Table of NOV Conditions & Requirements (continued)

NOV Item

Instructions for Preparing the NOV

Flood Insurance

Check this item if the dwelling is located in a Special Flood Hazard Area (SFHA).  It is the lender's responsibility to assure that flood insurance is obtained and maintained on properties located in SFHAs, whether or not the appraiser correctly identifies the property as being in an SFHA.

Exceptions:

·   The property is not eligible as the security for a VA home, if the property is located in an SFHA and flood insurance is not available because the community is not participating in the National Flood Insurance Program (NFIP)

·   The lender can appeal to the Federal Insurance Administration (FIA), if there is an indication that a property is incorrectly included in a SFHA.

·   Note:  Based on FIA’s administrative review of the scientific or technical data submitted by the lender, FIA may issue a Letter of Map Amendment (LOMA) to amend the current FEMA map and establish that the property is not located in a SFHA.

References: 

·   Item 8 on the NOV

·   Section 9.10

·   Section 10.06

·   Chapter 11, Figure 1.

Airport Acknowledgement

Check this item if the property is located in an airport noise zone or safety-related zone acceptable to VA.

Reference: 

·   Item 9 on the NOV

·   Section 10.06

·   Chapter 11, Figure 1.