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  1. #1
    Bill Anglin's Avatar
    Bill Anglin is offline Member
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    Default HUD inspection requirements???

    I picked up a client at a first time home buyers seminar. He is purchasing a HUD home. The inspection was rescheduled twice because his Realtor dropped the ball on getting the utilities turned on. Because I had to reschedule, I had to make adjustments to provide the reports to previous clients. I called the client to ensure that the utilities were on and ask if we could push the inspection back by two hours to allow me to complete a report before leaving. He was ok with it and advised that he would let his Realtor know. Later she(Realtor) called and said that she could not be there two hours later. I apologized and explained that the situation was caused from having to reschedule previously. I told her that it's ok because she doesn't need to be at the inspection anyway. She said that HUD requires that the buyers agent be present for the entire inspection. I know I've done plenty of HUD inspections where the Realtor left after opening up. I could not find any such requirement on the web. Is anyone aware of such requirement?
    It ended up that she scheduled the inspection with her favorite inspector that apparently could be there with an hours notice. I'm concerned that she may be looking out for her own best interest rather than the clients. Any comments are appreciated.

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  2. #2
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    Spring Hill (Nashville), TN
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    Default Re: HUD inspection requirements???

    Quote Originally Posted by Bill Anglin View Post
    I picked up a client at a first time home buyers seminar. He is purchasing a HUD home. The inspection was rescheduled twice because his Realtor dropped the ball on getting the utilities turned on. Because I had to reschedule, I had to make adjustments to provide the reports to previous clients. I called the client to ensure that the utilities were on and ask if we could push the inspection back by two hours to allow me to complete a report before leaving. He was ok with it and advised that he would let his Realtor know. Later she(Realtor) called and said that she could not be there two hours later. I apologized and explained that the situation was caused from having to reschedule previously. I told her that it's ok because she doesn't need to be at the inspection anyway. She said that HUD requires that the buyers agent be present for the entire inspection. I know I've done plenty of HUD inspections where the Realtor left after opening up. I could not find any such requirement on the web. Is anyone aware of such requirement?
    It ended up that she scheduled the inspection with her favorite inspector that apparently could be there with an hours notice. I'm concerned that she may be looking out for her own best interest rather than the clients. Any comments are appreciated.
    With a HUD home the only requirement I know of has to do with the person who has the HUD key and opens the door. This person is suppose to remain at the property while any work or inspection is being conducted, not that this happens very often.

    Scott Patterson, ACI
    Spring Hill, TN
    www.traceinspections.com

  3. #3
    Rick Bunzel's Avatar
    Rick Bunzel is offline Member
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    Default Re: HUD inspection requirements???

    I have been a HUD inspector since 2003 and never heard of that requirement. Rarely is buyer present at the Compliance Inspection. Ditto for the HUD Housing Choice Voucher program. Most of the time the only reason someone is let me in is that there is no lock box. Some times they will leave a key under a rock or with a neighbor.

    Realtor is full of it!

    //Rick

    Rick Bunzel
    WWW.PacCrestInspections.com
    360-588-6956

  4. #4
    Ted Menelly's Avatar
    Ted Menelly is offline Member
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    Default Re: HUD inspection requirements???

    Quote Originally Posted by Scott Patterson View Post
    With a HUD home the only requirement I know of has to do with the person who has the HUD key and opens the door. This person is suppose to remain at the property while any work or inspection is being conducted, not that this happens very often.
    First time in the seven years in Texas a buyers agent for a hud foreclosure was actually at the inspection and for the whole time. The listing agent absolutely insisted the agent be there or he would have to. From what I understand HUD foreclosures are getting more serious about anyone in the home being escorted due to damages as of late.

    They have tightened up on the pools as well. They have to be completely covered for liability reasons which means they cannot be inspected. I have had 2 buyers walk for that reason. God knows what kind of shape the pool is in until they pay to have it uncovered. If they have it removed for the inspection the fee to have it done is on the buyer ordering the inspection to have it removed and put back on.

    With all the homes that are being sat on right now you think they would be jumping through hoops to roll them over. Not the opposite.

    Ted Menelly, Castle Home Inspection Services
    www.inspectmycastle.com
    Fort Worth, Keller, Southlake, Plano, Flower Mound, DFW, TX

  5. #5
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    Default Re: HUD inspection requirements???

    Quote Originally Posted by Bill Anglin View Post
    It ended up that she scheduled the inspection with her favorite inspector that apparently could be there with an hours notice. I'm concerned that she may be looking out for her own best interest rather than the clients. Any comments are appreciated.
    I think you nailed it! You had a contract with the buyer to perform an inspection and this Real Estate Agent took it upon herself to take your business away from you. I'm sure you had some time and money already invested in this inspection with scheduling and discussions with buyer and or agent. She has no right to do that and she should be called on it. If nothing else, it would be very interesting to do a free inspection for your client (buyer) and let them see if their Agent was really looking out for them when it came to a non-biased, independent? inspection.


  6. #6
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    Default Re: HUD inspection requirements???

    All the HI's are correct, for me I am always concerened when a real estate agent that tries to dictate my scheduled inspections. Good luck

    Rick


  7. #7
    Terry Griffin's Avatar
    Terry Griffin Guest

    Default Re: HUD inspection requirements???

    Sounds like she owed the inspector a favor. I rarely have a realtor stay any longer than it takes he/she to open the front door.


  8. #8
    Terry Griffin's Avatar
    Terry Griffin Guest

    Default Re: HUD inspection requirements???

    When I do a HUD inspection the agent can't wait to leave to go sell or show another house. I have Never had any questions from HUD.


  9. #9
    James Bohac's Avatar
    James Bohac is offline Member
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    Default Re: HUD inspection requirements???

    Had A HUD inspection Tues where the Agent stayed for the whole inspection. Here, HUD has contracted with a single company to handle the properties. The water had not been turned on by the start of the inspection. I had to come back after my afternoon insp to finish and asked if he could hide the key. He said he had to be here!
    I normally charge to come back but the poor young fellow had rescheduled twice for power reasons and was told water was on! Sometimes you just have to eat it!

    James Bohac

  10. #10
    Rick Vernon's Avatar
    Rick Vernon is offline Member
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    Default Re: HUD inspection requirements???

    I had an agent tell me that she had to be there and couldn't leave me unsupervised because it was a HUD home. I have my own HUD keys and am also a HUD inspector. She stayed. I may have to follow up on it.

    If a man empties his purse into his head no one can take it away from him. An investment in knowledge always pays the best interest
    Benjamin Franklin

  11. #11
    Rick Vernon's Avatar
    Rick Vernon is offline Member
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    Default Re: HUD inspection requirements???

    Just happened again this week. Realtor stated she had to stay in the house the whole time. HUD requirement.
    So far I've been able to determine that it's not a HUD requirement but a mortgage company requirement that the Realtor stay. I think I'll contact the local field office and see if they have anything on it.
    I'll keep plugging till I get answer, then I'll be back.

    If a man empties his purse into his head no one can take it away from him. An investment in knowledge always pays the best interest
    Benjamin Franklin

  12. #12
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    Cool Re: HUD inspection requirements???

    It's common for individual to not understand the differences between a law and a policy. Hey as long as they pay, as you said just keep plugging along.

    Rick


  13. #13
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    Default Re: HUD inspection requirements???

    Quote Originally Posted by Rick Bunzel View Post

    Realtor(R) is full of it!

    //Rick
    Fixed


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