"The U.S. Department of Housing and Urban Development (HUD) sets the minimum property standards that homes need to meet before an FHA loan can be approved. These are meant to protect the buyer and the investment by ensuring the house is both priced correctly and free of problems that could compromise living conditions. That's where the FHA appraisal inspection comes in. The appraiser checks that the home is safe to live in, structurally sound, and free from major health or safety hazards."
"An FHA appraisal works differently than a conventional home appraisal -not only is the appraiser assessing the value of the home, they're also making sure the property meets basic HUD livability standards. When your lender sends out an FHA-approved appraiser, they'll walk through the property and document any noteworthy features, but they'll also draw up a report with remarks on the home's safety, security, and livability."
FHA loans remain popular for first-time buyers due to easier qualification and low down payments, accounting for 15% of financed purchases in 2025. HUD sets minimum property standards to protect buyers and investments by ensuring correct pricing and livable conditions. FHA appraisals check safety, structural soundness, and major health or safety hazards, and note issues like roof problems, peeling paint, water damage, or faulty utilities that may require repair before closing. FHA appraisals differ from conventional appraisals by assessing livability as well as value, require qualified appraisers, and typically cost $400–$700.
Read at Redfin | Real Estate Tips for Home Buying, Selling & More
Unable to calculate read time
Collection
[
|
...
]