The Department of Veterans Affairs (VA) has announced that it will be adopting the appraisal reporting requirements of the Uniform Appraisal Dataset (UAD) for appraisals reported on the 1004, 2055, 1073 and 1075 forms, effective January 1, 2012.
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In issuing Circular 26-11-14, VA has done what many industry observers were predicting – they are following HUD/FHA’s lead in adopting UAD and giving lenders, appraisers, and others additional time to prepare for the new requirements.
Like HUD/FHA, VA will permit appraisers to comply with UAD reporting requirements at this time, but compliance will not be mandatory until January 1, 2012.
Circular 26-11-14 also announced that VA is rescinding several current VA-specific reporting requirements as part of the adoption of UAD.
The requirement that only “Department of Veterans Affairs” be entered into the “Lender/Client” field of the forms is rescinded. Instead, the lender’s name will be entered in this field, as well as the “Department of Veterans Affairs” as the Client of this field.
The requirement that “Intended User: Any VA Approved Lender” be entered into the “Address” field for the lender is also rescinded. The appraiser is instructed to enter the client’s address in this field.
Finally, the requirement that “Any Qualified Veteran” be entered in the “Borrower” field has been replaced by the requirement for the appraiser to enter the name of the Veteran/Purchaser in this field.
VA panel appraisers were informed of these new requirements via email notifications from the VA Regional Loan Centers (RLCs).
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