Mold Problem...still Interested.
I saw a foreclosure today that is in good shape above ground. Nice big rooms...not a lot of work needed. Paint, carpet...usual suspects. On to the basement...big family room with huge fireplace, another bedroom, bathroom and utility room...all with black mold climbing the walls. My first instinct is to run, but if I can get this property cheap enough, it could be a big moneymaker.
Comps are 125-135K, bank listed it yesterday at 81K. With the mold problem, and practically having to redo the whole basement, walls, floors, ceiling, etc and fixing the mold problem and putting it all back together, I'm wondering what some of you would do in this situation and what would you offer? This is a 2600 sf tri-level home on a great lot with a nice privacy fence...in very good shape other than the mold.
I would get estimates on the work needed to remove the mold, document it, then offer the bank less. You can show them the estimate if they squawk.
If the mold is just on the drywall, you may be ok, but I've heard that once it hits the framing, you have a problem. But you live in the South...and moisture is a constant problem, so mold is not an unusual situation. Someone down there has worked around it.
I'm thinking the mold is definitely in the framing. It almost has to be, from the looks of the drywall. I would definitely offer the bank much, much less. I mean, the next step for this house if something isn't done soon will be condemnation. I bet the bank would just love that. It's already uninhabitable.
If it truly would approach condemed, I'd wait and buy it then for 5k.
If you want to get it now, I'd gut any drywall and framing and clean up the mold according to the state/federal law. I believe the EPA has guidelines that you'd need to follow. GIve them a call or write them via their Web address.
Thanks,
OnTheWater
Thanks, On the Water...(wish I was)
I have a feeling that when I contact the EPA, they will go ahead and condemn it then and there. You can smell it strong when you walk in the door.
Once the repairs have been made, isn't there some kind of waterproofing that really works in these situations? I've heard of some form of rubberizing material that is blown onto the inside wall of cinder blocks.
I deal with mold from time to time. Not sure how big the basement is but I just totally redid a smaller sized basement for around 3k. (Approx 600sf). Replaced all the drywall and studs, and had a professional mold company come in and de-moldify the house.
As part of this process they retest for mold after 2 weeks, then guarantee that the mold is gone, thereby removing me from the liability food chain down the road. All I need to do is disclose that there was mold, it was eradicated, and here is the proof.
That being said, I would use the fact of the mold being there to knock the bank back 10-20k more .
Here is the EPA site on mold, http://www.epa.gov/iaq/molds/moldresources.html#Homes%20and%20Molds. All above post correct once mold is gone must disclose that mold was there. Also what caused it are the basement walls leaking? If so then you would also have to correct that. I have seen other post about what that involves do a search of the archives for mold.