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changes in FHA appraisal requirement

Posted on: 13th Jan, 2006 12:42 pm
I was reading somewhere that FHA has made some changes in the requirement of appraisal. Can anyone highlight on the changes?
There have been changes in the appraisal requirement with the relaxation in repair requirements for small deficiencies.

Some items don't require automatic repairs for the purpose now are -

Missing handrails, damaged operable exit doors, cracked window glass, defective floor finish, damaged plasters etc.
Posted on: 13th Jan, 2006 01:50 pm
As per the changes imposed, the appraisers need to list the repairs that are required but they don't need to complete the VC Sheet Section. The lenders are required to make sound judgments in determining repairs.


HUD form on homebuyer summary (No. 92654) is not required to be signed by the appraiser and the borrower with 5 days of closing.

The automatic inspection for certain items is no longer mandatory -

  • Wood destroying organisms
  • Well or Septic
  • Flat roofs

The automatic inspections are not required further on these items unless there is any special requirement.

James
Posted on: 13th Jan, 2006 02:49 pm
Thanks for the prompt reply. The informations are helpful and intersting.
Posted on: 13th Jan, 2006 03:24 pm
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