Common Bank Required Repairs when Selling a Home to an FHA Buyer in Queens

When selling a home in Queens to a buyer who is obtaining an FHA mortgage, there are certain repairs that the bank may require to ensure the property meets the minimum property standards set by the FHA (Federal Housing Administration). These repairs are designed to protect the buyer’s investment and minimize potential risks. In this article, we’ll discuss some of the most common bank required repairs when selling a home to an FHA mortgage buyer, here in Queens NY. 

Roofing Issues:

One of the most common repair requirements involves the condition of the roof. The FHA requires that the roof is in good shape with no leaks or significant damage. If any issues are identified, such as missing shingles or signs of water damage, the bank may require repairs. This can be fairly common, if there are any active roof leaks or signs of water damage, you can expect that they will likely be flagged by the bank. Make sure you or your agent have a good roofer and/or handyman that can resolve any issues should they arise. 

Electrical and Plumbing Problems:

The FHA guidelines prioritize safety, so electrical and plumbing systems must be up to code and in proper working condition. Deficiencies like faulty wiring, exposed electrical components, or leaking pipes may need to be repaired before the loan can be approved. These repairs are necessary to ensure the home is safe and habitable. Here in Queens, we don’t see too many electrical issues that get flagged but we do see plumbing issues from time to time. Either way, make sure you or your agent have a good electrician and/or plumber that can resolve any issues should they arise. 

Structural Integrity:

Banks typically require an FHA appraisal, which includes assessing the structural integrity of the property. Any structural issues like foundation problems, significant cracks, or signs of settling may need to be addressed. Structural repairs can be costly but are crucial for the stability and longevity of the home. Here in Queens, we haven’t experienced too many structural issues that have gotten flagged by the bank. 

Peeling Paint and Lead Hazards:

If the home was built before 1978, it may have lead-based paint. Peeling or deteriorating paint poses a health risk, especially for young children. The FHA requires the removal or remediation of lead hazards before the loan can be approved. Ensuring a safe environment for the occupants is a top priority. Here in Queens this is not so common, but we have seen it a few times. 

Safety Hazards:

The FHA guidelines also focus on safety hazards that could jeopardize the well-being of the home’s occupants. These hazards may include broken windows, missing handrails, unsafe stairs, bolted in window bars, inadequate fire safety measures, etc. The bank may insist on repairs or upgrades to mitigate these risks. These are arguably the most common issues we see get flagged here in Queens. They’re typically pretty minor issues that your contractor or handyman can resolve, but they do have to get resolved in order for the bank to approve the loan. Don’t be surprised if these come up, just make sure you or your agent have a good handyman/contractor who can resolve them in a timely manner.  

When selling a home to a Queens home buyer who is obtaining an FHA mortgage, it’s essential to be aware of the common bank required repairs. These repairs are intended to ensure the property meets the FHA’s minimum property standards and protect the buyer’s investment. Addressing roofing issues, electrical and plumbing problems, structural integrity, peeling paint and lead hazards, as well as safety hazards, are typical repair requirements. By proactively addressing these repairs, sellers can streamline the transaction process and increase the likelihood of a successful sale to an FHA mortgage buyer. If you work with a top Queens real estate agent who has experience in selling to FHA buyers, they will be able to guide you through the process as well.