When is an FHA Compliance Inspection Needed?
While all FHA loans require property appraisals, not all of them will require the submission of an FHA compliance inspection. These are only needed in specific circumstances. For example, if you are purchasing a home that is going through major remodeling or reconstruction or if it is being built brand new then you will be required to have this inspection done. In some cases, you may need to have more than one inspection, as well as a final inspection, completed on the property in order to qualify for an FHA loan.
This type of effort is needed to ensure that problems are being corrected, if they exist, or are being prevented during the construction. By doing periodic inspections, the FHA also helps protect you because you won’t have to worry about finishing construction and having a final inspection only to find out there are more things which need attention before the government will secure the mortgage.
Items typically requiring an FHA Compliance Inspection:
- Repairs or upgrades to Manufactured Home Foundations specified by a Professional Engineer
- Home repairs specified by an FHA Appraiser
- Roof repairs specified by a Roof Inspector
- Damage by WDO, wood destroying organisms
- Grading or site issues on a new Manufactured Home or Site Built Home
- Installation issues on a new Manufactured Home
- Construction or completion issues on a new Site Built Home
- Distance separation issues regarding septic tanks, wells and chemically treated soil.
- Additions to Manufactured Homes
- Verification of the proper completion of a new Manufactured Home or new Site Built Home
The Importance of Quick Turnaround
If you are notified that you must submit an FHA compliance inspection, you do not want to drag your feet on having the inspection completed and submitting the report to the housing authority. Delays in getting the proper documentation into the office can cause you to forfeit your eligibility for the FHA approval which you definitely do not wan to do.
Furthermore, if you have the inspection completed in a timely fashion you can quickly get back to the work at hand to ensure the faster completion of your property and you won’t end up facing any problems at the end of the process either. Plus, if there are any problems you can learn about them before the work progresses too far and can have them corrected in order to keep the property FHA compliant.
Choosing the Right Compliance Inspector
Compliance Inspections are to be performed by an FHA Fee Inspector. We have FHA Fee Inspectors covering all of Florida and South Georgia.
Always work with compliance inspectors who have completed this type of work in the past. They are different than standard inspections so you want someone who understands the requirements and who has completed the paperwork many times in the past.
Also, it’s a good idea to work with the same compliance inspectors throughout the process so they can get a feel for how the work is progressing. You can also build a relationship with these inspectors and that makes it easier to communicate and to discuss your concerns and questions with them as the process continues.
Occasionally an Underwriter will misinterpret the FHA/HUD reporting requirements and request that a Compliance Report be signed and sealed by a Professional Engineer. The Compliance Report is to be signed by a Fee Inspector. There is no place on the form for an engineer’s signature and seal. A Foundation Certification consists of either a signed and sealed report with no improvements or upgrades OR a signed and sealed Engineer’s Certification specifying upgrades and/or repairs and a Compliance Report signed by a Fee Inspector stating that the repairs or upgrades have been satisfactorily completed.
Need a professional compliance inspection? Contact us, today!