USDA Direct Inspections??

[Anonymous]

Hi everyone!

I received my inspection results back and let's just say my inspector was VERY thorough.

My question is, can anyone give me insight into what USDA is going to REQUIRE be fixed to allow the loan to fund? I mean he even noted that the upstairs "family room" that was originally listed as a bedroom doesn't have a closet. Is there a general guideline on what they will allow to go through. The house is 100+ years old. It's not going to be perfect.

Any help would be great!!! Thank you!

[Anonymous]

It doesn't matter to the USDA how old the structure is, they want perfection, or-- at least they did for our house. Everything that was listed in the inspection had to be fixed except for the missing plate in the built-in microwave. The funny thing is, they never asked for PROOF of the repairs, so when our realtor dropped the ball & left stuff off the repair list, the appraiser didn't mention them & we were able to close even though there were minor issues remaining, like a trip hazard from an outdoor step being too high. I swear, the USDA even wanted doors that rubbed the floor to be fixed. We felt absolutely stupid asking for such minor repairs & even worse, the USDA demanded they be done by licensed contractors. Maybe your office won't ask for proof of repairs either & you'll be able to skate by. 

My main concern is your level of understanding with regards to what the USDA requires. If you haven't done so yet, you need to read the handbook (HB-1-3550) to make sure your house will be approved. If you've already looked it over, it would only help you to read it again. I went over that thing at least 8 times. Best of luck to you.

[Anonymous]

ahh yes, the handbook. I've read it many times and just read over the inspection portion again.....I'm understanding that the house needs to be decent, safe and sanitary but it seems SO open ended and left to interpretation on what makes a property those things, that I was wondering if there was more of a checklist to follow. The property meets the general criteria, we've even jumped through some hoops in regards to the property being a "double lot" in the listing (the second lot is too small to build on and there isn't enough of the main lot to make 2 sufficient lots per building codes) so we are good to go there.

Me PERSONALLY, would only think about 4-5 things be addressed (railings too wide, GFCI outlets added and a couple outlets have reverse polarity) but are they really going to make the seller clean the gutters out from the leaves that have ALREADY begun to fall in PA? I think that's just crazy. I can do that myself and will probably still have to do a couple times this fall due to the trees surrounding the property.

The inspection report listed most this as "appears serviceable" with only the 4-5 i would like addressed as a "safety hazard requiring repair" but there are TONS of "notes" from the inspector addressing everything from a small bleach stain on the floor of the laundry room, to the gutters, dead flowers (that just have already finished blooming this year) to mismatched appliances and changing the furnace filter. The inspector even mentioned there wasn't a closet in the upstairs family room.

My appraisal was already done and the contingencies met (not sure why it happened first) the inspections are all I'm waiting on. I guess I'll probably just have to wait and see what they say. No use playing the "what if" game, I'm just not a patient person.

Thanks for your advice Leavingthecity....hopefully in 13 days I'll be joining you in the homeowners club!!

[Anonymous]

brbedoll88 - have you heard anything on your inspections? I'm in the exact same boat as you. My inspection was very thorough and I'm trying to see what USDA will require to be fixed before we can move forward with closing, which is set for 10/6. Keep me posted!!

[Anonymous]

Well i don't want to jinx anything just yet but from my convo this morning with my LO, they aren't going to require ANYTHING from the inspections be done prior to closing. From what I understood she just wanted to counsel me on what I will need to address after the purchase.

Crossing my fingers still but she said that she is committing my loan to funding today or tomorrow and will be sending everything to the closing team who will probably get my file on Tuesday due to Monday's holiday...

Here's hoping!!!