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Appraiser responsible for septic inspection?

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seekingknowledge

Freshman Member
Joined
Jun 1, 2009
Professional Status
Real Estate Agent or Broker
State
Minnesota
USDA loan, the county requires point of sale inspection. Lender gets cranky and says they never would have known the system was bad if I had not asked for the inspection on PA..that it is not a lender FHA/usda requirement. He says if appraiser does not call it, no problem. Other than the obvious bad apple lo..when I read the HUD.gov site, it almost looks like it puts the burden back on an appraiser
Appraisers are expected to have geographic competency,
which would include familiarity with local or customary inspection
requirements. Local or customary requirements should be noted within the
appropriate area of the appraisal report. However, the decision to require a
test, certification or inspection, other than what is automatically required as
noted in ML 2005-48, is made by the lender and FHA requires the lender to
be familiar with the market areas in which they lend...
I highlighted the above red and sent to lender. The question would be, with 3' of snow on the mound system, and a pos required by the county..wouldn't it not become a lender requirement, or is it something an appraiser would note, and let the underwriter make the call? Just fyi, I always write the inspections into the PA....far too many fail out here..first time taken to task by the loan officer! What is your opinion on the HUD.gov 1-23-13 information? I see it as a default loan requirement if there is a point of sale in place by local jurisdiction.
 
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