A home inspection in Texas is a visual check of a home's structure and major systems by an inspector licensed by the Texas Real Estate Commission (TREC), reported on TREC's standard Property Inspection Report form (REI 7-6). It's optional, you arrange and pay for it, and it isn't the same as your lender's appraisal. HUD and VA both say an appraisal is not a home inspection. Schedule it during your option period, which TREC describes as the time to inspect and negotiate repairs, then decide whether to ask for repairs on TREC's Amendment to Contract, renegotiate, or walk away.
I'm Taylor Ring, a Mortgage Loan Officer with Fairway Independent Mortgage Corporation (The Wood Group) in Belton. Buyers often ask me whether their loan's appraisal "covers" the house. It doesn't. This guide draws on TREC's forms, Standards of Practice, and FAQs, plus HUD and VA guidance, read October 21, 2026. For deadlines and the option fee, see my Texas option period and option fee guide.
Under contract or about to be? Get Pre-Approved or Book a Free Consultation.
Who Can Inspect a Home in Texas
The TREC resale contract (form 20-19, Paragraph 7A) lets you use inspectors you select who are licensed by TREC or otherwise permitted by law to make inspections. TREC licenses three types of inspectors:
- Apprentice Inspector: must be sponsored and directly supervised
- Real Estate Inspector: must be sponsored and indirectly supervised
- Professional Inspector: can inspect without sponsorship or supervision
Before you hire anyone, check TREC's License Holder Search, which shows whether a license is active and any disciplinary history. TREC also requires inspectors to file proof of professional liability insurance.
TREC's FAQs note that some work needs a different license:
- Mold inspections are regulated by the Texas Department of Licensing and Regulation.
- Termite (wood-destroying insect) inspections require a separate pest control license.
- Hydrostatic plumbing tests take a licensed plumber and, under the resale contract, the seller's written permission.
What a Texas Home Inspection Covers
TREC's Standards of Practice (22 TAC 535.227-535.233) call the inspection "a limited visual survey and basic performance evaluation" of a home's systems and components. The REI 7-6 form is organized like this:
| REI 7-6 Section | What's on the Form |
|---|---|
| I. Structural Systems | Foundation, grading and drainage, roof and attic, walls, ceilings, floors, doors, windows, stairs, fireplaces, porches and decks |
| II. Electrical Systems | Service panels, branch circuits, outlets, and fixtures |
| III. Heating, Ventilation and Air Conditioning | Heating and cooling equipment, ducts, and vents |
| IV. Plumbing Systems | Water supply, fixtures, drains, water heater, gas lines and gas appliances |
| V. Appliances | Dishwasher, disposal, range and oven, microwave, exhaust fans, garage door openers, dryer vent |
| VI. Optional Systems | Sprinklers, pools and spas, outbuildings, private wells, septic systems |
Source: TREC Property Inspection Report, REI 7-6.
Two details stand out. TREC says an inspector hired to inspect a foundation must give a written opinion about the foundation's performance. And the optional systems in Section VI are inspected only if you and the inspector agree, so if the home has a pool, well, septic system, or sprinklers, ask for them when you book.
What Texas Inspectors Aren't Required to Do
The Standards of Practice list general limitations. An inspector is not required to:
- Inspect anything buried, hidden, or concealed, detached buildings, fences, driveways and sidewalks, or smart home, security, and solar systems
- Determine the presence of pests, wood-destroying insects, asbestos, lead-based paint, or mold
- Determine life expectancy, insurability, code compliance, or the cause of a deficiency
- Report cosmetic issues or ordinary wear and tear, or move furniture and stored items
HUD's form says an inspection can estimate the remaining useful life of major systems, but TREC's standards don't require it. If you want life estimates, ask up front.
How to Read the REI 7-6 Report
Each item is marked I (Inspected), NI (Not Inspected), NP (Not Present), and, when it applies, D (Deficient): a condition that "adversely and materially affects the performance of a system or component" or is a hazard to life, limb, or property. The form also tells you:
- Older homes will show "deficiencies" that were legal when built. The form requires certain hazards to be marked Deficient even if they met code back then, such as missing GFCI or AFCI protection, faulty smoke alarms, and missing bonding on gas piping, including CSST.
- A Deficient mark doesn't obligate anyone. The form says Deficient items "DO NOT obligate any party to make repairs or take other actions." The decision is left to the buyer and seller.
- Get follow-up opinions fast. TREC recommends getting further evaluations and cost estimates from qualified service professionals before contractual deadlines such as option periods end.
Appraisal vs. Inspection: What Your Lender's Review Doesn't Replace
TREC's consumer guide describes an appraisal as a value estimate, usually requested by the lender to confirm the home is enough collateral. An inspection is for you.
| Home Inspection | Lender's Appraisal (FHA, VA, or other) | |
|---|---|---|
| Who arranges it | You | The lender |
| Who it's for | You, the buyer | The lender (and FHA or VA on those loans) |
| Purpose | Condition of the home's systems and components | Value, and for FHA and VA, basic property requirements |
| Required? | No | Typically, when a loan is involved |
| Tests systems and appliances | Yes, under TREC's standards | The VA appraiser isn't required to check mechanical systems or appliances |
FHA Loans
FHA lenders must give you form HUD-92564-CN, "For Your Protection: Get a Home Inspection," at first contact. It says, "A home inspection will only occur if you arrange for one; FHA does not perform home inspections," and that if you find problems after closing, FHA can't give or lend you money for repairs or buy the home back.
The FHA appraiser checks the home against HUD's Minimum Property Requirements (safe, sound, and secure) and reports readily observable defective conditions. Signs like a leaking roof, faulty mechanical systems, or possible pest infestation can lead the appraiser to require an inspection by a qualified specialist. That protects the loan; it isn't a full inspection for you. More in my FHA loan requirements in Texas guide.
VA Loans
VA says a home inspection isn't required for a VA loan but is strongly recommended, and "A VA home loan appraisal does not serve as an inspection." The VA appraiser checks VA's Minimum Property Requirements: safe, structurally sound, and sanitary. VA's appraiser training adds that where its termite probability map shows "very heavy" or "moderate to heavy" risk, a wood-destroying insect inspection report is required on the Notice of Value. See my VA loans page.
When the Lender Requires Repairs
If the appraisal calls for repairs, Paragraph 7E of the resale contract applies. Unless agreed otherwise in writing, neither party has to pay for lender-required repairs, including termite treatment. If no one agrees to pay, the contract terminates and your earnest money is refunded. If the repairs cost more than 5% of the sales price, you can terminate and get your earnest money back.
Repair Requests and the TREC Amendment
With the report in hand, you can ask for repairs, a price change, or help with costs. Those requests go on TREC's Amendment to Contract (form 39-11):
- Box 1: a new sales price
- Box 2: specific repairs and treatments the seller will complete at the seller's expense
- Box 4: a new amount for the seller's contribution toward your costs under Paragraph 12A(1)(b)
- Box 6: how lender-required repairs will be paid
If the seller agrees to repairs, Paragraph 7F says that, unless you agree otherwise, the seller must finish them before closing with any required permits, use licensed people (or people in that trade when no license is required), give you documentation of the work and payment, and transfer transferable warranties to you. If the work isn't done, you can use your contract remedies or extend closing up to 5 days.
Be specific. TREC's contract warns against vague phrases like "subject to inspections." Asking for a seller contribution instead? Loan programs cap it; my seller closing costs in Texas guide lists the limits.
Hypothetical example: a report marks the water heater and a missing GFCI outlet as Deficient. The buyer gets a plumber's written estimate, then sends an amendment asking the seller to have a licensed plumber fix the water heater and an electrician install the GFCI, with receipts before closing. The seller can agree, counter, or refuse, and the buyer still decides by the option deadline. This is a hypothetical scenario, not an actual client transaction.
Inspections on New Builds
A brand-new house still deserves an inspection. Both TREC new home contracts, form 24-20 (Completed Construction) and form 23-20 (Incomplete Construction), let you hire your own TREC-licensed inspector. Keep these points in mind:
- The city's inspection isn't yours. Under form 23-20, the home counts as substantially completed after final inspection and approval by government authorities and any lender. Those inspections aren't done for you.
- TREC's standards are written for finished homes. They apply to homes that are "substantially completed," meaning ready to occupy. For an earlier construction-stage visit, agree in writing on what the inspector will check.
- Warranties come from writing. Both contracts say the seller makes no other express warranties beyond the contract, a separate writing, or law, and assigns manufacturer warranties to you at closing.
- FHA paperwork protects the loan, not your punch list. FHA lenders collect builder certifications, a warranty of completion (form HUD-92544), required construction inspections, and termite protection documents.
Buying new? My Leander buying guide covers builder incentives, and my construction loans page covers financing a build.
What a Texas Home Inspection Costs
TREC says it "does not regulate the fees" paid to inspectors; fees are set by your agreement with each professional. Costs vary, so get quotes from a few licensed inspectors and ask what's included and what add-ons like pools, wells, septic, or termite inspections cost. My closing costs in Texas guide covers the rest of your budget.
Frequently Asked Questions
Is a home inspection required in Texas?
No. The TREC resale contract gives the buyer the right to have the home inspected but does not require it, and FHA and VA do not require a home inspection for their loans. HUD and VA both recommend one, because a lender's appraisal does not replace a home inspection.
What does a Texas home inspector check?
A TREC-licensed inspector performs a visual survey and basic performance evaluation of the home's structural, electrical, heating and air conditioning, plumbing, and appliance systems and reports on TREC's REI 7-6 form. Pools, wells, septic systems, sprinklers, and outbuildings are optional items inspected only if you agree to add them.
Does an FHA or VA appraisal count as a home inspection?
No. HUD's form HUD-92564-CN says FHA does not perform home inspections and that an appraisal does not replace one. VA says its appraisal does not serve as an inspection. Both appraisals check value and basic property requirements for the lender, not the full condition of the home for you.
Does the seller have to fix items on a Texas inspection report?
No. TREC's REI 7-6 form says items marked Deficient do not obligate any party to make repairs. Repairs are negotiated, usually during the option period, and any agreement goes on TREC's Amendment to Contract. Lender-required repairs follow Paragraph 7E of the resale contract.
Should I get an inspection on a new construction home in Texas?
Yes, it is worth considering. TREC's new home contracts let the buyer hire a TREC-licensed inspector, and city or lender inspections serve their own purposes rather than reporting to you. TREC's Standards of Practice apply to substantially completed homes, so agree in writing on the scope of any earlier construction-stage visit.
Questions Before You Schedule Your Inspection?
I'll get your loan moving so you know where it stands before your option period ends.
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Related Guides
- Texas Option Period and Option Fee
- Earnest Money in Texas
- Seller Closing Costs in Texas
- FHA Loan Requirements in Texas
- Closing Costs in Texas
- Buying a Home in Texas
Sources
- TREC Property Inspection Report, REI 7-6 (effective February 1, 2022) and Real Estate Inspector page
- TREC Inspector Standards of Practice, 22 TAC 535.227-535.233 (effective February 1, 2022)
- TREC Consumer Guide and License Holder Search
- TREC One to Four Family Residential Contract (Resale), 20-19, Amendment to Contract, 39-11, New Home Contract (Completed Construction), 24-20, and New Home Contract (Incomplete Construction), 23-20
- HUD-92564-CN, For Your Protection: Get a Home Inspection and HUD Handbook 4000.1
- VA Quick Reference for Real Estate Professionals and VA 2023 Staff Appraisal Reviewer training
Taylor Ring, NMLS #2809683 | Fairway Independent Mortgage Corporation, NMLS #2289 | The Wood Group of Fairway, 127 Lake Rd Ste 300, Belton, TX 76513 | Equal Housing Opportunity. This is not a commitment to lend. All loans are subject to credit approval and program guidelines, and approval, rates, and program availability are not guaranteed. This article is general information, not legal advice; your contract's terms control, so consult a real estate attorney with questions. Examples are hypothetical. Not affiliated with or endorsed by the Texas Real Estate Commission, HUD, FHA, VA, or any government agency.