Selling to a VA buyer in Delaware: what sellers should know

VA home loans are backed by the U.S. Department of Veterans Affairs and are available to eligible veterans, service members and some surviving spouses. The loan has its own appraisal rules, but the buyer is financed by a lender like any other. Knowing the steps helps you compare a VA offer fairly with other offers and avoid surprises after you sign. Buyers can read the other side in buying a home in Delaware with a VA loan.

The lender orders an appraisal from an appraiser the VA assigns. Besides the value, the appraiser checks the home against the VA’s minimum property requirements, which focus on whether the home is structurally sound, sanitary and free of hazards. Items that can come up:

• Peeling or chipping paint on older homes
• Missing handrails on stairs
• Roof problems
• Broken windows
• Heating, water or electrical systems that don’t work

If the appraiser calls for repairs, they usually must be finished before settlement.

• Scrape and repaint any peeling paint, inside and out
• Add handrails where stairs have none
• Fix broken glass, leaks and anything not working
• Have service records ready for the roof, heating and cooling, and any well or septic system

Fixing these before you list can save days later, and it helps with every buyer, not only VA buyers.

If the VA appraisal comes in below the contract price, the buyer can still go ahead by paying the difference in cash, the price can be renegotiated, or the buyer’s lender can ask the VA for a reconsideration of value with sales the appraiser may have missed. We prepare comparable sales in advance, through a comparative market analysis, so a well-priced home is easier to support.

VA rules limit which closing fees the buyer can pay, so buyers often ask the seller to cover part of their costs. According to VA.gov, the VA does not limit credits for the loan’s closing costs, but it limits seller’s concessions to no more than 4% of the home’s reasonable value, the figure on the VA Notice of Value. VA.gov lists credits toward the VA funding fee, paying off the buyer’s debts, and prepaying the buyer’s hazard insurance as examples of concessions. The buyer’s lender confirms what counts for your sale. We show your estimated net for every offer, so you can compare a VA offer that asks for help with costs against other offers.

VA buyers usually schedule a home inspection like any other buyer. The VA also requires wood-destroying insect (termite) information for homes anywhere in Delaware; who orders and pays for it is set in the contract, and the buyer’s lender confirms the details. Plan for a contract period similar to other financed sales. The appraisal is the step most likely to add time, so we stay in touch with the buyer’s lender and agent from day one. See the full Kent County selling timeline.

We price the home with every financing type in mind, flag likely appraisal items before you list, compare every offer on your net, and keep the appraisal and repair dates on track through settlement. Start with a free home value.