Is a home inspection the same as an appraisal?

A home inspection and an appraisal are not the same. They serve different purposes.

An inspection is optional, but highly recommended. It provides a detailed report on the condition of the property including the structure, systems, and any safety issues. It is paid for directly by the buyer and is not included in closing costs.

An appraisal is required by the lender. It determines the market value of the property to ensure it meets loan requirements. The cost is typically included in closing costs.