Final Construction Inspection

[JeffSH]

Say you get a final inspection request. When you call to schedule, you ask, "is the home ready for final inspection? If not, when will it be ready?" If the home is ready, then you do the final. If the home isn't ready, then you set an inspection date for the future and inform your client about the new timeline. This thread makes no sense.

 

[Tom4value]

Say you get a final inspection request. When you call to schedule, you ask, "is the home ready for final inspection? If not, when will it be ready?" If the home is ready, then you do the final. If the home isn't ready, then you set an inspection date for the future and inform your client about the new timeline. This thread makes no sense.

You are absolutely right and I do that every time.

I am guessing why the question was asked is because you, as I and and most people here, have called and far more often than not, the property is not ready at the time you called. Therefore, why is the order given if it is not ready? The lender orders it because the closing date is coming up and it needs to be done. The person ordering it has no clue as to the status. They just need to order it. Also, as I stated, there could be a mix up if it is done or there could be a mix up as to what is the definition of done.

Many times I have been told it is done and I get there and it is ALMOST done. When I say it isn’t, I get push back and I have to ask the builder, “if the buyer came right now, would they say it is done?”

 

[Ariba]

Say you get a final inspection request. When you call to schedule, you ask, "is the home ready for final inspection? If not, when will it be ready?" If the home is ready, then you do the final. If the home isn't ready, then you set an inspection date for the future and inform your client about the new timeline. This thread makes no sense.

So what is the future timeline? Are you going to call again and again to see if it is 100% completed? You must be really slow and nothing better to do than call lenders/builders.

 

[Overimprovement]

I often receive a request like "Repairs should be completed next Tuesday. Please follow up with the Agent/Seller and complete 1004D ASAP". I typically respond, "I have received your request and thank you. Once you have determined that repairs are completed and that you wish for me to return to the Property, please contact me for prompt assistance. I can assure you that once you have determined repairs completion I will complete your requested 1004D report within 2 biz days".

^^^THIS. I place the burden right back on the lender/realtor. I am NOT calling 4-5 times to see if something is ready for final. I will make one courtesy call to contact/agent and ask if all is done. Usually, they will hound me if I have gone back out within 30 minutes.

 

[Tim Hicks (Texas)]

Many times processors just look at the original closing date and order a final inspection based on that date. They don't call to verify, but they will try to make us call and verify. That's not my job, man! Contact me when you know it is ready for a final inspection or else I will go out there when you order it and if it's not ready, you get charged a final inspection fee every time you send me out.

 

[RCA]

Hello. Who's responsibility is it to call for final inspection (1004D) when a new home is being constructed and is finally (supposedly) 100% complete?
In the recent 'old days' I would get an order from the Lender/AMC saying that the house is 100% done and ready for 1004D.
Now it seems that obligation may have fallen to the Appraiser. Which adds another level of duty. I have to hound the Listing Agent or whomever to find out if the home is 100% complete.
Even then I often go for the final and things are still NOT done. Which means yet another trip back.
Sometimes I will get the order from an AMC/Lender and the order just sits on my desktop for weeks before the home is actually complete.
So, who's job is it to make the final inspection call?
The Lender? The Realtor? The Appraiser?
Thank you.
- Adam

It's a Building Inspector from the local Planning Department. Who else? In my area, it used to be that the Planning Department had permanent Building Inspectors. Now they contract certain licensed contractors to do the inspections. And the problem is that appraisers are not trained about the importance of Building Inspections and how to react when they find that homes and additions have in fact not passed a final inspection. This is particularly important when construction was managed by the home owner who may not be competent in understanding building codes. Oh yea. Big deal.

Consider that Marin City home supposedly subject to racial bias. 3 years after the appraisal report and getting a conventional loan AND winning that lawsuit by the plaintiffs, it has still not passed Final Inspection. Consider too, that the intermediate inspections can be reversed on subsequent inspections due to an oversight in the previous inspection by the Building Inspector - and force redoing major work.

 

[Kitarkus]

It's a Building Inspector from the local Planning Department. Who else? In my area, it used to be that the Planning Department had permanent Building Inspectors. Now they contract certain licensed contractors to do the inspections. And the problem is that appraisers are not trained about the importance of Building Inspections and how to react when they find that homes and additions have in fact not passed a final inspection. This is particularly important when construction was managed by the home owner who may not be competent in understanding building codes. Oh yea. Big deal.

Consider that Marin City home supposedly subject to racial bias. 3 years after the appraisal report and getting a conventional loan AND winning that lawsuit by the plaintiffs, it has still not passed Final Inspection. Consider too, that the intermediate inspections can be reversed on subsequent inspections due to an oversight in the previous inspection by the Building Inspector - and force redoing major work.

Since when does the Building Inspector from the local Planning Department perform 1004D's for Lenders? I must be doing this 'appraisal thing' all wrong.

 

[JeffSH]

So what is the future timeline? Are you going to call again and again to see if it is 100% completed? You must be really slow and nothing better to do than call lenders/builders.

There have been a few times where the builder contact says, "I'm not sure when it will be done. Can you please check back next month." So I do just that. It's not a big deal.

 

[Kitarkus]

There have been a few times where the builder contact says, "I'm not sure when it will be done. Can you please check back next month." So I do just that. It's not a big deal.

That is a business decision. I respect yours and have no problem with your choice. In that situation I would simply write the Lender and ask them to re-order the final inspection once THEY have learned that the property is ready for final inspection. I don't want the burden of determining when/if a property is ready for final inspection. This would promote a lack of understanding on behalf of the Lender/Client should the 1004D show continued incompletion items. If the LENDER was told that the property was completed and the 1004D clearly exhibits that it is not completed/repaired (happens too often)....then the Lender can credibly understand the situation.

 

[mp2277]

Hello. Who's responsibility is it to call for final inspection (1004D) when a new home is being constructed and is finally (supposedly) 100% complete?
In the recent 'old days' I would get an order from the Lender/AMC saying that the house is 100% done and ready for 1004D.
Now it seems that obligation may have fallen to the Appraiser. Which adds another level of duty. I have to hound the Listing Agent or whomever to find out if the home is 100% complete.
Even then I often go for the final and things are still NOT done. Which means yet another trip back.
Sometimes I will get the order from an AMC/Lender and the order just sits on my desktop for weeks before the home is actually complete.
So, who's job is it to make the final inspection call?
The Lender? The Realtor? The Appraiser?
Thank you.
- Adam

Definitely not the appraiser