HUD (actually their vendor) does perform home inspections on the foreclosures and post the report along with the description of the property. They call it the "Property Condition Report". This is a very, very , very, very (did I say very?) limited report based on someone walking in the front door and basically out the back. I would be very disappointed in any inspector who did not find issues that were not part of HUD's report. For a sample hud report, check out the link below;
http://www.tenmanagement.com/listing...763885_PCR.pdf
Or go to
HUD Homes and search for homes in your area and check out their reports.