What does a home inspection do?
A home inspection is a visual examination of the home’s condition: roof, structure, exterior, attic, plumbing, electrical, heating and cooling, and the other accessible systems. The inspector documents what is working, what is worn, and what needs attention, then delivers a written report you can act on during your due-diligence period.
The inspection works for you. You choose the inspector, you pay for it, and the findings exist to inform your decision. In Georgia that choice deserves extra care, because the state does not license home inspectors. The Georgia buyer’s guide covers how to vet one.
What does an appraisal do?
An appraisal is a professional opinion of the home’s market value, prepared by a licensed appraiser. Your lender orders it because the house secures the loan, and the lender wants evidence that the value supports the purchase price. The appraiser evaluates size, location, overall condition, and recent sales of comparable homes.
According to the Consumer Financial Protection Bureau, lenders are generally required to give you a copy of the appraisal report promptly after it is completed. Read it. It is useful information. It is just not an inspection.
How do they compare, side by side?
| Home inspection | Appraisal | |
|---|---|---|
| Answers | What condition is the house in? | What is the house worth? |
| Works for | You, the buyer | The lender’s loan decision |
| Who arranges it | You choose and hire the inspector | The lender orders it |
| Depth | Hours on site; systems examined; attic and crawlspace where accessible | A briefer visit focused on features, condition overview, and comparable sales |
| Output | A written condition report with findings and photos | A written opinion of value |
| Licensed in Georgia | No state license for inspectors, so vetting is on you | Yes, appraisers are state-licensed |
| Optional? | Your choice, made during due diligence | Usually required by the lender for a mortgage |
Can the appraisal replace the inspection?
No. An appraiser may note obvious problems that affect value, but appraisers do not test systems, run water, open electrical panels, or examine the roof and crawlspace the way an inspector does. A house can appraise at full value while carrying problems that would change your mind about buying it. One of Scott’s clients described exactly that gap:
It turns out the house had multiple major issues that the sellers were covering up. Scott found all of them and we steered clear.
(Joe Gonzalez, Google review, quoted verbatim.)
The reverse is also true: a spotless house can appraise below the contract price in a hot market. Clean inspection, low appraisal. Different questions, different answers.
What happens if either one comes back with bad news?
They trigger different conversations, usually inside your due-diligence and financing windows:
- Inspection findings feed a repair, credit, or price conversation with the seller, or support walking away. The guide on what happens after the inspection walks through those options.
- A low appraisal is a financing problem: the lender bases the loan on the lower number. Buyers typically renegotiate the price, bring more cash, or challenge the appraisal. Your agent and lender lead that conversation.
Timing both early inside your windows is the practical takeaway. Book the inspection the day you go under contract, and your lender will schedule the appraisal on its own track.