Indianapolis Appraisal Blog

FHA loans are becoming much more popular than ever.  I know my company has been completing a significant amount of FHA appraisals when compared to the prior years. Before starting the process of getting an FHA loan, you should talk with your lender about what appraisers look for when completing an FHA appraisal or talk with a certified FHA appraiser. Not all appraisers are FHA certified and the requirements for becoming certified have recently changed. FHA appraisals are not the same as regular appraisals and you might be surprised to find out your home may not qualify or you have to make repairs to it before you can close the loan. HUD provides several references that you can use to do your own research but the handbooks can be overwhelming at times to read and you can get lost in all the pages.  I'll post a link to their site at the end and you can check them out for yourself.

To summarize, HUD wants to make sure your home meets their Minimum Property Requirements (for existing homes) and help make sure your home is safe, secure and sound. I won't go into everything that an FHA appraiser looks for but I have compiled a short list of the most common problems I see when out on an inspection.

• Peeling/scaling paint on homes built before 1978 (can be interior or exterior).
• Inoperable windows.
• Larger gas/propane storage tanks near side of the home or igniting source.
• Lack of positive drainage away from home (standing water)
• Larger cracks in foundation or interior/exterior walls.
• Lack of handrails on decks or balconies with higher elevations.
• Utilities that don't function or are not on at the time of inspection.
• No access to attic or crawl space (must be inspected by appraiser).
• Large amounts of moisture in crawl space.
• Worn roof with apparent signs of leakage or missing shingles.
• Water stains on ceilings.
• Damage due to wood destroying insects.
• Exposed wood with no sealant or paint.
• Loud road noise or offensive views.
• Open sink holes or other type of holes that are uncovered.
• Pools that lack a fence or a pool cover.
• Any other items that could affect the safety, soundness or security of the home.

Again, this is not an all inclusive list and provided to give you an idea on what FHA appraisers look for. To view HUD's handbooks regarding FHA appraisals and loans click here.

If you need an FHA appraisal in the Indianapolis area, please give us a call and one of our Indiana Certified FHA Appraisers will be glad to help.