Help Understanding An FHA Loan Contingency Section
Hi,
I'm very new to anything related to an FHA loan. We are selling a property that has been freshly renovated. The buyers want to use an FHA loan and I'm not real familiar with the FHA loan process. However, when reading the FHA Loan Contingency Exhibit, section 20 reads:
Home Warranty:If the improvements on Property are less than one year old at the time of Closing, Seller shall, if required by FHA, provide a home warranty certificate acceptable to FHA.
Does this mean I have to personally warranty any issues on the property that may arise within a year or buy a home warranty from a company that offers that. Can someone please explain this and if that clause is normally imposed on renovated properties?
Property is in GA and built in the mid 80’s but renovated the end of last year.
Thanks