A current reader question about FHA appraisal requirements on roof issues had us looking up precisely those requirements in the brand new FHA Single Family loan handbook, HUD 4000.1.
The previous FHA loan rulebooks including HUD 4155.1 and HUD 4155.2 have been superseded by HUD 4000.1, so it seemed like recommending to create the FHA’s current appraisal requirements for the roof since it’s one of the very commonly asked-about parts of the home regarding the FHA appraisal process.
Once the FHA appraiser comes to examine the property, the roof is among the areas that really must be evaluated. According to HUD 4000.1 Part II, Section B:
“The Appraiser must notify the Mortgagee of the deficiency of MPR or MPS if the roof covering does not prevent the entrance of moisture or provide reasonable future utility, durability and economy of maintenance and does not need a remaining physical life of at the last two years.”
Excessive moisture, leaks or other issues are enough for the appraiser to note a required correction–and based on circumstances, such corrections may be required as a condition of loan approval. But required corrections might not be limited by fixing leaks issues, as HUD 4000.1 highlights:
“The Appraiser must observe the roof to find out whether you will find deficiencies that present a health and safety hazard or do not enable reasonable future utility. The Appraiser must identify the worcester ma roofing co material type and the problem observed in the Improvements portion of the report.”
Additionally, there’s the “remaining economic life” issue to contend with:
“The Appraiser must report if the roof has significantly less than 2 years of remaining life, and make the appraisal susceptible to inspection with a professional roofer. When the Appraiser struggles to view the roof, the Appraiser must explain why the roof is unobservable and report the results of the assessment of the underside of the roof, the attic, and the ceilings.”
Roof issues may be serious business, and section of the reason behind corrections (as stated above) is to protect the overall investment in the home and insure it’s suited to future sales, hence the fascination with the “remaining economic life” of the house in general and the roof in particular.
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