> ![](media/image1.jpeg){width="1.020138888888889in"
> height="1.0069444444444444in"}**ATLANTA REGIONAL LOAN CENTER
> CONSTRUCTION AND VALUATION FEE PANEL NEWSLETTER**
>
> **Volume 2, Issue 1 December 19, 2007**

**Hope you are having a joyous holiday season. The purpose of this
newsletter is to keep our fee panel appraisers updated on the happenings
of the Construction and Valuation section of the Atlanta VA Regional
Loan Center (RLC) as well as policy changes. Items printed in italics
should be considered policy and supersede other previously established
guidelines. If you have any comments please contact one of the
representatives at our office. May you all have a happy and prosperous
new year.**

This newsletter covers more information than our previous newsletters.
There are several policy changes and numerous links to additional
information and circulars in this edition. Please continue to provide
feedback so we can work together to provide our veterans the service
they deserve.

> **Revision to VA Pamphlet 26-7**
>
> **You will be expected to comply to the following revisions beginning
> January 1, 2008.** The VA

Lender\'s Handbook is intended for program participants for whom it is
important to know the construction and valuation aspects of VA lending.
Chapter 11, Appraisal Requirements, of the handbook was revised July 20,
2007. The handbook can be found online at:

> [http://www.warms.vba.va.gov/pam26 7.html]{.underline}. There are
> several major changes that you need to be aware of as a result of the
> revision.

-   *When interior access can not be gained for liquidation\
    appraisals (LGI or LPL) the **Exterior-Only Inspection\
    Residential Appraisal Report,** Freddie Mac Form\
    2055/Fannie Mae Form 2055 must be used.*

-   *Building perimeter sketches showing the \"footprint\" of\
    all improvements, **including floor plan layout of\
    residential spaces (approximate room locations).** The*

> *calculation for the square foot size of the improvements must also be
> shown either here or in the \"Comments on Cost Approach\" section of
> the URAR.*

-   *An **itemized list of any observed repairs** required to be\
    completed, customer preference items to be installed,\
    inspections to be performed, or conditions to be\
    corrected, for the property to meet VA minimum\
    property requirements.*

-   *The requirement has been removed for the appraiser to\
    report any permanently installed, or to be installed,\
    unvented fireplace or other unvented space heater that\
    uses liquid or gaseous fuel.*

As stated, these are only a few of the changes as a result of the latest
revision to the VA Lender\'s Handbook. **You are strongly encouraged to
read chapters 9 through 13 of the handbook to stay abreast of VA
policies and procedures.**

> **Annual Fee Appraiser Training**
>
> On December 7, 2007, Central Office provided a nationwide broadcast to
> serve as an annual update on policies and procedures for members of
> the Fee Appraiser Panel as well as Staff Appraisal Reviewers (SARs)
> and RLC staff. The broadcast will be available in streaming video
> format for several weeks. You can access the broadcast online at:
>
> [http://www.homeloans.va.gov/broadcast.htm]{.underline}. The broadcast
> is spearheaded by Gerald Kifer, Supervisory Appraiser, in Central
> Office and is around 2.5 hours long.
>
> **Appraisal of Proposed or Under Construction Properties from Model
> Homes**

The purpose of circular 26-07-3, dated November 30, 2007, is to announce
that appraisers are now authorized to use model homes, in lieu of
construction exhibits (plans and specifications), to appraise \"Proposed
or Under Construction\" properties, as defined in Chapter 10 of the VA
Lender\'s Handbook. The circular is available on line at:
[http://www.homeloans.va.gov/circulars/26 07 3.pdf]{.underline}

> **Valuing Properties During Periods of Declining Market**

The purpose of circular 26-07-4, dated November 30, 2007, is to reaffirm
VA\'s requirement that the appraised value, for a property that will
become the security for a VA guaranteed loan, must reflect the current
fair market value. VA has historically required VA fee appraisers to
provide a value estimate in accordance with VA\'s regulatory definition
of reasonable value (38 CFR 36.4301), \"that value which represents the
amount a reputable and qualified appraiser, unaffected by personal
interest, bias, or prejudice, would

recommend to a prospective purchaser as a proper price or cost in light
of prevailing conditions.\" During periods of rapidly increasing or
declining real estate values, it may become more difficult to establish
an estimate of the current fair market value. The circular is available
on line at: [http://www.homeloans.va.gov/circulars/26 07
4.pdf]{.underline}

> **Email Issues**

Due to increased security within the VA all emails sent from VA must
include a digital signature. Many appraisers using Outlook Express
experience problems when trying to respond to our emails. The technical
solution is to go to the Tools menu in Outlook and uncheck the box
labeled: *Digitally Sign Outgoing Mail.* The non-technical solution is
to copy the subject and body of the email from VA and paste it into a
new email message created in your system.

> **Reconsideration of Value Issues**

As a reminder you must comply with VA Circular 261-04-05, New Procedures
for Improving Communication with Fee Appraisers and Streamlining
Reconsiderations of Value
([http://www.vba.va.gov/ro/atlanta/rlc/INFO/261-04-05.htm]{.underline}).
This circular gives you explicit directions for handling cases where it
appears the appraised value will be below the sales price for the
subject property, as well as instructions for handling value appeals
after the Notice of Value has been issued.

> **Contact Information**
>
> The latest contact information can always be found online
> ([http://www.vba.va.gov/ro/atlanta /rlc/contact.htm]{.underline})

RLC fax - 404-929-5392

RLC phone - 888-768-2132

RLC email - 16/correspondence@vba.va.gov

+-----------------------+-------------------------------+--------------+
| Staff                 | > Terminal Digits             | Ext          |
+-----------------------+-------------------------------+--------------+
| Andrew Plyler         | > 00-09                       | 5486         |
+-----------------------+-------------------------------+--------------+
| Marie Arnold          | > 10-19                       | 5394         |
+-----------------------+-------------------------------+--------------+
| Tom Watson            | > 20-28                       | 5406         |
+-----------------------+-------------------------------+--------------+
| Herbert Fenster       | > 29-36                       | 5415         |
+-----------------------+-------------------------------+--------------+
| Marilyn Evans         | > 37-44                       | 5416         |
+-----------------------+-------------------------------+--------------+
| DeLloyd Wilson        | > 45-54                       | 5381         |
+-----------------------+-------------------------------+--------------+
| Tim Greer             | > 55-63                       | 5475         |
+-----------------------+-------------------------------+--------------+
| Maria Sanders         | > 64-73                       | 5383         |
+-----------------------+-------------------------------+--------------+
| Lucius Gundy          | > 74-82                       | 5384         |
+-----------------------+-------------------------------+--------------+
| Don MacDonald         | > 83-91                       | 5382         |
+-----------------------+-------------------------------+--------------+
| Lia Solursh           | > 92-99                       | 5385         |
+-----------------------+-------------------------------+--------------+

> Assistant Valuation Officer Gerald Williams 5389

Valuation Officer Randy Rudeseal 5386

> **Month/Year Complete on New Homes**

Although not a requirement in the \'Year Built\' field of the appraisal
form we ask that you provide the month and year (mm/yy) completed for
all new homes. This information is relevant to the reviewer when issuing
the VA Notice of Value (NOV). If you are unable to determine the month
built on new homes you may enter a question mark (?/yy) so the reviewer
is aware you are unsure of the month completed.