VA – Temporary COVID-19 Guidance is Discontinued
NewRez LLC "NewRez" Approved Correspondent Clients: please note, the VA has announced the discontinuation of the temporary COVID-19 guidance for valuation practices and income verification that were communicated in VA Circulars 26-20-10 and 26-20-13 and implemented by NewRez Announcements 2020-023 and 2020-026.
The termination of the temporary valuation guidance is effective with appraisals ordered on or after April 3, 2021 and the termination of the temporary income verification guidance is effective immediately.
Below is the summary of the guidance that was implemented in response to the COVID-19 National Emergency Declaration and now has been rescinded:
Appraisal Valuation Practices and Inspections
- Exterior-only inspection reports
- Desktop Appraisals
- Repair completion certifications
- Purchase and Cash-out restrictions to Reconsideration of Value (ROV) Requests
- Veteran and Seller-Realtor certifications in lieu of actual termite inspection reports
- Waiver of water quality tests for private wells on certain cash-out refinances
Income Verification
- Use of emails from employer or other alternative methods when a verbal VOE cannot be obtained within 10 business days of closing due to temporary closure of business office or facility.
Please refer to the NewRez Underwriting Guide, Chapter 3J, Appraisal Requirements and Chapter 3I, Employment and Income, for current VA underwriting policy and guidelines.
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