The inspection protects you. The appraisal protects the lender.
Know who each one is for.
These two words come up in every home purchase, and a lot of first-time buyers mix them up.
The home inspection is for you. A trained inspector walks through the house and checks things like the roof, furnace, water heater, plumbing and electrical. Their report tells you what you're really buying, so there are no surprise repairs after you move in.
The appraisal is for the lender. An appraiser decides what the home is worth, so the bank knows it isn't lending more than the house is worth.
A house can appraise just fine and still need a new furnace. That's why the inspection matters so much, especially with older homes like many in Rochester.
Plan for an inspection in your budget, even if the house looks perfect. It's one of the best ways to protect your money.
General education only, not legal, tax or lending advice. Program rules vary; ask your lender, attorney or program office about your situation.