VA loans have majorly streamlined since a decade ago. The minimal red tape that remains is often justified; VA seeks to protect its veterans.
For the first time that I recall, the VA is looking for public comment about their Local Requirements, also known as Minimum Property Requirements or MPRs (PDF). These include anything from required termite inspection reports to state-specific nuances. In 18 years of lending, this is the first time that I have seen VA requesting feedback and that opening is only good for a couple more weeks. VA's official notice is here:
To Realtors and lenders: you either have experience with VA's Local Requirements or you will have experience with them. Even if your comment simply asks VA to follow other agencies' loan program requirements, it's worth submitting. Check out the "Summary" paragraph of the official notice above. The VA is asking if simplifying their guidelines is something worthwhile.
Since these are public comments, you're open to craft or adapt your submission based on others' sentiments. There are currently few comments and the direct URL for this feedback page was difficult to find. My wasted time is now yours to command. I hope to see this page filled with hundreds of comments by its closing date.
Ask yourself, "Do VA's local requirements represent best practices for purchasing real estate in my state?"
While lenders and Realtors likely have more experience with VA guidelines, feedback from veterans is even more important. This includes:
- Veterans who have purchased houses (did you use VA financing?)
- Veterans who intend to purchase a house (is anything holding you back?)
- Veterans' spouses. It's public comment, anyway, so cousins and in-laws are also welcome participants.
VA's termite damage risk coverage map is based on a 2006 study by USDA Forest Service (PDF p5). Based on where you live, is the risk severity of wood-destroying insect (termite) damage accurately reflected in this map? You're welcome to dig up my comment about that subject on their site.
We have almost no opportunities to publicly comment on loan programs of government agencies. The VA creating this opening speaks positively to their desire to improve lending programs for veterans in 2024. Please take a minute to share your experience and opinions with the VA.