Question:

I'm concerned about one of my listings. I have heard that there was a leaking fuel tank in the town where the house is located. How can I obtain information about environmental issues like these? I want to fully disclose any environmental concerns associated with the property.

 Answer:

Great question. In this day and age environmental issues are very important to home buyers. The list of issues are long and cover not only your concern for leaking tanks, but also the existence of old closed land fills, chemical spills, vapor intrusions, etc. You are wise to want to disclose these issues to your clients and customers.

 The best way I know to obtain information about any reported environmental concern dealing with a property is to order a Neighborhood Environmental Report (NER). A NER will tell you any and all reported environmental records within 300ft. and also any environmental records beyond 300 ft.

 Another benefit about ordering a report, or recommending that your clients and customers order a report is that there is a $20 Million Dollar E&O insurance policy associated with the report that covers all people in the transaction.

 If you would like to discuss this in detail and receive a sample report please feel free in contacting me. We also have additional information on our website.

Question:

With so many foreclosures and houses needing repairs and upgrades on the market, what is the best way for my clients to purchase and improve these kinds of properties?

Thanks Very Much.

Answer:

Think 203(k). FHA is very much back in the picture with very high maximum mortgage amounts and very relaxed appraisal guidelines. The 203(k) program is the right program at the right time. The mortgage combines the funds to purchase along with the funds to repair or upgrade the property. Everyone qualifies, you don't have to be a first time home buyer and anyone who would qualify for a standard mortgage will qualify for an FHA 203(k) loan. There is only a minimum of $5000.00 in repairs needed to utilize the program and the ceiling is the maximum loan amount for the area the house is located in. Have a deal that may be in trouble because the house needs a new roof, heating system, upgraded kitchen or bathrooms, exterior siding, etc.?  This is the program that will solve that problem. You can also use the program to upgrade the house to be more energy efficient and save the buyer money at the same time. You can upgrade the heating system to a high efficiency system and increase the amount of insulation in the home. With high energy prices the buyer will be paying less out of pocket money at the end of the month then they would have with the old system.

As 203(k) certified consultants we inspect the house and prepare all the paper work needed to proceed with the program. We have also partnered with lenders that are very experienced in quickly closing these loans.

Don't think of the program only for foreclosed or damaged houses only. To qualify the house only has to be one year old and in need of repairs or upgrades.

Q: I would to advise my customers (sellers) on what they should do to make the home inspection process go smoothly. Also what are the main reasons for a home failing an inspection?

 A: Let's get this out of the way upfront. There are no pass or fail home inspections, at least not with our company. A home inspection should be an unbiased opinion of the condition of a home at the time of the inspection. Also a home inspection should be an educational experience for the home buyer. The buyer should accompany the inspector and the inspector should help educate the buyer about the systems installed in the home.

The top 10 concerns or problems found in the homes I inspect in order of their frequency of appearing in inspection reports are:

1. Improper grade and poor drainage surrounding the home.
2. Clogged gutters and downspouts
3. Roofing and flashing problems.
4. Moisture seepage and high moisture conditions in below grade areas of the home.
5. Exposed electrical wiring, open electric junction boxes and missing receptacle covers.
6. Missing GFCI protection in all areas needed.
7. Poorly serviced heating and HVAC systems
8. Leaking faucets, toilets, showers and plumbing fittings, etc.
9. Interior defects consisting of wall and ceiling repairs, flooring and carpeting repairs.
10. Last is structural. Cracks in foundations, rotted wood structural members, cut or broken joists and rafters, etc.

 The top 10 things sellers can do to make the inspection go smoothly are:

 Make sure all utilities are on. Electric, water and gas.

1. Make sure all electrical panels, HVAC systems and plumbing equipment are accessible by removing stored items
2. Make sure all keys to garages, basements, crawl spaces, etc. are available.
3. Make sure all lighting is working. Replace light bulbs and plug lamps into switched receptacles.
4. Have all documentation for HVAC system servicing, septic servicing, etc. available at the inspection.
5. Make sure all safety equipment is functioning. Smoke detectors, CO gas detectors, garage door reversers, etc.
6. Ask the seller to remove their pets from the property for the duration of the inspection.
7. Clean the gutters! Install proper leaders on down spouts and repair minor grade issues.
8. Trim bushes and trees away from house.
9. Eliminate as many of the minor concerns as possible. Repair broken glass and screens. Fix holes and defects in walls and ceilings.
10. I know I said the top 10 - But I have to add one more - Remove all clutter from the house - The inspector as well as the buyers will have a much better experience in a home clear of clutter.

 Keep the questions coming.

Q: Why don't you use the instant on-site radon test?

A: If I could I would, all inspectors would. The worst part of radon testing is returning to collect the completed test. The Simple truth is that according to the New York State Department of health it is illegal to conduct any radon test for shorter then the recommended minimum exposeure time of 48 hours. For various reasons I also believe that it is also an unethical practice. The only types of devices that can be used must be EPA approved. The instant device used, commonly referred to as the "Computer Test" is not a recognized device and should never be used to test for the presence of radon gas in homes.

The NYS Department of Health has issued orders to cease and desist the use of such devices to the companies utilizing them. In fact they recommend that all houses tested using such devices should be retested using approved devices deployed by certified and listed individuals.

The best position you can be in is to refer only companies that are NYS approved as a Radon Testing Laboratory (ELAP) or tester. That list is available at http://www.homeprony.com/RadonInformation

 We have a short 15 minuet office presentation titled "The Truth About Radon" that we would be happy to present in your office. It will explain, and clear up, all the issues about radon and radon testing. Contact us and we will be happy to present to your office.