VA Loans

VA Appraisal vs. Home Inspection: What Is the Difference?

The VA appraisal protects the lender and checks minimum property requirements. A home inspection protects you. Why VA buyers need both.

“Doesn’t the VA inspect the house?” It is one of the most common questions VA buyers ask, and the honest answer is no, not in the way most people mean. The VA appraisal and a home inspection look at the same house for very different reasons, on behalf of different people. Understanding the difference helps you avoid paying for a problem you could have caught before closing.

What the VA appraisal does

The VA appraisal is required for every VA purchase. Your lender orders it, and the VA assigns an independent, VA-approved appraiser. You cannot pick the appraiser, and neither can your agent.

The appraiser answers two questions:

  1. Is the home worth what you agreed to pay? The appraiser compares the home to recent similar sales nearby and issues a value.
  2. Does the home meet the VA’s Minimum Property Requirements (MPRs)? These are basic standards that the home be safe, structurally sound and sanitary. Typical items include a roof with remaining life, working heat, safe water supply, functioning electrical, handrails where needed, and no peeling paint on older homes where lead paint may be present.

If the home falls short on an MPR, the appraisal will usually call for a repair before the loan can close. That protects you to a degree, but the appraisal’s main job is to protect the lender and the VA’s guaranty. It is a visual review, not a detailed evaluation of every system.

What a home inspection does

A home inspection is optional under VA rules, but strongly recommended. You choose and pay for a licensed home inspector, who works for you. A typical inspection takes a few hours and results in a detailed report with photos covering:

  • Roof covering, flashing, gutters and visible attic framing and insulation
  • Furnace, water heater, and air conditioning or evaporative cooler operation
  • Electrical panel, wiring, outlets and GFCI protection
  • Plumbing supply and drain lines, fixtures and visible leaks
  • Foundation, grading and drainage around the home
  • Windows, doors, appliances and safety items like smoke detectors

The inspector is looking for anything that could cost you money or affect safety, whether or not it would matter to an appraiser. That report is what you use to decide whether to ask for repairs, request a credit, or walk away within your due diligence period.

Side-by-side comparison

TopicVA appraisalHome inspection
Required?Yes, for every VA purchaseNo, but strongly recommended
Who chooses the professionalThe VA assigns the appraiserYou choose the inspector
Who it primarily protectsThe lender and the VAYou, the buyer
Main purposeMarket value and Minimum Property RequirementsCondition of the home’s systems and components
DepthVisual check of basicsDetailed, system-by-system review
Who typically paysBuyer (can be covered through seller-paid closing costs)Buyer, usually at the time of inspection
What happens with findingsRequired repairs must generally be completed before closingYou decide what to negotiate or whether to cancel within due diligence

A home can pass the VA appraisal and still need a new water heater next year, a sewer line repair or a furnace replacement. The appraisal is not designed to find those things. The inspection is.

The termite (WDI) inspection in Northern Nevada

There is a third report on most VA purchases here: the wood-destroying insect (WDI) inspection, often called a termite inspection. It is required for VA purchases in Washoe, Lyon and Churchill counties, as well as Carson City, Douglas and Storey counties and several others in Nevada. That covers most of the places VA buyers look around Reno, Sparks, Fernley and Fallon.

Since June 2022, the VA allows the buyer to pay for the WDI inspection, so it no longer has to be a seller cost. Who pays is simply negotiated in the contract. If the inspection finds active infestation or damage, treatment or repair is typically required before closing.

How they fit into your timeline

Once your offer is accepted, the home inspection and WDI inspection usually happen first, early in your due diligence period. The lender orders the VA appraisal around the same time, and it often comes back after the inspection. That order is helpful: you can negotiate inspection items while you wait, and you will know about any VA-required repairs before you are too far along.

If the appraisal comes back below the contract price, you have specific protections. See what to do when a VA appraisal comes in low. For the full sequence of events, the Reno VA home buying timeline walks through each week from offer to closing.

What tends to come up on Reno-area homes

Every home is different, but Northern Nevada’s high-desert climate creates some recurring themes:

  • Roofs. Strong sun and winter snow shorten roof life. Aging roofs come up on both inspections and appraisals.
  • Heating and cooling. Older homes may have original furnaces or evaporative (swamp) coolers that need service or replacement.
  • Older neighborhoods. Homes in older parts of Reno and Sparks may need a sewer scope and may raise peeling-paint MPR issues if built before 1978.
  • Radon. Many buyers in Washoe County add a radon test to their inspection. It is inexpensive and gives you useful information.
  • Wells and septic. Homes on the rural edges of the North Valleys, Lyon County or Churchill County may have a private well or septic system, which can require additional testing. Your lender will confirm what the VA appraisal needs.

If you want a broader overview of how the VA process works here, start with the guide to buying with a VA loan in Reno. And if you are buying before you arrive on orders, remote inspections with video walkthroughs are common; see the PCS relocation guide for Reno.

The bottom line

The VA appraisal protects the lender by confirming value and basic safety standards. The home inspection protects you by showing you the real condition of the house. In Northern Nevada, you will also have a required termite inspection. Plan on all three, schedule the inspections early, and use what you learn before your due diligence period ends.

Have questions about buying with your VA loan in Northern Nevada? Call or text Alex.

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Alex Baltensberger is a licensed Realtor with Dickson Realty, not a mortgage lender, and is not affiliated with or endorsed by the U.S. Department of Veterans Affairs or any branch of the military. This page is general information, not lending, legal or tax advice. Loan eligibility, rates, fees and approval are determined by your lender and the VA; confirm the details of your situation with a licensed loan officer.

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