Generally speaking, appraisers and inspectors are looking to ensure that everything in the house functions properly and that there are no health, safety or welfare issue. 

Think of it this way, is there anything in the home that would pose a danger or threat if you were to be handed the keys to move in right now…as is?

For example, they want to make sure that all the door and windows are in good working order, there is not peeling or chipped paint that presents a lead hazard, and a built-in appliances should do what that appliance is supposed to do. The basic concept of meeting minimum requirements is that everything must work as it was designed to work. That sort of thing.

The following is a general list of what an appraiser looks for during an inspection. By no means is this meant to be an exhaustive list, but more so to serve as a guide to give you a better idea of what to keep an eye out for.

This is a combination of what both a Conventional and FHA appraiser typically look for:

• Utilities must be turned on so the appraiser can test systems and appliances.

• Appliances must function properly. If an appliance is missing, the gas lines typically must be capped off

• There should be proper drainage around the perimeter of the house.

• If the appraiser cannot see the floor or walls due to debris, be it inside the home or in the garage, the owner will need to clean things up so the appraiser can do a proper visual inspection of the property.

• The heating unit must be in working order. Air conditioning isn’t required, but if it is present, it must be in good working condition.

• Water pressure must be adequate for the house. Appraisers flush toilets, turn on all faucets, & ensure that both hot and cold water are working.

• The water heater must be in working order and double strapped according to local code.

• If there is an attic, the appraiser is required to do a “head and shoulders” inspection of the attic. If the attic has been sealed, it must be opened up for the appraiser to be able to inspect it. Appraisers are typically looking to make sure there are vents, no exposed or frayed wires, and that sunlight is not beaming through a hole in the roof.

• Crawl spaces under the home are inspected for signs of standing water or any other foundation support issues.

• Homes built before 1978 cannot have chipping, peeling, or flaking paint due to the danger of lead exposure. Defective paint must be properly removed in accordance with local regulations and repainted.

• Electrical outlets must work and have a cover plate. There can be no exposed wiring anywhere in the home.

• Any active termite infestation needs to be cured.

• Minor cosmetic issues such as stained carpet or a need for interior paint are okay. However, there must be some form of floor covering, bare floors are not allowed.

• Smoke detectors & carbon monoxide detectors must be installed and in good working condition.

• The firewall from the garage to the house should be intact. Missing sheetrock, a pet door

• installed in the door, a lack of self-closing hinges, or a hollow door could pose a safety issue and may be required to be cured.

• A roof should not be leaking and needs to have at least two years of economic life left.

• A house will be rejected if the site is subject to hazards, environmental contaminants, noxious odors, or excessive noises to the point of affecting the livability of the property (this isn’t an issue for the vast majority of properties).

• A trip hazard is a subjective call to make by the appraiser and not necessarily an automatic repair, but if there is a legitimate safety issue it should be called out by the appraiser.

• Every structure within the parcel lines has to meet minimum property standards. This means if there is a barn with a defective paint surface, broken window or any other issue, it’ll need to be addressed. Safety standards don’t just apply to the main house.

• Graffiti Removal: FHA states graffiti on the house must be removed because it is a safety issue.

• Swimming Pools and Hot Tubs: Each county or city has specific requirements for pool safety so local standard rule the day. However, any pools and hot tubs present will need to be filled for inspection to verify that the pool is structurally sound and the maintenance equipment is in good working condition.  Likewise, if the water is green, it can be deemed a health and safety issue and is a sign that the equipment might not be working properly.

Finally, there is the appraisers over subjective point of view or personal opinion of the value and condition of the home.

Appraisers typically want to make sure that the home you are buying is in good shape and is worth what you are paying for it.

Being armed with a little bit of knowledge of what they are looking for can go a long way in selecting the right home for you.