Baton Rouge Home Buying Tip: How To Get Pool Needing Repair Closed On FHA Loan
I received this question from local REALTOR®, Kim Tanib about an REO property with a pool in need of repair being financed FHA:
“Bill, I know that you are very knowledgeable and would like to see if you could possibly help answer a question in regard to a pool and FHA loan. The home has a pool which is half full or dirty water and in need of repair. This was noted on the appraisal and now is causing a big problem. Which brings me to the question that I cannot not get a reply from the underwriter. What is the acceptable solution according to the guidelines? Can the pool be drained to emply? Does it have to be covered? If covered what type of cover is acceptable. No one can give me the answer on this problem. Client wants to repair pool once sale has been completed so filling it in is not an option. Please help. Thanks, Kim Tanib”
I referred Kim to the FHA Denver HOC (Homeowner Center) at 1-800-543-9378 for Appraiser and Agent tech support for answers to such questions, to be sure she heard the correct answer from FHA directly. Yes, I have seen very temporary covers like this below and referenced here on Active Rain Strange Pool Cover, but I wasn’t certain this was the solution FHA would accept.
I followed up with Kim as to if a solution was found and she sent me this reply with these 2 photos and said FHA accepted this and they closed.
“Called the appraiser and he said yes the way we were doing it would be acceptable and reduce the safety hazard. I think he had spoke with several other appraiser to confirm. The pool safety cover was $2100 and repairing the pool was 3600 and of course all those things had to be ordered and would be 2-3 week shipping. Thank God this buyer was a handyman and now we have a dance floor for New Years! He covered the plyboard with a tarp to protect it from the weather and reuse the wood for some other project. And of course, wait a little to save up some money and repair the pool. Thanks, Kim”
Thank you, Kim, for sharing this solution with others!