Zillow Advice: Buying Process - I have a Pre-approved VA loan. Why must I pay an appraisal fee? http://www.zillow.com/advice-thread/I-have-a-Pre-approved-VA-loan-Why-must-I-pay-an-appraisal-fee/253453/ Zillow Advice | Zillow Real Estate As of May 2009 rules have ... http://www.zillow.com/advice-thread/I-have-a-Pre-approved-VA-loan-Why-must-I-pay-an-appraisal-fee/253453/ As of May 2009 rules have changed regarding appraisals.&nbsp; Now most banks must use a lottery system for appraisals to keep the playing field even.&nbsp; The appraisal must be paid for up front to assure the appraiser is going to get paid regardless of whether the transaction is finalized.&nbsp; It is a precautionary measure that allows the appraiser to be paid by the buyer, that way the bank is not stuck with appraisals that were never paid for because a transaction fell through....<br/><br/>NC Realtor<br/> Tue, 07 Jul 2009 02:08:00 GMT http://www.zillow.com/advice-thread/I-have-a-Pre-approved-VA-loan-Why-must-I-pay-an-appraisal-fee/253453/ 2009-07-07T02:08:00Z In most cases with VA or ... http://www.zillow.com/advice-thread/I-have-a-Pre-approved-VA-loan-Why-must-I-pay-an-appraisal-fee/253453/ In most cases with VA or any <a href="http://www.zillow.com/mortgage/">loan</a> program with high Loan&nbsp;To Value i.e. 97% - 103% &nbsp;you will be required to deposit a small amount into escrow for inspections and/or fees&nbsp;and pay any 3rd party vendors upfront, i.e. your appraiser. Depending on how your <a href="http://www.zillow.com/directory/real-estate-agents/">Realtor</a> and Loan Officer have worked together to get you the max. seller contributions, i.e. seller paid closing costs will determined if you'll receive your 500.00 back or not. <br/>As for the GFE you received from your LO, he/she is required to list ALL your fees including your appraisal even though you have paid it upfront.<br/>You will see it listed on your final closing statement,i.e.HUD1,&nbsp;as a POC, paid outside closing.<br/><br/>Hope this helps! Tue, 07 Jul 2009 01:57:00 GMT http://www.zillow.com/advice-thread/I-have-a-Pre-approved-VA-loan-Why-must-I-pay-an-appraisal-fee/253453/ 2009-07-07T01:57:00Z