July 27, 2011
One frequently asked questions about the FHA loan process is about roof requirements. When a buyer views a home and decides to make a commitment to buy using an FHA insured mortgage, the sale of the home cannot proceed until the property has been reviewed by an FHA approved fee appraiser.
It’s the appraiser’s job to look over the home, make sure it meets FHA standards, and assign it a fair market value. FHA standards include making sure the property is safe, livable, and has no obvious structural issues or defects within the scope of the appraisal. (An appraisal is not a home inspection and borrowers should never accept an appraisal as a guarantee that the home is defect-free.)
That includes the roof–FHA and HUD regulations say it must not leak or allow moisture to enter the home. The roof must also “provide reasonable future utility, durability and economy of maintenance” according to FHA rules.
The FHA official site adds, “The roof should have a remaining physical life of at least two years. If the roof has less than two years remaining life, then the appraiser must call for re-roofing or repair. The appraiser must clearly state whether the subject is to be repaired or re-roofed.”
If an appraiser notices any leaks or moisture due to roofing issues, those conditions will be noted on the appraisal report. Any noticeable holes, water damage or other problems are also noted. An FHA appraiser is not an expert on roofing, nor is the appraiser required to step onto the roof to inspect it further.
That is why the borrower must take it upon themselves to have a home inspector look over the roof and other critical areas of the property–there may be issues not immediately noticeable that an inspection would catch that do not appear on the FHA appraisal report.
FHA appraisers do not specialize in any one particular area–they are hired to review the property according to FHA requirements. They don’t enter crawlspaces, walk on roofs or perform other duties for which they have no specialized equipment or safety gear for–again, that’s the job of a home inspector. Borrowers concerned about the state of the roof or wondering about the remaining years left on the current roof should ask the inspector specifically about those issues prior to the inspection.
Joe Wallace has been specializing in military and personal finance topics since 1995. His work has appeared on Air Force Television News, The Pentagon Channel, ABC and a variety of print and online publications. He is a 13-year Air Force veteran and a member of the Air Force Public Affairs Alumni Association. He was Managing editor for www.valoans.com for (8) years and is currently the Associate Editor for FHANewsblog.com.
Browse by Date: