of the lender, and have at least 3 years of work experience which qualifies him or her to competently perform administrative appraisals reviews in conjunction with underwriting loans for VA loan guaranty purposes. d.

VA_Guidelines.txt

406a57d0-b610-4b3b-9810-4f96a7d9a97f

SAR’s Work The SAR’s work experience must indicate that he or she has: Experience general knowledge of the principles, methods, practices and techniques of Requirements appraising and the ability to apply that knowledge, the ability to review the work of others and recognize deviations from accepted appraisal principles and practices, the ability to detect errors in computations, and ability to

VA_Guidelines.txt

bc1db4ce-eca5-435f-828c-34931143199a

to detect errors in computations, and ability to detect conclusions which are not supported

VA_Guidelines.txt

b0a6927c-8ae9-4185-9fb8-554e0dbd8e29

.

VA_Guidelines.txt

6cfadf23-f29c-4d93-ad9f-ff3d6243a860

It is also desirable for the SAR to have: knowledge of general realty practices and principles related to real property valuation, skill in collecting and assembling data, and ability to prepare clear and concise reports. Note: Three years of experience related to the HUD Direct Endorsement program satisfies the experience requirement provided all other application requirements are satisfied.

VA_Guidelines.txt

e305ac3e-f1ad-446d-a14e-c465d8e9b899

Continued on next page 15-3 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.01 LAPP Eligibility, Continued e. Location of There is no restriction on the location of a lender’s SAR. SAR f.

VA_Guidelines.txt

86850815-ce8c-429e-9ced-6e4b6508e914

SAR f. Geographic Once a SAR has satisfied the LAPP training and initial case review Extent of LAPP requirements (SAR Training and Initial Case Reviews in this chapter), their LAPP authority may be used for properties in any state in which the lender has authority to close loans under the automatic procedure.

VA_Guidelines.txt

f41a4efe-c24f-4c7d-b60a-b5ee935dabd5

If a lender’s automatic authority is extended into a new state, their SAR’s LAPP authority is immediately extended as well. Note: It is the SAR’s responsibility to stay informed about any local VA processing requirements unique to the VA jurisdiction in which a property is located. g.

VA_Guidelines.txt

4713861c-d5f0-47e3-9db2-aaf472dc9e87

SAR There must not be a conflict of interest between the SAR’s role as SAR Conflicts of and any other activities that he or she conducts.

VA_Guidelines.txt

161403f4-6473-49b6-947f-1531249066fb

Examples of other Interest activities which would be a conflict of interest include: SAR is on the VA fee appraisal panel, or SAR is employed by or performs appraisal review services for another lender. 15-4 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15

VA_Guidelines.txt

982c5a14-937e-420d-9fe4-5801c89e477e

.02 Lender Quality Control System Requirements Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering, add hyperlinks, and to make minor grammatical edits. a.

VA_Guidelines.txt

db1329a4-a9c4-4016-a67c-13e64cae1258

Introduction To qualify for LAPP authority, the lender must have an effective quality control (QC) system which ensures the adequacy and quality of its staff appraisal reviews. This QC system must be independent of the lender’s loan production operation. Upon request, the lender must agree to furnish VA with findings and information about the system.

VA_Guidelines.txt

bc602dd8-06e1-4904-8bf0-086b9ffc60ff

The senior officer must certify on each SAR’s Lender's Staff Appraisal Reviewer Application (SAR) Application, VA Form 26-0785, that the QC system meets the requirements detailed in this section. b. QC Reviews of the SARs’ work may be performed by an independent party or Reviewers independent internal audit division which reports directly to the lender’s chief executive officer.

VA_Guidelines.txt

99884f26-ed23-4a27-91a3-4da4d08c9d9e

QC personnel should possess a basic familiarity with appraisal theory and techniques and the ability to prescribe appropriate corrective actions when problems in the appraisal review process are identified. c. Frequency Perform desk reviews of each SAR’s appraisal reviews on a routine basis and Scope of (monthly or quarterly).

VA_Guidelines.txt

152bbea2-d022-4128-868c-037584fcb20a

The sample size should be no less than 5 percent of Reviews the SAR’s LAPP cases processed monthly or a minimum number of cases (for example, five cases). There must be a procedure for expanding the scope of the reviews if a pattern of deficiencies is identified.

VA_Guidelines.txt

5f0431e1-12e3-41d1-90e2-6db14727bc36

Continued on next page 15-5 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.02 Lender Quality Control System Requirements, Continued d.

VA_Guidelines.txt

fd2d0157-1e68-4a9b-840f-a03f94a93b96

QC Review QC reviews should consider the: Criteria overall quality of the SAR’s appraisal review, acceptability of the property in light of VA minimum property requirements, and appropriateness of the reasonable value determination. e.

VA_Guidelines.txt

0e7acc07-096d-42aa-9e06-1393386fb89a

Maintenance The QC system must provide assurance that all current pertinent VA of VA regulations, directives, and other releases are maintained and immediately Publications available to the quality control personnel and SARs. f.

VA_Guidelines.txt

acdab233-c90d-48cc-aa3e-d06be1ea1394

Management The QC system must provide for written notification of deficiencies cited as a Notification result of audits or reviews at least quarterly to the lender's senior management and Corrective or chief executive officer. Action The QC system must require senior management to promptly initiate and document actions to correct deficiencies and provide SARs with corrective instructions. g.

VA_Guidelines.txt

21808ccb-8a11-4503-96d4-c16a3d1cf61f

Review of In addition to reviews of the SARs’ work, random field reviews of VA fee VA Fee Panel panel appraisals should be performed. These reviews can be done by the Appraisals SAR, or an independent appraiser on a contract basis.

VA_Guidelines.txt

6e3faf8a-06bd-45ca-a923-87872e3ed7d3

Note: Formally report any substantive negative findings to the VA Regional Loan Center where the appraiser is a member of the fee panel. 15-6 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15

VA_Guidelines.txt

b24aacb6-bfa7-4a30-8b46-3936b8d80d62

.03 Applying for LAPP Authority Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering, add hyperlinks, and to make minor grammatical edits. a.

VA_Guidelines.txt

2612c2c9-07d4-4d6e-b9c3-2a6397aa1f13

Application Submit a separate Lender's Staff Appraisal Reviewer Application (SAR) and Fees Application, VA Form 26-0785, and fee for each SAR approval request to the VA regional office with jurisdiction over the SAR’s physical location.

VA_Guidelines.txt

f6fcd368-3ebc-490d-a732-13628acdcd06

Legitimate requests to submit the application to a VA office more conveniently located for training and other interactions between the SAR and VA will be considered.

VA_Guidelines.txt

812979d9-40bc-423f-aee5-ad5804ec6efb

For each SAR approval request, include a $100 processing fee plus the information, statements and certifications exactly as detailed on the application, either on lender letterhead or attached to a statement on lender letterhead which references it. The same procedure applies to subsequent requests for VA approval of additional SARs. b.

VA_Guidelines.txt

a85091de-ad0e-45cf-9575-5d5e1634c4fc

Notification The VA regional office will review the application materials submitted and of VA Decision notify the lender of its decision as quickly as possible. If VA determines that the SAR meets basic LAPP qualification requirements, it will inform the lender that the SAR must fulfill the SAR Training and Initial Case Review requirements detailed in this chapter. c.

VA_Guidelines.txt

21c94683-f77f-47e3-a965-247776e4c050

SAR ID The notice from VA will provide a permanent ID number for each SAR Number approved.

VA_Guidelines.txt

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The SAR always retains the same ID number, even if he or she goes to work for another lender and is approved as a SAR for that lender. 15-7 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15

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.04 SAR Training and Initial Case Reviews Change Date June 28, 2010, Change 14 This section has been updated to add subsection lettering, add hyperlinks, and to make minor grammatical edits. a.

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Training The Staff Appraisal Reviewer (SAR) may not begin performing appraisal and Case reviews independently after VA’s notification of approval until he or she Review fulfills VA training requirements and VA initial case review requirements. Requirements Generally, VA staff will train the SAR and then conduct the initial case reviews. b.

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Exceptions The following are the three exceptions to the SAR training and initial case to Training and review requirements: Case Review Requirements SAR Training During or After Case Reviews The lender may request that the training be conducted during or after the case review requirement.

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SAR With Prior LAPP Experience The lender may request a waiver of the training and case review requirements for a SAR who previously satisfied those requirements while employed by another LAPP lender, and has satisfactorily processed LAPP cases within the last year.

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Experienced SAR to Train and Supervise New SAR The lender may request that one of its experienced SARs train and review the initial cases of a new SAR. The experienced SAR must: have full LAPP authority and be performing acceptably, provide adequate training to the new SAR, and review and ensure the acceptability of the new SAR’s initial LAPP cases.

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Continued on next page 15-8 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.04 SAR Training and Initial Case Reviews and Initial Case Reviews, Continued c.

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Training and Once the training and case reviews are acceptably completed, the lender’s Case Reviews senior officer must send the VA office a signed and dated notice which Completed by includes Experienced SAR the name and SAR ID number of both the trainee and trainer, and a letter stating that the training covered all VA LAPP requirements, and the trainer reviewed at least five cases successfully

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trainer reviewed at least five cases successfully completed by the trainee

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Note: The letter must include the VA case numbers for at least five cases. d. Training by If the training and case review requirements are not waived by VA or VA Staff completed by an experienced SAR upon receipt of VA’s notification that the SAR meets the basic LAPP qualification requirements, the lender must call that VA office to arrange for SAR training.

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VA will normally provide the training at the VA office (but may provide it in meetings or seminars at other locations in conjunction with scheduled VA field travel) and within 30 days. At a minimum, the training by VA staff should consist of a 1 day session to discuss LAPP processing procedures and guidelines and any local VA office requirements and conditions.

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Note: Due to the need for consistency between VA offices nationwide, each office is expected to limit local requirements and conditions to only those that are essential. Continued on next page 15-9 VA Pamphlet 26-7, Revised Chapter 15: Lender Appraisal Processing Program (LAPP) 15.04 SAR Training and Initial Case Reviews and Initial Case Reviews, Continued e.

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Procedure Each SAR’s first five cases must be processed as described in the table below for Case Stage Description Reviews 1 SAR fully reviews the fee appraiser’s report. 2 SAR determines the reasonable value of the property. 3 SAR drafts a notice of value (NOV) to the veteran purchaser.

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Note: SAR should not send it to the veteran purchaser. 4 VA staff or an experienced SAR with VA permission reviews the following items: the NOV, the appraisal request, the appraisal report, and any related documents

VA_Guidelines.txt

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. 5 If the SAR’s work on the case is acceptable VA staff will issue a NOV to the lender within 5 work days of receipt of the package, or The experienced SAR reviewer will also update and sign the SAR certification and mail the NOV to the veteran purchaser.

VA_Guidelines.txt