HUD Inspections - InspectionNews

imported_John Smith · #1 (**permalink**) 02-05-2008, 06:01 PM

Some of the recent foreclosure properties I have inspected, the client has indicated to me that they had a "HUD inspection". Can some of my Texas compadres (or folks from states other than Texas) compare a HUD inspection to a standard inspection.

The reason I ask is that when I was done with my inspection, the client has indicated in all cases where a previous "HUD inspection" was performed, indicated "they never said anything about that in the HUD inspection". I havent actually seen the HUD reports, so I dont really have anything to compare to. Im surprised that they didnt report on missing shingles, bad shingle application around roof penetrations, poor water pressure, slow draining plumbing fixtures etc.

One client told me that the HUD inspector did a hydrostatic pressure test on the plumbing system. He indicated the test pressure was 30 psig (?????). Water pressure at the main was almost 70 psig.

Scott Patterson · #2 (**permalink**) 02-05-2008, 06:27 PM

HUD inspections are done when the home is being built, kind of like phase inspections.

Rick Hurst · #3 (**permalink**) 02-05-2008, 07:08 PM

When clients mention they need a HUD home inspection, basically they are telling you that they are getting a govt. assisted loan I believe.

They are told they should get a home inspection, so most assume they need a HUD home inspection.

I've had numerous people tell me that they gave HUD on of our TREC HI reports and HUD accepted it.

Here is a copy of the notice they get from HUD.

Richard Rushing · #4 (**permalink**) 02-05-2008, 08:13 PM

John,

Don't fret. The HUD inspection is your TREC inspection-- just be sure you give it all the alloted time needed. Reason being, HUD will usually get a copy from the homebuyer as proof they did get an inspection. From there, there is no real "review" of the report, only a scan thru to make sure there are no structural concerns as well as any significant high dollar items that are in need of replacement or imminent repair. The reason-- the Department of Housing and Urban Development doesent want folks to get into something that they will default on because they got in over their head-in with repairs.

In-other-words, do your normal thorough job as if you were inspecting for a family member (the usual).

Rich

imported_John Smith · #5 (**permalink**) 02-06-2008, 04:50 PM

Who pays for the HUD inspections, the bank holding the mortgage? My clients have indicated oh yeah, there was a HUD inspection done on the property, and I think they even get to look at it.

In Texas, is a HUD inspector a TREC inspector, and if so, why dont they have to report on our dreadful form, or do they?

Billy Stephens · #6 (**permalink**) 02-06-2008, 05:02 PM

Quote:

Originally Posted by imported_John Smith

. HUD inspections,

HUD does their own inspection.

See attached form.

Scott Patterson · #7 (**permalink**) 02-06-2008, 05:45 PM

Quote:

Originally Posted by Billy Stephens

HUD does their own inspection.

See attached form.

HUD does not perform the inspections. They are done by "Fee paid" Inspectors, like myself. They are only for new construction or 203K rehabs.

Billy Stephens · #8 (**permalink**) 02-06-2008, 06:29 PM

Quote:

Originally Posted by Scott Patterson

HUD does not perform the inspections. They are done by "Fee paid" Inspectors, like myself. They are only for new construction or 203K rehabs.

I'm not saying that HUD does not encourage people obtain their own Fee Paid Inspector before making an offer on the property.

But they do an independent Inspection of their own Property.

As seen on THE VIEW & MARTHA STEWART

Scott Patterson · #9 (**permalink**) 02-06-2008, 08:00 PM

Quote:

Originally Posted by Billy Stephens

I'm not saying that HUD does not encourage people obtain their own Fee Paid Inspector before making an offer on the property.

But they do an independent Inspection of their own Property.

As seen on THE VIEW & MARTHA STEWART

Billy, HUD does not employ it's own inspectors. They stopped this practice back in the mid 1980's, everything is done by fee paid inspectors who are paid by the builders.

Today Martha had a great show on fabric covered bookends and lemon icebox pie! The View, well lets say they were upset with the election results!

Billy Stephens · #10 (**permalink**) 02-06-2008, 08:13 PM

Quote:

Originally Posted by Scott Patterson

Today Martha had a great show on fabric covered bookends and lemon icebox pie!

Ouu Fabric covered bookends and lemon icebox pie!

I'm checking the reruns.

Thanks Scott,

How do you get on the HUD approved List?

I''d cash a government check.

$$$

Jon Randolph · #11 (**permalink**) 02-06-2008, 11:20 PM

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.

Scott Patterson · #12 (**permalink**) 02-07-2008, 06:48 AM

Quote:

Originally Posted by Billy Stephens

Ouu Fabric covered bookends and lemon icebox pie!

I'm checking the reruns.

Thanks Scott,

How do you get on the HUD approved List?

I''d cash a government check.

$$$

Go to this link
FHA Inspectors and 203(k) Consultants - HUD

The go to the bottom of the page to "Forms" and you will find the FHA Fee Paid Inspector application link. Fill out the form and send it in.

You are not paid by HUD/FHA or the VA. You are paid by the individual that is needing the inspection.

Billy Stephens · #13 (**permalink**) 02-07-2008, 09:01 AM

Quote:

Originally Posted by Scott Patterson

Go to this link
FHA Inspectors and 203(k) Consultants - HUD

The go to the bottom of the page to "Forms" and you will find the FHA Fee Paid Inspector application link. Fill out the form and send it in.

You are not paid by HUD/FHA or the VA. You are paid by the individual that is needing the inspection.

Scott,

William Mize · #14 (**permalink**) 02-07-2008, 01:42 PM

Greetings:

When I went to the link for the FHA/HUD inspector there was mention of evidence of passing the FHA/HUD inspector exam.

Where do you find this, am I just missing something or ???

Thanks Willie

Scott Patterson · #15 (**permalink**) 02-07-2008, 01:52 PM

Quote:

Originally Posted by William Mize

Greetings:

When I went to the link for the FHA/HUD inspector there was mention of evidence of passing the FHA/HUD inspector exam.

Where do you find this, am I just missing something or ???

Thanks Willie

You need to read the top section of the application:

Compliance Inspectors: This application is to be submitted to HUD only after the inspector is licensed or certified to inspect repairs and construction, when such licensing or certification is required by the State or local jurisdiction where work will be performed. Upon availability, all inspector applicants currently recognized by HUD to conduct inspections must provide evidence of passing the HUD/FHA Inspector Examination.

Nolan Kienitz · #16 (**permalink**) 02-07-2008, 02:09 PM

Don't be surprised if your app gets bounced by a 'government clerk'. I was refused my 203k notation the first time I applied as I was told that I had to be a licensed architect and that I didn't meet the criteria.

It was a back/forth for many weeks and the 'government clerk' won! So ... I ducked low and resubmitted 4 months later and it went through without a question.

Go figure.

I also have my FHA ID and do a lot of FHA Final inspections as well. I've not been picked up for any 203k inspections in this market (DFW) yet.

Ben Christianson · #17 (**permalink**) 02-08-2008, 12:42 AM

HUD refused mine on the grounds that I didn't have the prerequisite number of inspections. They never asked me to send proof, I was just being honest when I filled in the blanks.

They proceeded to tell me that maybe I wasn't their kind of guy because I couldn't read. Go figure.

Ben

Scott Patterson · #18 (**permalink**) 02-08-2008, 06:23 AM

Quote:

Originally Posted by Ben Christianson

HUD refused mine on the grounds that I didn't have the prerequisite number of inspections. They never asked me to send proof, I was just being honest when I filled in the blanks.

They proceeded to tell me that maybe I wasn't their kind of guy because I couldn't read. Go figure.

Ben

Hey it is bureaucracy at it's finest.

As you can see by a post above, you have to read everything on the application. They are picky, but as Nolan said, just send in another application at a later date.