FHA Ispection

I was contacted to do a FHA inspection on a new construction house. I am listed as a FHA Inspector, but I have never done one before so I turned it down because I didin’t want to screw it up. I’m looking for a little direction on how to perform the inspection, what forms to fill out. Is it a normal home inspection? What is your guys process? Any help would be very helpful. I hate leaving money on the table.

Was it a 203K?
A manufactured home foundation?
Need more info.

I would be glad to assist in answering questions if you want to call.

If you are listed as a fee panel inspector one of the requirements for this is knowing what to do. Im confused as to why you dont know. Just asking. Feel free to contact me and I will steer you in the right direction if someone hasnt already.

I’m a new inspector and all this is new, but I did inquire concerning FHA inspections recently. I contacted a rep in Indianapolis and another seasoned inspector and was told that FHA inspections have changed. The FHA recommends that their clients use licensed inspectors. I think this was part of the problem before and the reason you had to be on the FHA approved list to do an inspections. There were too many doing inspections that were not qualified or licensed. I also know that clients getting FHA loans have to have certain water test performed if there is a well on the property so make sure you check this out also. There maybe more information that I’m not aware of but I hope this is a start.

I think many people confuse Fee Roster Inspectors (203k) with REAC inspectors.

Sorry, no such thing as a licensed inspector in the state of Utah. No well on property either. No water test required.


The following is part of the qualifications required by FHA. How you circumvented the process is beyond me but if you put your signature on this application to be considered a fee inspector then you are either ignorant or not being honest. You can not possibly have read any of the required material and still be unaware of how to do an inspection. Maybe you should withdraw your name as there are criminal penalties involved. And why anyone would willinglyhelp you get over and scam someone is also beyond me. I am on the FHA roster and it took some extensive reading to understand what was expected. If you can’t do even that little bit then you shouldn’t be on the roster.

(f) **[FONT=Arial,Arial][size=1]For Inspectors, **[/size][/FONT]I certify that I have a minimum of three years experience in one or more construction-related fields and that such experience has equipped me with a thorough familiarity and understanding of residential construction techniques as related to new construction and repairs of a structural nature. I certify I will conduct my inspections in accordance with HUD/FHA requirements. I further certify that if licensing or certification is required by the state or local jurisdiction(s) in which I will operate, I will maintain such licensing or certification in good standing with the applicable jurisdiction for the duration of my tenure on the FHA Inspector Roster. I further certify that I have read and fully understand the inspection requirements, including any update to those requirements, including Mortgagee Letters, in performing all inspections on properties that will be security for HUD/FHA insured mortgages and contained in the following documents:
(i) HUD Handbook 4905.1 REV-1 (Requirements for Existing Housing, One to Four Family Units);
(ii) HUD Handbook 4910.1 (Minimum Property Standards for Housing);
(iii) HUD Handbook 4145.1 REV-2 (Architectural Processing and Inspections for Home Mortgage Insurance);
(iv) HUD Handbooks 4150.1 REV-1 (Valuation Analysis for Home Mortgage Insurance) and 4150.2 CHG-1 (Valuation Analysis for Home Mortgage Insurance for Single Family One to Four Unit Dwellings);
(v) Permanent Foundations Guide for Manufactured Housing (formerly known as HUD Handbook 4930.3G, Permanent Foundations Guide for Manufactured Housing);
(vi) All applicable local, state, or Council of American Building Officials (CABO) code(s) for the jurisdictions in which I will operate; and
(vii) The HUD requirements at 24 CFR 200.926

FHA inspections for the most part around here are driveby, lame as hell inspections. I had a client that suspected that and went ahead and hired me after the FHA guy gave it a green light. I found $150k worth of issues.

The FHA inspections are NOT a full blown home inspection they only have specific things they look at. They have their place and can be quite profitable when you get hooked up with the right mortgage company.


FHA fee roster inspectors are different than 203K consultants.


I disagree. There is so much junk there that you have to sift through, it’s very confusing. An no where in that entire pile that you quoted does it spell out the requirements of a fee inspector in simple terms. The information is primarily for mortgage bankers, and appraisers.

its a cluster fudge. the right lenders are helpful and should get you started. after that it’s a piece of cake. keep in mind no one else understands the 10 million pages of red tape either and then everyone has their own interpretation anyway. bottom line is you have to satisfy the lender’s requests and cover your butt- and do that all on the correct government forms.

No disagreement about that. But isn’t that the price of admission? The OP doesn’t mention that at all. So I question how he is listed as an FHA inspector. I was accepted only last year after I had gone through all the reading. Did I read it all? NO I read all that pertains to Inspectors though. Within a few weeks and as time permitted I was able to understand all the forms I needed. Upon review of those forms I had only a few questions. I called FHA and after being bumped from person to person I was connected to a man who answered all my questions.

Think of it from a point of ethics. The Minimum standards only require reading and making a few phone calls. And the OP (original poster) hasn’t responded to me. I’m still curious how he is listed as an inspector yet doesn’t have a clue.

Your experience is unusual. I tried to find the pertinent sections and was unsuccessful. If it wasn’t for the help of a lender who sent me a copy of one already filled out, I would have been lost. So lighten up on the OP.

My “help” experience with FHA was less than helpful. I sent them an e-mail requesting instructions and specified where I had already looked on their web site. The response I got back was pre-canned and pointed to the exact page that I specified wasn’t helpful.

BTW, the only form I’m aware of for a fee inspector is the 92051.

If you are aware of others, you could be helpful here and help educate the OP as well as myself (I’ve been doing these for a couple of years now with few complaints, and those come from lenders who expect me to put escrow amounts on the form for them.)

I am being helpful. I listed from the website which publications he needed. ,You and I and so many others have done the minimum only to find out how easy Compliance Inspection can be. In fact you did what I did, you just talked to different people. (I too received that e-mail) LOL (twice)
However in the comments above read what Bruce King says.
So if I knew that all it requires is to fill out a form, and I didn’t care about ethics or SOP, I would. It becomes a matter of ethics to me when my information can lead someone of unknown abilities to do a “lame *** inspection”.

Helping someone is directing them to the information they need as a minimum. If they can’t do the minimum then they don’t deserve any other help. Maybe I’m wrong but it seems to me that the OP fits that group. Let him respond. For all you and I know this is some Real Estate agents secratary wondering how hard it really could be to fill out a one page form.

Forms plural? When you read through that mass of gov’t paperwork a number of forms are listed. You need to know which if any are applicable. Again at a minimum. It appears that you have it figured out.

that is supposed to be for a 203k inspection.

no one totally understands the 5000 page book with daily addendums since 1965. All you can do is research what you are concerned with as the concerns arise.

They want them for a typical 92051 for new construction too… usually for seed/sod not being done.

Sounds like you got lucky to have some questions answered. Every time that I called the only information that i got was to refer back to the manuals and that I should already know the information from the manuals.

I got more information from talking to Mark Nahrgang than I did in trying to decifer the manuals or asking FHA questions.

The lender or representative that contacts you should be able to identify what you need to be looking at during the inspection to satisfy their requirements.

I have not had a problem yet in performing these inspections. I find some of them very idiodic.

I have a Final Complinace inspection Thursday, the lender needs to know if the dischage pipe was installed on the TPR valve of a hot water heater.

The 92501 form is not required by HUD/FHA when it pertains to the flipping rule. There is a lot of confusion when it comes to that and I have been informed that one of my competitors has used this form for about 150 inspections in the last 3 months or so they say. The inspection required is a comprehensive home inspection with report that the lender is to order and pay for if a home is resold less than 90 days after purchase. I got this info from the regional office after going thru several people within the HUD/FHA phone system. I not only talked to someone but got 3 calls back to verify my findings. So those of you in CA that are using the 92501 form and making a quick buck…beware…this will come back to haunt you in my opinion.