TOPIC: HUD Template

Hans, my understanding is there's a few different types of HUD Inspections. Do you know if that's correct?

Hi Dominic,

Yes, there are a couple of different inspections that I know of.  There are home inspections under the HUD Section 203(k) loan program, where you're dealing directly with HUD for the mortgage loan and also getting a loan to make the property livable. The inspectors for those are usually home inspectors who get additional training  from HUD to perform inspections to their criteria. You can't do their inspections until you've completed their training, and openings for that are sporadic.

The commonest form of inspection is the HPIR--the first inspection a property receives once the mortgage ends up in HUD hands. All government backed mortgages end up in HUD hands unless the mortgage is diverted into other channels (is somehow satisfied). HUD contracts the management of these properties to about a dozen or so REO property management companies. These companies subcontract with independent contractors to actually perform the work in protecting and preserving these properties. The first inspection a property receives for HUD is the HPIR.  This assesses the basic condition of the house at that time--primarily general habitability, safety issues, environmental and health issues (rotting garbage, dead things, mold, infestations, etc.). Incidentally, these don't have to be done by a home inspector; all you need to know is how to fill out the form, and perform the various tasks required, none of which are all that easy. An HPIR is also done when the REO management company turns over the maintenance to another contractor.  Once a contractor has the maintenance contract he also has to make byweekly FSM inspections to verify the condition of the property and order remedial action if necessary. Remedial action is very rare unless there's a leak, structural, health or safety issue.

The 203(k), HPIR, and FSM are the only HUD inspections I'm aware of. If there are more, I'd be interested in hearing about them.

Thanks Hans, I will take a look at you report, and am still doing research on the HUD inspections.  I have done a few with a report I made and have had no issues with it. The finance company that requested the reports gave me the criteria and a sample report from a previous inspector and I sort of just copied his but made it a little nmore thorough.  I really apreciate all your input and will let you know if I run into any proplem with my reports.

Hi Joey: 
I just read your reply, and I think we are not quite talking about the same thing.  My impression from your reply is that you wanted to know about a template for a buyer's inspection of a HUD house to satisfy a bank or other mortgage lender's criteria. Frequently a HUD property requires a secondary loan to finance repairs.  If it's a HUD loan, then that's probably under the 203(k) program and I don't have any personal experience with that. As far as home inspections for buyers of HUD houses here in the Philadelphia, PA and Delaware area, I've done a number and they've all been just regular home inspections. These houses are sold "as is," to buyers who plan to live in them (which gives them preference)and can't afford a standard mortgage 20% down payment, so additional criteria are tacked on. These vary a bit from lender to lender. In that situation there's no special form required here in this area. 

Hope this helps you.

Hans

I have two classifications with HUD/FHA (Compliance Inspection and 203k Consultant), the link you provided is to a Vendors Inspection check list not a HUD form.  HUD/FHA as we know are part of the Fed Gov.  All Fed Gov Docs have a DOC# i.e. portal.hud.gov/hudportal/documents/huddoc?id=92051.pdf Compliance Inspection Report.  Although the Vender form is a valid list of required items to inspect and report on so is a ASHI or any State Home Inspection Standards.  I am new to this Forum and to HIP and also interested in a HUD/FHA Template.  The inspection list you provided could be modified into a Template or one could go through all the Mortgage letters listed on the FHA web site from 1978 to present and extract the required items to inspect, but Form HUD-92051 (7/87) has to be attached to it along with photos of front of home, grading and major dentifrices.  Other Inspection software packages have this capability, I'm sure tat HIP also does - As I said I'm new to this software (downloaded it Yesterday). 

One other note, Aspirators have typically filled out the HUD from 92051 but know that States like Arizona have State licensed Home Inspectors, Aspirators legally can not perform a Home Inspection anymore, legally a Home Inspector opinion can over ride the opinion of a Aspirator, so HUD/FHA were requiring as of Jan 1st 2012 All 203k consultants would be required to have a State Home Inspection license.  HUD/FHA decided there were not enough licensed Home Inspectors with a HUD/FHA certification so they bookshelfed the deadline to who know when, but it's coming.

Nick J Alati - Alati's Inspection Service Arizona

I have been working on a couple of templates if you guys are interested and would be willing to offer input on how to make them better.
Like was already stated I have done two different FHA inspections.

FHA Repair or Compliance Inspection Form HUD 92501
FHA Fee Inspection, used to secure a loan or refinance.