What Repairs Do Sellers Need Before an FHA Appraisal?

Quick Answer

If you're selling a home to a buyer using an FHA loan, it's a good idea to address obvious health, safety, security, and structural issues before the FHA appraisal is ordered.

The most common FHA appraisal repair items include:

• Peeling paint

• Roof leaks

• Broken windows

• Exposed electrical wiring

• Plumbing leaks

• Missing handrails

• HVAC that doesn't work

• Trip hazards

• Missing smoke detectors

• Missing carbon monoxide detectors (where required)

Completing these repairs early can help reduce appraisal conditions, prevent closing delays, and create a smoother transaction.

Why This Matters to Phoenix Area Sellers

If your buyer is financing the purchase with an FHA loan, the appraiser isn't just determining market value.

They're also verifying the property meets HUD's Minimum Property Standards for:

• Safety

• Security

• Structural soundness

Unlike a conventional appraisal, an FHA appraisal may require repairs before the loan can close.

Fortunately, most FHA repair items are relatively inexpensive when identified before the appraisal.

Why Listing Agents Should Care

Listing agents throughout Phoenix, Scottsdale, Mesa, Chandler, Gilbert, Glendale, Peoria, Surprise, Avondale, Goodyear, Buckeye, Fountain Hills, Paradise Valley, and across Maricopa County know one unexpected repair condition can delay closing by days—or even weeks.

A proactive walk-through before ordering the FHA appraisal can help reduce:

• Repair negotiations

• Buyer frustration

• Appraisal re-inspections

• Contract extensions

• Closing delays

• Deals falling apart

Preparing the home before the appraiser arrives helps protect everyone involved in the transaction.

The Most Common FHA Repairs

Exterior

Before ordering the appraisal, inspect for:

• Roof leaks

• Missing shingles

• Foundation movement

• Cracked exterior walls

• Standing water

• Drainage issues

• Unsafe decks

• Loose railings

• Trip hazards

• Peeling exterior paint

Interior

Inside the home, look for:

• Broken windows

• Doors that won't latch

• Broken flooring

• Damaged stairs

• Missing handrails

• Broken interior doors

• Safety hazards

Electrical

Electrical repairs are among the most common FHA conditions.

Inspect for:

• Exposed wiring

• Missing outlet covers

• Unsafe electrical panels

• Non-functioning outlets

• Missing GFCI protection where required

Plumbing

Check for:

• Active leaks

• Running toilets

• Low water pressure

• Slow drains

• Water heater leaks

• Missing TPR discharge pipe

• Improperly secured water heater (where applicable)

Heating & Cooling

The heating system must operate properly.

If air conditioning is installed, it should also function properly.

The appraiser may note:

• Inoperable furnace

• Non-working AC

• Unsafe HVAC conditions

Health & Safety

HUD places significant emphasis on health and safety.

Common issues include:

• Missing smoke detectors

• Missing carbon monoxide detectors (where required)

• Broken glass

• Missing stair railings

• Unsafe steps

• Exposed hazards

• Evidence of wood rot

• Possible termite damage

Local Tips for Sellers in Maricopa County

Older Phoenix Neighborhoods

Homes built before 1978 frequently receive repair conditions for peeling paint because of potential lead-based paint concerns.

Scottsdale Homes

Luxury homes aren't immune from FHA repair conditions. Safety concerns around pools, gates, stairs, balconies, and roof maintenance can still be noted during the appraisal.

East Valley

Homes in Mesa, Chandler, Gilbert, and Tempe often experience FHA repair requests related to aging water heaters, HVAC systems, or deferred maintenance.

West Valley

In Glendale, Peoria, Surprise, Goodyear, Buckeye, Avondale, and Litchfield Park, the most common issues are roof maintenance, exterior paint, irrigation-related drainage, and trip hazards.

FHA Appraisal vs. Home Inspection

Many sellers assume these are the same.

They're not.

Frequently Asked Questions

What will fail an FHA appraisal?

The most common FHA appraisal conditions involve peeling paint, roof damage, exposed wiring, plumbing leaks, broken windows, unsafe stairs, missing handrails, health hazards, or structural concerns.

Can sellers refuse FHA repairs?

Yes.

However, if the repairs are required by the FHA appraiser, the buyer's lender may not be able to close the loan until they're completed or another acceptable solution is reached.

Are FHA appraisal repairs expensive?

Usually not.

Most required repairs are relatively minor when addressed before the appraisal.

Should listing agents inspect the property before ordering the appraisal?

Absolutely.

A pre-appraisal walkthrough can help identify common FHA issues before they become closing delays.

Does every FHA appraisal require repairs?

No.

Many homes meet FHA property standards without any repair conditions.

Are FHA appraisals stricter than conventional appraisals?

Generally, yes.

FHA appraisals include a review of HUD Minimum Property Standards, while conventional appraisals focus primarily on market value and overall property condition.

Virginia's Pro Tip

One of the best ways to keep an FHA transaction on schedule is to identify potential repair issues before the appraisal is ordered—not after the report comes back.

A simple one-hour walkthrough can save days of delays, reduce stress, and help your buyer stay on track for closing.

Before You Accept an FHA Offer, Let's Talk

Whether you're a listing agent or seller in Phoenix, Scottsdale, Mesa, Chandler, Gilbert, Glendale, Peoria, Surprise, Avondale, Goodyear, Buckeye, Fountain Hills, Paradise Valley, or anywhere in Maricopa County, I'm happy to answer your FHA financing questions before the appraisal is ordered.

Virginia Fargo
Trusted Mortgage Consultant & Home Loan Advisor | Providing No Hassle Home Loans
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