Unfortunately the home is eligible for the HomePath Renovation loan which means it needs work & probably will not qualify for a VA or FHA loan. Your best bet is to find another home that will qualify for VA.
Check out my recommendations here on Trulia from some of my past clients by clicking the following link.
Please feel free to contact me for more information or help. You can also find info on my VA Mortgage website by clicking the link below.
Senior Mortgage Banker
Peoples Bank & Trust