Homestyle Conventional Rehab Question

[Stacie Katori]

Hi, I am getting a Homestyle Conventional Loan, but I'm not sure what type of inspection if any I should be getting. For the FHA203k I believe you need a HUD consultant (they inspect), but I'm not sure what type of inspector is needed for the Homestyle Conventional. Is is just a "normal" home inspection? Thx!!

[Andrew Postell]

@Stacie Katori your loan officer didn't know if a HomeStyle needs a specific type of inspection???  Alarms are going off like crazy here.  Are you purchasing a home?  Your realtor should be able to answer this as well if you are purchasing.  Please be very careful with this loan type as it can go wrong very quickly if people don't know how to work it.

The answer to your questions is NO, there is no specific inspection needed for the HomeStyle loan.  Since this is a Fannie Mae product the lender is required to rely on your bids of the property work and the appraisal that is performed.  I would highly encourage you to NOT share your home inspection with the lender.  I would also highly recommend to have one....but just don't share it.  Hope this helps but please make sure your lender knows about contractor approvals, the way bids work with the appraiser, how the draws are performed, who needs to sign at closing (not just you), and how much contractors can receive up front.  Super critical information.