FHA Appraisal Repairs: What Realtors Need to Know Before Writing the Offer

FHA appraisers have two jobs: determine the property's value and assess whether it meets HUD's Minimum Property Requirements (MPR). The second job is where deals get complicated.

Home inspectors flag what is broken. FHA appraisers flag what is broken and unsafe, plus what is incomplete, missing, or likely to affect the property's habitability and marketability over the near term. The categories overlap, but they are not the same. A home inspection report that says "the water heater is functional but aging" will not trigger a condition. An FHA appraisal that finds the water heater is missing a pressure relief valve and discharge line will.

Knowing the difference before you write the offer on an FHA contract saves you from surprises mid-escrow.

What FHA Is Actually Looking For

HUD's guidelines prioritize three categories of concern: safety, security, and soundness. In practice, the conditions that come up most often in Kern County transactions are:

Roof condition. FHA requires a roof with at least two years of remaining useful life. If the appraiser determines the roof is at or near end of life, they will condition for a roof certification from a licensed roofer confirming two-plus years of remaining life, or a full replacement. On older homes in Bakersfield's established neighborhoods, this is one of the most common triggers.

Peeling or deteriorating paint on pre-1978 homes. Lead paint testing requirements apply to homes built before 1978, and visible peeling or chipping paint is a condition trigger regardless of whether the paint has been tested. The fix is typically a fresh coat on the affected area before the appraisal recurs, but the cost of the repair and the timeline for re-inspection can pressure the closing.

Broken or missing windows. Inoperable, boarded, or broken windows are a safety and security concern under MPR guidelines. This is often an easy fix, but on a vacant property where nobody has been actively maintaining it, you may find multiple instances.

Non-functional utilities. The appraiser will test that all utilities are on and functioning. A property that has been vacant and has the gas shut off at the meter will condition for gas restoration and safety inspection. This requires the gas company to come out, restore service, and conduct a leak check, which on a bank-owned or estate property can take a week.

Water heater safety equipment. Specifically: a pressure relief valve and a proper discharge line terminating safely. This is a quick fix when caught early, but many sellers do not know to look for it.

What Does Not Trigger a Condition

Cosmetic issues do not trigger FHA conditions. A dated kitchen, stained carpet, scuffed walls, ugly fixtures, and non-functioning garage door openers are not FHA issues. The appraiser is not grading the renovation status of the home.

Deferred maintenance that does not rise to the level of safety or soundness concerns will be noted in the appraisal but not necessarily conditioned. A flagstone path with a few cracked sections is different from a concrete walkway with trip-hazard displacement.

How to Protect Your FHA Buyers

Walk the property before writing the offer with these categories in mind. Roof condition is visible. Peeling paint is visible. Broken windows are visible. A water heater in the garage is inspectable in 60 seconds. You do not need to be a contractor to identify the most common FHA condition triggers.

If the property has clear FHA issues and the seller is unwilling to repair before close, consider whether a conventional loan is available for this buyer. The FHA versus conventional comparison is worth a 10-minute conversation with the lender before you write, not after the appraisal comes back conditioned.

FHA loans are the right product for many Bakersfield buyers, and most FHA appraisals close without repair conditions. The goal is not to avoid FHA. It is to go into the transaction knowing where the risk is.

For a deeper look at the current FHA loan limits in Kern County and what they mean for your buyers' price range, that article lays out the numbers for 2026.