When it comes to offering an opinion of ‘good or bad’ on HR 7735 — the VA modernization bill — and its ultimate ability to create a better appraisal process for veteran and active duty borrowers, it’s simply too early to tell with too little information being shared on exactly what changes we should expect.
But, we might also pull from wisdom of the ages: “If it ain’t broke, don’t fix it.”
Simple enough axiom, and one many military or rural readers may be able to relate to. Veterans are certainly familiar with the saying as many of the techniques, tactics, and procedures (TTP) for warfare have changed little over the years.
That said, modernization is a good thing as well and should never be feared. After all, Marines aren’t fighting wars atop horses with bows and arrows as they did in Sun Tzu’s day. My hope is that many of the features and policies that have made the VA loan the safest mortgage in the U.S. remain intact while updating some of the systems and processes that make it antiquated, inefficient and costly for the veteran.
While I’m a fan of improving antiquated systems, I first wonder if the VA, the MBA, or Congress were open enough about the problems with the current system. To my knowledge, there were never any open statements backed with any sort of data or analysis to prove the deficiency of the VA appraisal.
Personally, tracking the occurrences of over 2,700 VA loans through Vetted VA for 2021, I can tell you that professionals — who truly know the VA loan — don’t hate the current VA appraisal process. We don’t believe it is slower than other appraisals, nor does it need massive change as a generality.
It may be that many of the loan originators and real estate agents calling for major changes to the VA appraisal process are be those with the least amount of first-hand experience with the VA product.
So what’s good, what’s bad, and what’s ugly?
To begin with, I applaud…