FHA Work And Fees

[Overimprovement]

Another issue--Say you do original inspection on March 1, turn report in March 3, and 5 days later the loan goes FHA. What are you putting for your inspection/effective date for this 'new' report? It can't be before the loan went FHA...

 

[PushinValue]

Like I said, I generally do an inspection the same way all the time. That way, I don't forget anything and if the loan does get switched to FHA, I probably don't have to go back again. I will say probably because if it is conventional, if the attic scuttle would be a hassle to open and take a photo, I may not take a photo (walk up/drop stair I do). Appliances, if I suspect they are not working, I will try them out.

On a conventional appraisal, if you don't go into a walk-up attic, go into the basement or look into a crawl space, inspect something that catches your eye (water stains on ceiling, visibly damaged electrical/plumbing or, as the previous poster said, don't bother driving by comps, then yes, lazy is the term.

Are you providing FHA reports with an effective date prior to the case number order date??


Have you ever had a private appraisal specify they want you to drive by the comps??? I never have.... calling that lazy is silly. Doing work above and beyond the scope of work is silly

 

[PushinValue]

Like I said, I generally do an inspection the same way all the time. That way, I don't forget anything and if the loan does get switched to FHA, I probably don't have to go back again. I will say probably because if it is conventional, if the attic scuttle would be a hassle to open and take a photo, I may not take a photo (walk up/drop stair I do). Appliances, if I suspect they are not working, I will try them out.

On a conventional appraisal, if you don't go into a walk-up attic, go into the basement or look into a crawl space, inspect something that catches your eye (water stains on ceiling, visibly damaged electrical/plumbing or, as the previous poster said, don't bother driving by comps, then yes, lazy is the term.

Are you providing FHA reports with an effective date prior to the case number order date??


Have you ever had a private appraisal specify they want you to drive by the comps??? I never have.... calling that lazy is silly. Doing work above and beyond the scope of work is silly

Another issue--Say you do original inspection on March 1, turn report in March 3, and 5 days later the loan goes FHA. What are you putting for your inspection/effective date for this 'new' report? It can't be before the loan went FHA...

Have to go back anyways, duhhhhhh!

I would do the extra items if I could just use old pics and update the effective date, but can’t do that....

 

[EddieB]

It seems impossible to inspect ALL areas of the attic or crawl space by simply opening the scuttle and snapping a photo. Please explain how that’s done.

 

[glenn walker]

Ok, so let's say you do 200 conventional loan appraisals per year and you are asked to convert 4 of them to FHA. Let's do the math. Let's say it takes you 10 minutes longer to do the FHA stuff. That is 2,000 minutes or 33 33 hours of time. Now let's say you had to go back out and do the MPR inspection on the 4 that is being converted to FHA at 1 & 1/2 hours each. That is only 6 hours. You are doing about 27 hours of work you are not being paid for. Doesn't make sense to me.

Might not make sense but between 2009 to 2005 75% of my orders were FHA- The other issue is at least out here with all the lender over-lays on Conventional they have become almost as much work as doing FHA so yes if I could Cherry pick i would choose to do just conventional.

 

[glenn walker]

It seems impossible to inspect ALL areas of the attic or crawl space by simply opening the scuttle and snapping a photo. Please explain how that’s done.

Most attic areas in California can not be walked in or on because there is no flooring and they have very low heights - SO - about all the appraiser can do is stick their head up there , use a big flashlight and look for obvious signs of problems , like moisture, loose wires etc. In my comments I state that I did a limited visual observation and that's about all you can do. I have discussed this with my HOC and they understand the situation out here.

 

[EddieB]

What does your HOC say about crawls?

 

[glenn walker]

What does your HOC say about crawls?

Like Like our attic scuttles crawl spaces normally have very small openings and the plumbers will crawl on there belly and backs when going under and FHA understands this - So I put on a dirty jacket-baseball -cap on head and stick my head in about 3 feet -use that big-mag lite and look around as best as possible- Looking for dampness, ponding water , leaking pipes etc- If I see something I try to zoom in with camera and take a photo and call for inspection- If there are no issues I take a photo and state I completed a limited visual observation of the area that was visible and I'm done.

 

[EddieB]

Like Like our attic scuttles crawl spaces normally have very small openings and the plumbers will crawl on there belly and backs when going under and FHA understands this - So I put on a dirty jacket-baseball -cap on head and stick my head in about 3 feet -use that big-mag lite and look around as best as possible- Looking for dampness, ponding water , leaking pipes etc- If I see something I try to zoom in with camera and take a photo and call for inspection- If there are no issues I take a photo and state I completed a limited visual observation of the area that was visible and I'm done.

While I agree with you in spirit, that type of limited inspection is only acceptable when the appraiser can not fully enter the crawl. I would wager that is what happens on 99.9% of crawlspace inspections but that is counter to what they expect. I have sat through two 1-day seminars that FHA has held here locally. They did not leave any doubt with what they expect and basically stated that those not following protocol should leave the panel.

Again, I agree with your point. Most of what they expect should fall outside of the appraisal inspection protocol.

 

[ucbruin]

I guess a weight and body structure (big boned appraisers) requirement be part of the FHA approval process....

Obese appraisers need not apply....