Home
appraisal inspections on FHA and VA loans are a little more detailed than
on conventional loans (and more expensive). The appraisers are required to
perform certain minimum inspections as well as evaluate the market value
of the property. Although these inspections are not as detailed as a
professional home inspection and should not be considered a substitute,
sometimes repairs are required.
These are
additional costs the seller would not be obligated to pay for someone
obtaining conventional financing, so your offer should include a maximum
figure for these repairs. Otherwise the seller is signing the equivalent
of a blank check, and they do not want to do that.
At the same
time, whatever figure you put in will most likely affect the seller’s
willingness to negotiate on price. If you put $500 as an estimate, the
seller may be $500 less negotiable on their price. If no repairs are
required, you may have been able to get the house for $500 less than what
you and the seller agreed on as the price. The solution is to add a clause
to your offer that goes something like this. "If required repairs cost
less than the maximum amount allowed, the excess will be credited toward
buyer’s closing costs."
Homes for sale 
