Kentucky VA Mortgage Guidance for Covid-19 in regards to Appraisals and Income.

Reference:
VA Circular 26-20-10, Lender Guidance for Borrowers Affected by COVID-19

VA Circular 26-20-11, Valuation Practices during COVID-19

Kentucky Mortgages for VA published guidance for lenders during the current market environment.:

Appraisal Guidance

VA’s temporary appraisal flexibilities announced in Circular 26-20-11. If appraisal flexibility is needed, when placing the appraisal order, the originator (broker or other) must make a public note in WebLGY and send an email to the appraiser once assigned that states that a Desktop Appraisal will be accepted by the lender. Originators should review and become familiar with the specific criteria to take advantage of the flexibilities.

Income Guidance

VA loans to take advantage of the alternative reverification forms as stated below only.

• Email from the employer’s work email address that identifies the name and title of the verifier and the borrower’s name and current employment status in lieu of the verbal OR
• YTD paystub from the pay period that immediately precedes the Note date OR
• Payroll deposit on the bank statement evidencing the payroll deposit from the pay period that immediately precedes the Note date