I stopped by my local Rural Development office and they informed me of the new requirements for performing an inspection on an existing home. They are more concerned about life and safety issues this time around then ever before. The inspections got a lot tougher, considering Missouri has really know codes and the codes we do have are seldom enforce. This is going to be interesting. Imagine trying to explain to a Missouri Realtor about egress.](*,) I can hear some Realtors screaming at me now. Attached is the new form.
Did one of these, Friday. Three year old house with an inoperable septic system and basement garage with no firewall. The house proved the old adage that, indeed, s h i t does roll down hill…
You guys have fun with that. Looks like more red tape crap to me. So if you say that the roof WILL last two more years, what happens when it doesn’t? That looks like fun.
My lenders I take really good care of so I pay the repair bill. I only had one Rural Development roof problem in the last 10 years. Had to pay my roofer to replace some flashing. The cost was about $100.00 .
How are you addressing no egress windows in the bedrooms. I seldom see any in my area. Looks like the buyers will be rolling the cost of of some new windows in their loan, if there is room in the loan.
James, wouldn’t one be a little leary about signing your name to these words when that list doesn’t cover half of what is required to be liveable?
a functionally adequate home ready for immediate use
Just questioning the bottom line.:)
I supply a full home inspection report. I do not just fill out the form. My local Rural Development office backs me up on this. Also I only give the form to the lender and give specific instructions the client does not receive the form. So far in the last ten years, I have had no problems.
I know we have this course http://www.nachi.org/emergencyegresscoursereleased2007.htm but do we have an article that I can send a Realtor explaining what is the proper egress standard?
So who pays for any such items on that list that says No?
If there is room in the loan, the cost is rolled in. A person can borrow up to 102% of appraisal for required repairs and closing costs. The last time I checked the interst rate on a R.D. loan was about 6%. A pretty good deal for somebody will poor credit and no money.
I am writing an article with the cooperation of the three Rural Development offices in my area. This article explains how to interpit this form. The form definitely has problems. The newest problem I have discovered is the statement on the form that says “On Site Septic system approved by HUD Appraiser/inspectors or bank inspector and in good operable condition. If effluent is present at septic system, provide inspection by certified inspector listing any needed repairs.” #-o How is septic system going to be determined to be in “good operable condition” if the septic system is not inspected and a hydraulic load test is not performed?
I just came back from talking with Mo. Dept of Health, that regulates sewer inspectors, they said appraisers cannot determine if a sewer system is in “good operable condition” unless they are licensed sewer inspectors. I have a feeling this will take awhile to get straighten out.
Also I am trying to get the state R.D. office to get rid of the word “operable” in the well section. If they do not change that then inspectors will have to perform yield tests on private wells just to to cover our butts.