If the borrower has concerns, they can request the seller to shovel the roof for inspection by a qualified roofer. If damage occurs during shoveling, it is between the buyer and seller to resolve.
In areas where the snow is not likely to lay for more than a few days a clear roof inspection is to be obtained prior to closing.
The appraiser is required to make an extra thorough inspection of the attic and all visible roofing areas for signs of failing roofing materials and call for a clear roofing inspection.
If the Underwriter determines, due to unusual weather conditions, it is not possible to obtain the clear inspection prior to closing, then the purchaser and seller are to sign an acknowledgment that indicates:
The roof was covered with snow at the time of the appraisal inspection,
The snow is likely to continue to cover the roof for several more days and that the roof cannot be inspected prior to loan closing
HUD/FHA makes no guarantees or warranties as to the roof’s condition.
A clear roof inspection must then be obtained prior to submission for FHA Insurance or an escrow account equal to 1 ½ times the cost of a new roof is to be established in the event repairs or a new roof is found to be needed when the inspection takes place. (Certification is to be in the insuring package.)
FHA will accept a maximum of 3 layers of existing roofing. If more than 2 layers exist and repair is necessary, then all old roofing must be removed as part of the re-roofing. (4905.1 REV-1, 2-12)
Inspections - Certification as to the condition of the roof and the completion of work requirements should be made by a person determined to be qualified by the lender.
Valuation of Roof - Appraisers are expected to know the market value of the different roofing types in the area of the subject. For example in one market homes with wood shingles may reap a higher price than those with composition shingles, while in another they may be equal or the wood may even be less desirable. When evaluating the quality of the roof, items like multiple layering and composition over wood must be considered. Should the appraisal value be based on the conditions that the subject will have a new roof the appraiser needs to clearly indicate the type of roofing being valued. .
All flat roofs require an inspection as identified in item 4 above. This includes roofs on any structure on the property except open pole style patios that appear to be in good condition. If the subject is part of a large multifamily buildings, i.e. condominiums, no roof inspection is required. If the subject is in a small 4 unit building or is a townhouse type unit covered by a condo association with the subject property having its own roof, then a roof inspection is required. (This does not include PUDs as they are considered single family in their nature.)
Copy Printed: REVISION I
02/16/0229 Revision Effective: 05-30-00