HUD inspection

[Brandon Whitmore]

I just recieved a call from a Realtor looking to have a HUD inspection performed on her personal home. She says the person placing an offer on the home is requiring that she (the seller) have the HUD inspection performed (Wells Fargo is the lender and I can't remember the name of the loan type).

I have only ever performed standard home inspections (conventional, FHA, VA style) inspections. Does anyone know what the heck this special HUD inspection entails? Also, are there are inspectors in this area speifically qualified for this inspection that are interested in performing the inspection. (I will not be doing the inspection as it is a conflict of interest ).

THANKS

[randynavarro]

There really isn't an infamous HUD inspection as far as I can tell unless they're referring to the appraisal process and/or the loan process.

If anything, all I've ever seen is an additional form (available on the HUD website, buried deep, deep somewhere) that is completed. It is kind of checklist stuff and very rudimentary--usually the appraisor can fill it out.

I could be wrong, but I've never come across a lender or transaction where my typical inspection report didn't satisfy all parties involved.

This HUD mis-nomer think is really strange.

P.S. If you're talking about a pest or wood destroying insect report, there is a special form needed; NPCA. . . something. I can't remember the number right now. Its been five years since I've done one. It used to be NPCA-35

[Scottpat]

Some lenders do require a HUD/FHA fee paid inspector to inspect the property. I have one Monday on a manufactured home. The owner hired an inspector who did not have a HUD ID number (was not approved by HUD), and the lender refused to use their report. All I will being doing is looking at the foundation of the manufactured home (double wide) and filling out the HUD/FHA document (form 92051) that you get off the HUD site.

This is a link to the HUD site that tells about fee paid FHA inspectors and how to sign up to be one. It is not a difficult process, it just takes a little time.

Application for FHA Inspector: http://www.fha.gov/sf/appraise/92563.pdf

More information on FHA Inspectors:

http://www.hud.gov/offices/hsg/sfh/insp/inspectr.cfm

[randynavarro]

It may be a regional thing, but lenders in our state no longer allow HUD inspectors to verify the tie-downs on mfg. homes.

They now require a PE.

[John Dirks Jr]

Brandon, why do you say it is a conflict of interest? As long as you, the inspector, has no interest in the sale of the home, what is the problem?

A client could be any party of a sale. It may be an unusual situation but if you, as the inspector, do your job correctly to whatever Standards of Practice you might subscribe to, i'm not sure I understand it as a conflict of interest.

Now I admit i'm new to this game so if i'm missing something, someone please fill me in.

[Brandon Whitmore]

Thanks for all the info-- it sounds like what Scott is describing. And the Realtor did mention something about a tie down inspection as this is a double wide.

Regarding the conflict of interest. I am not sure what the HUD report entails, but I do work with this Realtor and in fact have a inspection with her this coming week on a different house. I will not inspect a Realtor's home I work with when she (as the seller) needs to have the report performed as required in the purchasing agreement. I don't want anyone coming back on me saying I missed something on purpose since I work with her and I don't want her ticked off at me for tearing into her home as I have a habit of doing. If her deal falls apart because of my inspection after being on the market for 50 days............. (not thinking she would ever stop referring me or anything).

[hausdok]

Hi,

Go to the library above and search the downloads. You'll find the HUD tie-down requirements.

ONE TEAM - ONE FIGHT!!!

Mike

[Jim Katen]

If the lender is asking for this inspection for the purpose of verifying the tie-downs, the inspection has to be done by a PE.

- Jim Katen, Oregon

[Scottpat]

The home is actually set on a basement foudation, or so I have been told. I checked with the lender and they said they just needed me and not a PE so we shall see!

Scott

[Les]

If the lender is fussy - a PE. It is a battle fought for last 15yrs with no resolution, that I know of.

HUD is quite regional. I have never known a FHA approved home inspector.

[hausdok]

Scott,

Check the documents library. I believe that there is actually a document that spells out how these are to be attached to conventional stemwall foundations as well as the typical tie-down situation.

OT - OF!!!

M.

[Scottpat]

Thanks Mike, already did that. Great resource!

[Brandon Whitmore]

Final word on this inspection: there is only one PE certified in the state of OR to perform the inspection discussed. The Realtor had to call the lender and get a name straight from them since she could find nobody. There must not be much of a demand for this inspection if only one guy is doing it

Final Price for a quick inspection: $650.00-- ouch

[Jim Katen]

Originally posted by Brandon Whitmore

Final word on this inspection: there is only one PE certified in the state of OR to perform the inspection discussed.

Oh, brother. He must be proud. I wonder if he puts that on his resume.

The Realtor had to call the lender and get a name straight from them since she could find nobody. There must not be much of a demand for this inspection if only one guy is doing it

Final Price for a quick inspection: $650.00-- ouch

I do quite a few manufactured home inspections. It seems like more & more lenders are asking for this engineering inspection. For the last year or so, it seems like the engineer is always the same guy (from somewhere south of Salem, I think). On at least two of these, he's called me after I've done my inspection and asked me if there are tie-downs present. When I say no, he thanks me and says he isn't going to bother driving up here. He just writes up his report on my say-so.

- Jim Katen, Oregon

[Brandon Whitmore]

The inspection is complete.

The Realtor ran down the street to her house while I was inspecting her sale.

She said the guy showed up, asked her for a tape measure because he did not have one, and measured the exterior foundation for 5 minutes.

He never went under the home nor went inside the home.

This seems ridiculous to me-- what can he possible be looking at? This inspection seems like a complete rip off unless I am

missing something.

By the way-- this home sits on a poured foundation with poured pier pads beneath it.

The Realtor did not look all too happy to pay for that service. .

[Scottpat]

It's one dem Red Tape thangs!

I did the one on Monday and it flew through the underwriting department. They closed yesterday and all was well. I really think that this is a regional thing.