A HUD-approved home appraiser, to inspect the whole house and then judge if the house is worth the selling price, conducts this. The FHA appraisal’s main purpose is to protect the seller by verifying that the selling price of the house is at least worth the home value. The appraisal is a written thorough assessment of the property, performed during the mortgage approval process. The FHA loan program does require a property appraisal to be conducted by a licensed UHD appraiser. This helps to determine the market value of the house. On the other hand, the FHA appraisal is done by comparing similar properties in the area to the house being bought. Generally, FHA inspections are not required for getting an FHA approved mortgage plan. It provides the buyer with great insights into the condition of the property, to help him to make the right buying decision. The FHA inspection involves the overall inspection of the house to determine the condition of the property being sold. The main difference between an FHA inspection and FHA appraisal is that the FHA inspection is a very thorough analysis of the house that helps to determine the condition of the home, whereas the FHA appraisal helps in verifying the value of the house. What’s The Difference Between FHA Inspection And Appraisal?

This checklist focuses on the safety, security, and soundness of the house. This checklist is set by the United States Department of Housing and Urban Development (HUD), which must be fulfilled to satisfy the FHA loan requirements. If the FHA inspector does not approve of the house, the FHA does not approve the request for the loan.ĭuring the inspection, the FHA inspector ensures that the house being inspected ticks most boxes, if not all, of the FHA inspection checklist. Once the FHA inspector is satisfied with the condition of the house, the FHA loan is only then approved. His job is to carry out a thorough inspection of the house, to ensure that the house is in a livable condition, and it meets all the basic requirements.

What Does FHA Look For In An Inspection?Ī HUD licensed home appraiser carry out the inspection. The inspector inspects to ensure that the house meets the minimum requirements of the house in terms of structure, safety, and security. Department of the Housing and Urban Development (HUD) home appraiser must carry out the FHA inspection. One thing to keep in mind is that the buyer is responsible for paying for the inspection of the house.Ī licensed U.S. If a house does not meet the FHA requirements, then the buyer is not allowed to purchase that particular house and his loan is not granted. This provides the buyer with satisfaction that the house he has purchased is worth the price. The main aim of the inspection is to ensure that the house in question has all the basics required for living, such as electricity, access to clean drinking water, adequate heating facility, fire exits, and a stable roof. What Is An FHA Inspection?Ī Federal Housing Administration (FHA) inspection is a thorough inspection that is carried out for any property that involves an FDA loan. The FHA loans specially cater to lower-income people and are backed by the government. For an FHA loan to be approved, the property must pass the FHA inspection and appraisal. This inspection is paid for by the buyer of the property and is carried out more thoroughly than a regular appraisal. All properties that are purchased through the Federal Housing Administration (FHA) loan must undergo an FHA inspection of the property.

Printable home appraisal checklist