by Dan Connolly on August 13, 2010
Contractors now have to be certified in lead based paint to work on homes built before 1978.
There are some laws which were actually passed a couple of years ago that are going into effect this year, that will drastically affect the home remodeling and home sales business. The law was initially passed April 22, 2008 but it did not go into effect until April 22 of 2010. It is found in section 402(c)(3) of the Toxic Substances Control Act (TSCA). What it does is establish harsh penalties for contractors who renovate homes built prior to 1978, unless they are certified in the handling of lead based paint. This includes painting and other minor repairs. The penalties for non compliance are huge and contractors found in violation of the rule after October 1, 2010 could be fined up to $37,500.00 per day! As the bill penetrated the public awareness, various home building lobbies got involved and the law has been softened a little and contractors must now register for the certification classes by Sept, 30 2010, to be in compliance, and will have until December 31, 2010 to complete the training. But if they are caught working without certification after Oct. 1, 2010 and they cannot prove that they have already registered for the training, they can be fined.
What’s at stake?
The basis for these laws are the fact that in the US nearly a million children have elevated amounts of lead in their systems and it causes profound developmental issues. For years inspectors, Realtors, property managers and other industry professionals would say “just don’t eat the paint chips”, and minimize the danger. The common belief was that if you paint over it that would encapsulate the lead based paint and the problem would be solved. Unfortunately its not that simple. Lead can wick its way to the surface through latex paint and it forms a powder which the painters call “chalk” on the surface of the repainted home and can be absorbed by babies. It takes only a small amount to cause pretty considerable damage. The other issue is that when renovation is done frequently lead that is buried below the surface is released as dust into the home and it can lurk in carpet, draperies, on the ceiling and in the corners. So if a real concerted effort to clean is not made, there can be lead in the room long after the contractors leave. It can also be found in the soil around the house, where toddlers frequently play. There are products which will encapsulate lead if used correctly but they are not just paint. Lead Lock is a product that works and is sanctioned by the EPA.
The EPA has published a list of the certified contractors in your area.If you follow this link and put in your zip code you will get a list of local certified contractors. The state of Georgia also has a list
Are there any exceptions to the new rules?
There are some exceptions to this rule but the rule has been tightening and was revised again on July 7 of this year. Initially if you were willing to state that the home was not occupied by children under the age of 6 you wouldn’t have to necessarily use a certified LBP contractor. They have recently removed this exception to the rule, and their explanation of why can be found here.
Another exception to the rule is if the home was inspected by a certified lead based paint inspector and was found to be free of lead based paint, the contractor does not have to be certified. There is a list of approved lead paint inspectors in Georgia found here. The states are responsible for regulating the licensing of the inspectors and the lead based paint abatement specialists. The EPA will also certify them and has some who are approved listed on their site but the various states have their own lists. The Environmental Protection Division (EPD) of the Department of Natural Resources, is Georgia’s environmental protection and regulatory agency.
The next exception to the rule is if you are doing the renovation yourself. Homeowners are not required to become certified in lead based paint removal, but it is important to realize the insidious nature of lead based paint. Even though you may not have small children lead will affect adults also. Elevated amounts of lead in your system can cause reproductive problems, muscle and joint pain, memory problems, hypertension and high blood pressure. Also the dust can linger in your home and children who visit can pick up dangerous amounts of lead in one visit. If you are doing the renovation yourself the EPA has a guide to help you renovate in a safe manner if you might have lead based paint.
There are testing devices that have been approved by the EPA when used by a certified abatement specialist, a certified inspector or a certified contractor. They can be ordered on line here.
by Dan Connolly on March 1, 2010
When you are buying a home today, a vital step in the process is the professional home inspection. It is a very important part of the process and needs to be done correctly.
BEFORE THE INSPECTION
Generally when you find a property that may be “the one”, you view it, walk through the entire house, open the closets and cabinets, check out the basement, and even might poke your head into the crawl space. Your first look is what tells you that you may have found your ideal home. Typically you are looking at several and at the end of the day it can be difficult to remember details. So most people go back to the house they are interested in pursuing and spend some time checking everything.
Normally you would not hire an inspector at this point, not until you have made an offer and worked out the terms of the contract. It may seem a little backwards, but the rationale is simple. The inspections normally take around 3-4 hours and can cost from around $350.00 and up. You wouldn’t want to spend the time and money on that unless you knew that you were under contract, and that nobody else could step in and buy the house while you were performing your due diligence.
PRE-INSPECT THE HOUSE YOURSELF
But because of the expense of hiring a professional inspector, I think it is important to do as much really careful looking, before you make the offer. There are things that you might catch yourself that could be deal killers. Large cracks in the foundation wall, separation and cracking in the brick siding, swelling and de-lamination of the siding, obviously old and rusted heating systems, old roofs with curling corners and moss growing, water in the basement or crawl space, mold… these things are issues that you should think carefully about before you make your offer. Read the seller’s disclosure and see if there are any issues that may be too much to handle. Go into the attic and the crawl space (really). Only when the house passes your inspection are you ready make the offer and get a contract. You might think you aren’t qualified and don’t know what you are looking for, but give yourself a little credit. In the crawl space, things like standing water, crumbling foundations, lots of extra support beams or jacks, obviously rotten wood… these are all potential problems and do you really want to pay someone $350.00 or more to tell you things you could have seen yourself in 10 minutes?
Now if everything looks good, you make your offer and see if you can come to a meeting of the minds with the Seller. Make sure you specify in your offer the right to inspect for at least ten days after the contract is accepted. Georgia contracts used by Realtors, have a section for “due diligence” and give you the right to cancel the contract if you are not satisfied with the results of the inspection for any reason. Make sure that you check that section and specify how many days you have to inspect. Understand that if you do not respond during the time period you have forfeited the right to cancel the contract or negotiate repairs. When you do negotiate for repairs, understand if the seller does not respond favorably or does not respond at all, you still have to exercise your right to cancel the contract in writing before the ten days is over, or you have bought the house “as-is”
If you get an accepted offer with the right to inspect, then you are on to the professional home inspection. You will want to get this done as quickly as possible because you want to make sure that you are buying the home, before you pay for the appraisal, so time is of the essence. The other reason to inspect quickly is in case there are issues that require further testing.
INSPECT THE INSPECTOR
The home inspection field is not heavily regulated in GA so there are a wide range of skill levels out there. It is important to do your homework when it comes to selecting an inspector. Ask what professional groups the inspector belongs to, and what kind of training he has had. See if there is any kind of guarantee that the inspector won’t miss anything. Most inspectors only guarantee their report to the price of the inspection (in other words they will refund the price of the inspection if they miss something). Some have a bond up to a thousand dollars if they make an error. Look for referrals from people who have done this before.
UNDERSTANDING THE INSPECTION PROCESS AND THE REPORT
It is important to understand that the inspector is only giving you their opinion. If something seems fishy about the furnace or some other system, they will normally recommend bringing in a licensed HVAC contractor to do further evaluations (or an electrician, or a structural engineer). They do not look behind sheet-rock, or take off fixtures to see if they were installed correctly. They can tell the age of the systems from the serial numbers and can measure the output of the A/C. They can test the walls with moisture meters to see if ceiling stains are active leaks. When they look in the furnace the see if there is rust or flickering flames or other telltale signs of problems, but they basically just look. They won’t be able to tell if there is a cracked heat exchanger. So sometimes if the inspector thinks something may be amiss, or even if the systems are just old, it may make sense to get a licensed heating and air company (that you can trust) to check the systems during your inspection period. If there are structural issues you may need to call in a structural engineer. Same with electric or plumbing.
INSPECT MORE THAN THE HOUSE
There are things that the seller is not required to disclose that could have a profound impact on value. Things to check for are: sexual predators in the neighborhood, pedifiles, proposed changes in school districts, crime rates, and more. For crime rates call the local precinct. Call the local schools and ask if redistricting is in the works. For the various predators check: Georgia’s Sex Offender Registry All of these things need to be checked by you during your inspection period. If you are buying a condo, get the bylaws, budgets and minutes of the last meetings. In a condo, find out if the association has a cap on rentals and if they are within the limits set by Fannie Mae and Freddie Mac or FHA (not more than 25% renters). It makes sense to check these things before you hire the inspector.
by Dan Connolly on November 12, 2008
Disclosure in Real Estate Sales - What can be kept confidential?
What is Disclosure?
First of all, a disclosure is a part of the purchase and sale contract that gives the Seller the chance to tell you about any defects he may know about his property. Why would he ever want to do that? Well, because it’s the law. It’s illegal for the seller to hide defects from the buyer. Yet there are some things that the seller doesn’t have to tell you, some things that you may really want to know.
Do you have to tell if you have ghosts in the attic?
Well, I will start with the silly stuff, like is the house haunted? That’s a grey area in disclosure. The courts tend to rule that if the buyer thinks that something is detrimental then it is detrimental. Yet what if the rumor is that the house is haunted but the seller doesn’t believe it? Is he still required to tell you a story he doesn’t believe at all? It would be like me telling you that there was something wrong with the house because it was built while Mercury was in retrograde, if I don’t believe in astrology. There was a case in New York where a seller was sued for not revealing that the house was haunted, and lost. Part of the case hinged on the fact that the seller published a story in Reader’s Digest about the haunted house, so that proved that the seller believed it.
