Special offer

RADON TESTING AND REMEDIATION - DON'T LET IT INTERFERE WITH THE GOAL!

By
Real Estate Agent with Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate 303829;0225082372

RADON TESTING AND REMEDIATION - DON'T LET IT INTERFERE WITH THE GOAL!

What is the goal for the buyer?  Buying a home.Home Inspection

What is the goal for a seller?  Selling the property.

FOCUS!  FOCUS!  FOCUS!  Don't let a Radon matter be the focus. 

RADON TESTING AND THE CONTRACT OF SALE.

Reuben Saltzman discusses Radon testing with a good outline for buyers and sellers.  However, being a home inspector and not a Realtor, he is focused on the test and not the CONTRACT OF SALE.

Reumen writes about who pays for mitigation:  "Ideally this would be decided ahead of time, but I've never heard of this actually happening"

IT, WHO PAYS, SHOULD ALWAYS BE DECIDED AHEAD OF TIME.  In my experience, the matter of who pays for mitigation following a high test result is always covered in the Contract of Sale through the Radon test CONTINGENCY.

Buyer and seller agree to the terms and conditions for Radon reduction when the contract is negotiated, not after the test is completed.

Actually, the cost of Radon testing performed by certified testing companies is around $150 and the cost of remediation is, under normal circumstances, about $750-$1,200.  In high Radon areas, the seller should already have done the test and any recommended remediation prior to listing the home for sale.  If the seller has not addressed the Radon matter prior to listing the property for sale, the buyers have two options: 

1.  Test and remediate, if a high reading is received, after taking possession of the property.

Or

2.  Make a Radon Contingency a part of the contract wherein the seller agrees, if a high reading is received, to install Radon remediation equipment to meed EPA standard.

If the buyer is interested in Radon testing, it can easily be performed and remediation equipment installed after closing. 

For the life of me, I cannot see a Radon test and remediation being the cause of a buyer missing a good buying opportunity to buy or a seller risking the loss of a sale because of a Radon test and remediation.

DON'T FORGET TO REBLOG!  THANKS.

Courtesy, Lenn Harley, Broker, Homefinders.com, 800-711-7988.

Posted by


_______________________________________________________________________________________________________


Want to learn more about Loudoun County, VA? Join Loudoun County, VA on Facebook!

Comments (32)

Glenn Roberts
Retired - Seattle, WA

Radon is not a big issue in this part of the country. I would think that as part of a listing where it is, the listing agent and seller would have this discussion. Other areas that are potential problems are often addressed at the time of preparing to list.

Oct 05, 2010 02:36 AM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Glenn.  I agree completely.

Oct 05, 2010 02:41 AM
Craig Rutman
Helping people in transition - Cary, NC
Raleigh, Cary, Apex area Realtor

I am adamant about my buyers having a radon test performed in any home they put an offer in on. It's just that important to know prior to closing day.

Oct 05, 2010 02:49 AM
Joshua Zargari
MJ Decorators Workshop LI staging and home decorating - Lynbrook, NY
MJ Decorators Workshop

Open the windows...

Thank you Lenn!

Oct 05, 2010 03:29 AM
Missy Caulk
Missy Caulk TEAM - Ann Arbor, MI
Savvy Realtor - Ann Arbor Real Estate

Lenn, up here in Ann Arbor, Radon testing is standard on all of our contracts, it is contingency. It must be satisfactory to the purchasers. If it comes back over 4.0, the buyers ask the sellers to mitigate. It runs about 800.00.

99.9% of the time the sellers do as it will show up again on the next inspection.

 

Oct 05, 2010 03:32 AM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Craig.  I just don't see it as that important.  In a normal home, testing and remediation is simple and inexpensive.  Depends on how much the buyers want the property.  Every contingency puts the offer at risk.

Joshua.  HA!  That's what the sellers do while the test is going on.

Missy.  The contingency paragraph is in our Inspection addendum.  However, the buyers doesn't have to include it in the offer.  They most often do.  How we handle it depends on how much the buyers want the property.

Oct 05, 2010 03:37 AM
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Lenn, here in my area Buyers do Radon testing all the time, but Radon is not much of a problem around here, so remediation rarely becomes an issue.  But I can see where that could be a stumbling block in the course of a purchase.  Buyers are usually pretty tight on money these days, and even an extra $750 - $1,200 could present a big problem.

Oct 05, 2010 04:00 AM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland


Goodness George.  If a buyer is strapped for $750,1200, are they financial able to take on home maintenance??  Home repairs are inevitable. 

When a buyer wants a house and is financially sound, Radon shouldn't put a sale in jeopardy.

Oct 05, 2010 04:30 AM
'The Diamond Group' 'A Cut Above The Rest'
The Diamond Group @ Keller Williams - Lubbock, TX
Lubbock Texas Real Estate

We have one area of town that Radon has been found in and several homes have been treated.  Isn't usually a problem here.

Oct 05, 2010 04:55 AM
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Lenn, I deal with First Time Homebuyers all the time, and a good percentage of that time they need to have mom or dad gift them the downpayment and the Sellers to contribute towards Closing Costs.  Many of them have very little of their own money in the bank.  It is not a requirement to have reserve money in order to purchase a property (it should be a requirement).  Reserves are only need for 3 to 4 multi-family properties, and on occasion 2 family properties.

Many of the First Time Homebuyers that I talk to have good income, but have been spending it all.  Saving is not something that the younger generation does very well, and to top it off the younger generation is a now now generation.

You and I know that home repairs are inevitable, but all they see is the now.  But when the inevitable happens, the troubles begin, and it becomes everyone else fault.

Oct 05, 2010 04:58 AM
J. Philip Faranda
Howard Hanna Rand Realty - Yorktown Heights, NY
Associate Broker / Office Manager

I don't see how it could be anything but the seller's responsibility. The practice in New York is that all environmental or concealed issues, such as oil tanks, radon, or termites are the responsibility of the seller to cure. 

 

Oct 05, 2010 07:38 AM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Elizabeth.  Interesing.  Must be an outcropping of rock.

George.  I understand completely.  They will be surprised.

Phil.  Radon inspection and remediation are negotiated here.  Termites are covered by the contract and seller pays for treatment and repairs up to 2% of the price which can be negotiated.  Oil tanks have to be covered by an environmental contingency. 

 

Oct 05, 2010 08:19 AM
Charlie Ragonesi
AllMountainRealty.com - Big Canoe, GA
Homes - Big Canoe, Jasper, North Georgia Pros

I told a buyer about Radon testing. The inspector who I had never met before said , Why are you telling the buyer to do a Radon test. I told him I didnot tell my buyer anything. I was just making my buyer aware of potential issue. The inspector looked at me and said you are the first agent to ever to this. and shook my hand. That was a good rest of the day for me

Oct 05, 2010 09:37 AM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Charlie.  My goodness.  Of course you tell buyers about the Radon matter.  It's a deadly poison and not something to take lightly. 

I just looked at the GA map and Pickens County is pretty far west.  I would imagine there could be some Radon issues there.

Oct 05, 2010 11:10 AM
Andrea Swiedler
Berkshire Hathaway HomeServices New England Properties - New Milford, CT
Realtor, Southern Litchfield County CT

Lenn, Like Bill Gassett said, here in CT mostly it falls to the seller. I warn my sellers about it. Radon tests are usually checked off as a separate inspection on the offer to purchase as a contingency. Usually the test results are in before we go to contract and the negotiating has already been done for it if the tests are high. The real issue is... radon in water. That can stop a clock for sure.

Great post! Know what is usual and customary in your area of the country, be prepared for all outcomes.

Oct 05, 2010 01:16 PM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Andrea.  About the same here but the tests aren't ordered until we have an accepted contract, then usually with a 10 day contingency to produce the repair, remediation report.

Radon in water is ordered by my buyers when there is a well.  About 20% of my sales are with well water.  Most of our netword partners are in urban areas with city water.

Oct 05, 2010 11:17 PM
Jeff Belonger
Social Media - Infinity Home Mortgage Company, Inc - Cherry Hill, NJ
The FHA Expert - FHA Loans - FHA mortgages - USDA loans - VA Loans

Lenn... I haven't seen anyone really talk about this, and it's some good advice and information. I am writing a 5 part series for first time homebuyers and will be including a link to this. thanks

jeff belonger

Oct 07, 2010 03:54 PM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Jeff.  HA!  Noone talks about Radon because THEY CAN'T SEE IT.  Therefore, they can deny it exists.

 

Oct 07, 2010 10:22 PM
Bruce Breedlove
Avalon Inspection Services - Colorado Springs, CO

The thing to keep in mind is that, with very few exceptions, any house can be mitigated for a reasonable price. One house I tested had a radon concentration of about 150 pCi/L (WELL above the Action Level of 4 pCi/L) and after mitigation the radon concentration was below 2 pCi/L.

Nov 07, 2010 04:58 PM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

Bruce.  Indeed.  The highest reading I have had was 67 pCi/L in Mt. Airy, MD.

After mitigation (after closing since it was new construction), the reading was under 2 pCi/L.

The mitigation ALWAYS brings the levels down to a very low reading, lower than outside the house.

Nov 07, 2010 09:38 PM