Burton & Company completes many FHA Appraisals in the Sacramento Area. Scott Burton has been FHA approved for over 20 years.
You can look up an appraiser's approval FHA status here
FHA Loans are prevalent due to limited other low down payment financing options. FHA Mortgages allow higher LTV's and have less stringent underwriting requirements as compared to many conventional mortgages. However, they do require additional property requirements.
Typically FHA appraisals are used for:
FHA Required Repairs
Here are some commonly required FHA repairs. This is not an exhaustive list, but it has been our experience that 90% of FHA repairs are one of these.
Any damaged or chipping paint must be repaired for homes built prior to 1978 as it may contain lead.
We most often find this on fascia boards, & window trim, especially on the south & west sides of structures.
Some tips for a finalized repair inspection:
Repair to HUD/EPA guidelines EPA Steps to Lead Safe Renovation, Repair & Painting
Do not omit repairing damaged paint on fences and outbuildings.
Do not leave paint chips or damaged wood from the repair on the ground.
Do not omit painting any bare wood with two coats of non lead based paint. The paint protects the wood.
Wear, worn shingles, missing drip rails, evidence of leaks (typically brown spots on ceilings, or under eaves).
TERMITE DAMAGE OR SOFT WOOD.
A termite/pest report is not automatically required, but obvious damage and any active infestation is required to be repaired.
A clear section 1 termite report might be required by an FHA appraiser or lender if damaged or soft wood is noted. Bathroom floors, wood under sinks, and exterior trim/siding/fascia boards are common locations.
Empty pools need to be filled in. This is a safety hazard. Per HUD, the pool has to be filled in with water and the filter system to be working.
A working heater is not required.
Check for self closing/latching side gates (or pool fence) to prevent unsupervised children from drowning risk. Many local cities and counties have specific pool fence requirements.
Broken windows that are a safety hazard need to be repaired.
Minor cracks do not have to be repaired.
SMOKE & CARBON MONOXIDE DETECTORS
Carbon monoxide detectors are required for all floor levels, including basements.
Read the directions on from the manufacture about placement of C02 detectors, but generally, one is needed per floor level, near bedrooms.
A carbon monoxide detector is needed for any home with an attached garage regardless even if the home is all electric.
We recommend stand alone Carbon Monoxide Detectors with long battery life even if the home has one attched to its security system. This is to ensure compliance even if the service contract for the security system is not maintained.
Working smoke detectors are required. Follow guidelines on the packaging.
WATER HEATER STRAPS
Use straps specifically made for water heaters, install them per the instructions.
Detailed guidelines from the State of California are here
WATER HEATER TEMPATURE PRESSURE RELIEF VALVE
Do not omit running the TPR valve discharge pipe to code. Some guidance is here
UTILITIES NOT ON.
This has been a big issue with REO inventory homes. We are required to test all mechanical equipment (heater, A/C, hot water, appliances, commodes) prior to close of escrow.
Any other items that risk the safety of the occupants or the security and marketability of the structure.
Typically cosmetic repairs are not required (worn flooring, carpet). Worn/chipping/flaking paint is required to be repaired (anywhere on site).
A working stove is NOT required.
Not sure if a particular repair may be required? Please contact us to discuss.
FHA Appraiser home page Resource for FHA approved appraisers. Links to training, & appraiser roster status. Good source for finding the license number for an approved FHA appraiser. This is needed for the FHA case number.