The FHA appraisal is a thorough examination of a property's condition and value, which is conducted by a licensed and FHA-approved appraiser. The appraiser will evaluate the home's condition, including its structural soundness, safety, and sanitation. They will also assess the home's value, taking into account factors such as location, size, and recent comparable sales.

The purpose of the FHA appraisal is to ensure that the property meets the FHA's minimum property standards and that the home is marketable. This is to ensure that the home is safe, sound and sanitary for the borrower to live in. The appraiser will identify any necessary repairs or deficiencies, and the borrower will be required to make those repairs before closing on the loan.

Some of the specific requirements for a home to qualify for an FHA loan include:

• The home must be safe, sound, and secure, with no obvious defects or hazards.
• The home must have a working heating and cooling system.
• The home must have a functioning electrical system and safe wiring.
• The home must have functioning plumbing and a safe water supply.
• The home must have adequate sanitation, including a functioning toilet, sink, and bathtub or shower.
• The home must have a roof that is in good condition and free of leaks.
• The home should have no peeling paint or lead-based paint hazards.

It is worth noting that FHA appraisals have some additional requirements that are specific to the type of property, but no limited to, such as:

• For condos, the building must be on the FHA approved list and also meet the minimum property standards.
• For manufactured homes, it must have a label certifying compliance with HUD construction and safety standards.

In summary, FHA appraisals are a thorough examination of a property's condition and value, with the purpose of ensuring the property meets the FHA's minimum property standards and that the home is marketable. These standards ensure that the home is safe, sound, and sanitary for the borrower to live in and it also allows the lender to approve the loan with confidence that the property is of good quality and condition.

Our team at Alpha Appraisal is FHA certified. While an appraisal is typically ordered by the lender in the case of an FHA appraisal, we can help you determine if your property will pass FHA inspection. Book an appointment with us today.