Get Tidewater Credit

The Tidewater process is relatively simple: VA appraisers notify the lender that the home's value will likely come in below the purchase price. Alerting the lender of the property falling under the contract price is known as invoking the "Tidewater Initiative," or Tidewater for short, as listed in VA Circular 26-17-18.

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However, you still have one alternative: to appeal your VA appraisal. To do that, you simply ask your mortgage lender to submit a Reconsideration of Value (ROV) request to the VA. Of course, there's no guarantee that will make the difference you need.

Once the VA appraiser comes back with a Tidewater ruling, they will notify the point of contact listed on the appraisal request form. It's usually the lender or buyer's realtor. That person then has 48 hours or two business days to get back to the appraiser with the appropriate verifiable sales comps.

As of July 2024, Tidewater Finance Company's annual revenue reached $75M.

If the appraisal comes in lower than the agreed-upon purchase price, it can create a gap between the loan amount the VA is willing to guarantee and the price the buyer agreed to pay. This situation may require the buyer to make up the difference in cash.