Do I need a house inspection when my bank is having the house appraised?
Absolutely! A house appraisal is an independent evaluation of the current market value of the house and
property. In general, the purpose of an appraisal is to set the current value of a house so that
a lender may determine how much it can loan the buyer. The appraiser looks at condition of the house, similar properties
in the area and the prices at which they were sold to set the value of the house.
A house inspector conducts a thorough evaluation of the houses major systems and structural
integrity. The appraiser works for the bank, but the house inspector works
for you. The house inspector identifies items that need replaced or repaired prior to closing,
which can save you thousands of dollars.
U.S. Department Of Housing And Urban Development (HUD) requires buyers to sign a Consumer Notice
advising them to get a house inspection in addition to a house appraisal before purchasing a house
with a FHA mortgage. Additionally, HUD now allows homebuyers to include the costs of appraisal and
inspection in their FHA mortgage.