A recent reader question about the fha appraisal requirements had us looking up details on those requirements in the new fha single family loan handbook hud 4000 1.
Remaining economic life roof fha.
4 requirements and eligibility standards for a federal housing administration fha insured 5 mortgage.
The appraiser must clearly state whether the subject is to be repaired or re roofed.
Hence the interest in the remaining economic life of the home in general and the roof in particular.
To be specific the following has been taken from the hud handbook 4000 1 regarding the fha rules for the roof.
46 income approach section.
If the estimate of remaining economic life is 30 years or more the appraiser must state the estimate at its maximum for example 40 years.
Fha minimum property requirements in hud 4000 1.
4905 1 rev 1 2 12 life expectancy.
Remaining economic life of the home.
Hud 4000 1 says the appraiser must notify the mortgagee of the deficiency if the roof covering does not prevent entrance of moisture or provide reasonable future utility durability and economy of maintenance and does not have a remaining physical life of at least two years.
Fha single family housing appraisal report and data delivery guide effective on or after march 15 2016 v2.
However the 6 appraiser is the on site representative for the mortgagee and provides preliminary verification 7 that the property acceptability criteria have been met.
For condominium units the estimate of remaining economic life must be reported in the reconciliation section of fannie mae form 1073 individual condominium unit appraisal report.
The appraiser must visually examine the roof to determine whether deficiencies present a health and safety hazard or do not allow for reasonable future utility.
But that s not all the fha also requires a minimum amount of durability.
Requirements for remaining economic life.
One of the fha rules for the roof requires the appraiser to report if it has less than 2 years remaining life and require it to be replaced.
This of course is a judgment call that the appraiser is required to make.
The roof should have a remaining physical life of at least two years.
An fha appraiser is required to view the roof but does not.
The appraiser must exercise sound judgment when evaluating roof condition.
Fha loan appraisal rules.
There are instructions to the lender concerning issues such as encroachments overhead power lines safety and related issues.
The roof should have a remaining physical life of at least two years.
According to the fha website they have clearly stated that the roof should be able to last for a minimum of two years.
47 planned unit development information section.
If it is determined that the roof has a remaining life of less than two years then it would be the responsibility of the appraiser to call for repair or the construction of a new roof.
