VA Appraisals Have a Reputation – Let’s Clear It Up

If you’re buying a home with a VA loan, chances are you’ve heard at least one of these:

• “VA appraisals are super strict.”
• “VA loans scare sellers.”
• “The appraisal will kill the deal.”

I hear these concerns all the time from military buyers – especially first-time buyers or those PCSing into a new market.

The reality?
👉 Most VA appraisals go smoothly, especially when buyers understand the process and have the right team guiding them.

Let’s break down what a VA appraisal actually is, what it’s not, and how to avoid surprises along the way.

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What Is a VA Appraisal, Really?

A VA appraisal serves two primary purposes:

1. Determine fair market value of the home
2. Ensure the property meets the VA’s Minimum Property Requirements (MPRs)

Unlike a home inspection, a VA appraisal is not about cosmetic perfection. It focuses on:

• Safety
• Structural soundness
• Basic habitability

The goal is to protect you as the buyer, not to make the transaction more difficult.

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How VA Appraisals Differ From Conventional Appraisals

VA and conventional appraisals both establish value, but VA appraisals include an extra layer of consumer protection.

Key differences:

• VA appraisers look for health and safety issues
• Certain repairs may be required before closing
• The VA appraisal stays with the property for a set period of time

What doesn’t change:

• The appraiser is independent
• Value is driven by comparable sales
• Market conditions still matter

A VA appraisal isn’t “harder.”
It’s simply more protective.

Want to connect the dots between your VA loan and affordability? Here’s how What BAH can realistically support in San Antonio ties into your buying plan.

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Why VA Appraisals (and VA Loans) Are Commonplace in San Antonio

One important thing military buyers should know is that San Antonio is not a typical VA loan market.

Over a five-year period leading up to mid-2024, the San Antonio–New Braunfels metro area ranked third nationally for VA loan purchase volume, with more than 24,000 VA loan purchases during that timeframe.

Military presence plays a major role here. Nearly one in eight San Antonio homebuyers has military ties, which means VA loans aren’t unusual – they’re expected.

To put that in broader context:

• VA loans accounted for 10.2% of all newly originated home loans nationwide in 2022
• Texas led the nation in VA loan recipients in 2023, with more than 43,000 VA loans statewide

What this means for buyers is simple but important:

In markets where VA loans are rare, sellers may hesitate because they’re unfamiliar with the process. San Antonio is different. VA loans are widely understood by sellers(many of them are military connected themselves), listing agents, and builders – especially in areas near JBSA.

If you’re buying on a tight relocation window, PCS strategy matters more than most buyers think.

Because of that, I don’t personally see the same level of resistance or bias against VA offers that people sometimes experience in other parts of the country.

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Common VA Appraisal Issues (and Why They’re Usually Fixable)

Most VA appraisal issues fall into a few predictable categories.

🔧 Safety & Habitability Items

These are the most common and usually the easiest to address:

• Peeling paint on older homes
• Missing handrails
• Exposed wiring
• Non-functioning utilities

In many cases, these are simple repairs, not deal-breakers.

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🏚️ Roof, Foundation, or Structural Concerns

If something more serious is flagged, it’s often something buyers should know about anyway.

At that point, options may include:

• Seller repairs
• Renegotiation
• Or deciding the home isn’t the right fit

None of these outcomes are inherently bad, they’re part of informed decision-making.

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💲 When Value Comes in Low

A low appraisal can happen with any loan type, not just VA.

If it does, buyers may:

• Renegotiate the purchase price
• Request a Reconsideration of Value
• Adjust terms
• Or walk away if the numbers no longer make sense

This is where experience and strategy matter most.

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How Military Buyers Can Avoid VA Appraisal Surprises

Most appraisal problems are preventable before the appraisal is ever ordered.

Here’s how to stay ahead of them:

✔ Choose the Right Home

Not every home is a great VA candidate. An experienced agent helps identify potential red flags early.

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✔ Price the Offer Strategically

Overpaying increases appraisal risk. Solid comparable sales matter more than emotion. If you’re newer to the process, check out my article – Top 5 Mistakes First-Time Homebuyers Make.

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✔ Avoid Homes With Deferred Maintenance

Cosmetic updates are fine. Safety and habitability issues are not. Knowing the difference saves time and stress.

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✔ Work With a VA-Savvy Team

VA appraisals tend to go smoothly when:

• Your lender understands military pay and PCS timing
• Your agent understands VA requirements and local norms
• Communication happens early, not after issues arise

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How Common VA Appraisal Issues Are Handled Before the Appraisal

One thing I explain to my VA buyers early on is that many of the most common VA appraisal issues can be identified and addressed before the appraiser ever steps foot on the property.

In San Antonio, the issues I most often see flagged on VA appraisals are not major structural problems – they’re usually maintenance-related items, such as:

• Wood rot, especially on trim or exterior fascia
• Wood-to-ground contact, commonly on decks or fencing
• Foliage or tree branches touching the home

These aren’t unusual in our market, and they don’t automatically mean a deal is in trouble.

This is where the option period becomes especially important.

During that window, I work with my clients to:

• Identify these common issues early
• Discuss them with the seller before the appraisal
• Negotiate repairs or remedies upfront when appropriate

Pre-negotiating items like wood-to-ground contact can also create meaningful cost savings for buyers. When these issues are handled early, sellers are often able to address them more efficiently — which can prevent buyers from facing last-minute repair demands that sometimes cost thousands of dollars if addressed under tight appraisal timelines.

By resolving likely VA concerns during the option period, we can often:

• Prevent repair items from appearing on the appraisal
• Avoid last-minute renegotiations (which can be stressful for all parties)
• Reduce buyer out-of-pocket costs
• Keep the transaction moving smoothly toward closing

This proactive approach helps protect both the deal and the buyer’s budget.

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VA Appraisal Myths (Let’s Retire These)

❌ “VA appraisals always require repairs”
✅ Most do not.

❌ “VA buyers can’t compete with conventional buyers”
✅ In San Antonio, VA loans are common and widely accepted. Strong offers win – especially with knowledgeable representation.

❌ “The appraisal controls the deal”
✅ Preparation and strategy do.

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The Bottom Line

A VA appraisal isn’t something to fear – it’s something to prepare for.

When you:

• Understand the process
• Choose the right home
• Price intelligently
• Work with professionals who know VA loans

…the appraisal becomes a checkpoint, not a roadblock.

Military buyers already juggle PCS timelines, logistics, and family transitions. Your appraisal shouldn’t add unnecessary stress.

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If you’re buying with a VA loan and want help choosing the right home — and avoiding appraisal surprises — I’m happy to walk through it with you. Schedule a buyer consultation and let’s make sure you’re set up for success.

Jennifer Anderson is a San Antonio Realtor and military spouse who focuses on educating VA buyers and military families about using VA loans successfully – particularly in far west San Antonio neighborhoods. She combines local market knowledge with clear, practical guidance to help VA buyers make confident decisions.