HUD / FHA "For Your
Protection....Get a Home Inspection"
text is complete and directly from the HUD brochure:
Protection Get a Home Inspection
U.S. Department of Housing and Urban Development
Office of Housing
Office of Single Family Housing
Why You Need a Home
Buying a home is one of the most
important purchases you will make in your lifetime, so you
should be sure that the home you want to buy is in good
condition. A home inspection is an evaluation of a home’s
condition by a trained expert. During a home inspection, a
qualified inspector takes an in-depth and impartial look at
the property you plan to buy. The inspector will:
physical condition: the structure, construction and
that should be repaired or replaced.
remaining useful life of the major systems (such as
electrical, plumbing, heating, air conditioning),
equipment, structure and finishes.
The home inspector does not
estimate the value of the house.
After the inspection is complete, you
will receive a written report of the findings from the home
inspector, usually within five to seven days.
This brochure is primarily
for homebuyers that buy their homes with the help of the Federal Housing Administration (FHA) mortgage insurance programs. All homebuyers can benefit from
the information in this brochure to understand the
difference between home inspections and appraisals, the
benefits of home inspections, how to find a qualified
inspector, and the importance of radon testing.
Home Inspections Are Not
property appraisal is a document that provides an estimate
of a property’s market value. Lenders require appraisals on
properties prior to loan approval to ensure that the
mortgage loan amount is not more than the value of the
property. Appraisals are for lenders; home inspections are
FHA, which is part of the U.S. Department of Housing and Urban Development (HUD),
requires lenders to obtain appraisals of properties securing
FHA-insured loans. FHA requires appraisals for three
To estimate the
market value of the property.
To make sure that
the property meets FHA minimum property
requirements/standards (health and safety).
To make sure that
the property is marketable.
The FHA appraisal process will note
property deficiencies that are readily observable and found
not in compliance with HUD’s minimum property
requirements/standards (Handbook 4905.1 REV-1 and Handbook
4910.1). These deficiencies may not be the same as those
items noted in a home inspection report.
About FHA Home Inspections
FHA helps individuals and families
become homeowners by providing lenders with mortgage
insurance for certain loans.
FHA does not guarantee the value or
condition of your future home, and FHA does not perform home
inspections. If you find problems with your new home after
closing, FHA cannot give or lend you money for repairs, nor
can it buy the home back from you.
That’s why it is so important for you,
the buyer, to get an independent home inspection. Ask a
qualified home inspector to thoroughly examine the physical
condition of your future home and give you the information
you need to make a wise decision.
The Bottom Line: Spending
Hundreds May Save Thousands
When you make a written offer on a
home, you should insist that the contract state that the
offer is contingent on a home inspection conducted by a
qualified inspector. You will have to pay for the inspection
yourself, but it could keep you from buying a house that
will cost you far more in repairs down the road. If you are
satisfied with the results of the inspection, then your
offer can proceed.
does not guarantee the value or condition of your
potential new home, and FHA does not perform home
Finding a Qualified Home
the homebuyer, it is your responsibility to carefully select
a qualified inspector and pay for the inspection.
The following sources may help you
find a qualified home inspector:
states require licensing of home inspectors.
organizations. Professional organizations may require home inspectors
to pass tests and meet minimum qualifications before
becoming a member.
Phone book yellow
pages. Look under
“Building Inspection Service” or “Home Inspection
The Internet. Search for “Building Inspection Service” or “Home
Your real estate
agent. Most real
estate professionals have a list of home inspectors they
Radon Gas Testing The U.S. Environmental Protection Agency and the Surgeon General of the United States have recommended that all
houses should be tested for radon. For more information on
radon testing, call the National Radon Information Line at 1-800-SOS-Radon or 1-800-767-7236. As with a home
inspection, if you decide to test for radon, you may do so
before signing your contract, or you may do so after signing
the contract as long as your contract states the sale of the
home depends on your satisfaction with the results of the
Information Resources HUD has resources available for
information about homebuying and homeownership. You may find
the following services helpful.
Internet www.hud.gov or espanol.hud.gov
HUD’s website contains
comprehensive information about home inspections,
homebuying, homeownership, selling a home, making home
improvements, and other housing-related topics— in English
National Lead Information Clearinghouse Many homes built before 1978 have lead paint, and some of
these have lead hazards. To protect your family, it is
recommended that you get a lead-based inspection and/or risk
assessment. For more information, contact the National Lead Information Clearinghouse at 1-800-424-LEAD.
HUD-Approved Housing Counseling HUD supports a network of
approved housing counseling agencies that provide counseling
services across the nation. For a complete list of
HUD-approved agencies in your area, call the toll-free HUD
housing counseling referral line 1-800-569-4287 or visit the
HUD website at www.hud.gov.
HUD-Approved Lenders A searchable database of
HUD-approved lenders, including banks, mortgage companies,
and credit unions, is available on the HUD website at www.hud.gov.
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