ROV on a refinance for the VA.

[Tru Red]

Since I started doing VA work in 2004 I've never had an ROV on a refinance for a VA appraisal.
I have now........and wondering if this happens a lot out there?
Here are some facts:
In box 34 on the VA Form 26-1805 "REFINANCING AMOUNT OF PROPOSED LOAN" they wrote $250,000. The lender was hoping for at least this amount in order to complete their loan.
My opinion of value was submitted at $290,000 or 13.8% above.
Let me state I do not care what amount (if any) is placed in box 34. My opinion of value is always what it is.
What I came to find out was the home owner thought the value was TOO LOW and sent the lender comparable's for me to consider from a local magazine that showed some completed sales.
I'm told the homeowner was just upset my opinion was about $50,000 lower than what they thought.
Are appraisers getting challenged on their value opinions for a refi even if their way over what the lender needs?
I thought this was one of the most ridiculous requests I'd ever seen (and waste of time).

 

[glenn walker]

Since I started doing VA work in 2004 I've never had an ROV on a refinance for a VA appraisal.
I have now........and wondering if this happens a lot out there?
Here are some facts:
In box 34 on the VA Form 26-1805 "REFINANCING AMOUNT OF PROPOSED LOAN" they wrote $250,000. The lender was hoping for at least this amount in order to complete their loan.
My opinion of value was submitted at $290,000 or 13.8% above.
Let me state I do not care what amount (if any) is placed in box 34. My opinion of value is always what it is.
What I came to find out was the home owner thought the value was TOO LOW and sent the lender comparable's for me to consider from a local magazine that showed some completed sales.
I'm told the homeowner was just upset my opinion was about $50,000 lower than what they thought.
Are appraisers getting challenged on their value opinions for a refi even if their way over what the lender needs?
I thought this was one of the most ridiculous requests I'd ever seen (and waste of time).

Thats a new one my guess is the borrower has now decided to take some extra cash out or he has a buyer lurking in the back ground and he/she wants to use your appraisal as a starting point to negotiate a listing or sales price. OR the borrower is just one of these people who wants to be right. Anyway my guess is its all about the borrower wanting to get more cash out.

 

[Tru Red]

Thats a new one my guess is the borrower has now decided to take some extra cash out or he has a buyer lurking in the back ground and he/she wants to use your appraisal as a starting point to negotiate a listing or sales price. OR the borrower is just one of these people who wants to be right. Anyway my guess is its all about the borrower wanting to get more cash out.

Thanks Glenn. They don't want more cash....or any cash. Just a better rate.

My question is just trying to see if this is something that is going on out there or have I just been lucky and never had a truly stupid request like this.

 

[Proactive]

Have you called your RLC?

I'm wondering if the Phoenix RLC handles ROV requests differently than Denver. When I get an ROV request from the lender, I refer them to our RLC. VA staff handles all ROV requests, not the appraisers. At least it's been that way for some time. I haven't had one recently to know for sure.

Good luck!

 

[Tru Red]

Have you called your RLC?

I'm wondering if the Phoenix RLV handles ROV requests differently than Denver. When I get an ROV request from the lender, I refer them to our RLC. VA staff handles all ROV requests, not the appraisers. At least it's been that way for some time. I haven't had one recently to know for sure.

Good luck!

First ROV I've had in at least 3 years. I've since found out even the lender........did not want to request it. They did it to make the borrower happy. The borrower thought their house should be worth more....because the neighbors home that is much larger in square footage just sold for a lot more.
I explained to this lender she probably should have explained how it made ZERO difference. All it did was waste my time and the lenders.
When I had my last ROV I handled it by responding to the questions. Same thing I did here.

 

[Proactive]

Found it. Chapter 10, page 10-33.

 

[Tru Red]

Found it. Chapter 10, page 10-33.

View attachment 53067

This was an IND loan so the VA had to review it anyways.
The NOV was issued almost 3 weeks ago.
Handling the ROV was not really my question.
It was: do many VA appraisers get ROV's on Refi's, especially when they come in way over what the lender needed.
Thanks again!

 

[Terrel L. Shields]

I've never been told what the lender needs...

 

[Proactive]

Sorry, my bad. I was under the impression some forum appraisers (not you in particular) were unaware that VA staff handles ROV requests. I wasn't sure if there had been a change, so I looked it up and posted the applicable section.

To answer your original question, no.

 

[RSW]

I got one several months ago during the COVID-19 protocol. The VA had suspended all ROVs on refis during that time. The Lender kept trying to get me to look at the comps. I told them they had to send them to the VA and they had suspended ROVs. Never heard back from them again.