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Grow Ops - Buyer Protection

By
Real Estate Agent with Century 21 Coastal Realty Ltd.

So I have signed on for 30 blogs in 30 days. First of all, really hard and I am only on day 5. I don't know how the rest of the participants are doing it but I made a list of possible subjects. There is always is so much new to learn anyway that I figured I would do the research and simply share my findings.

This blog started because I wanted to know with confidence what to say to a prospective buyer about buying former grow ops that had been restored. I figured my blog would detail the associated insurance and financing problems and the reduced market value and desirably of the property for resale, etc. I was already a familiar with some of the problems so I figured it wouldn't be too difficult.

When I came across the Marketplace report I was floored - absolutely and completely floored! I was naive in thinking that a home inspection would absolutely protect home buyers from buying former grow ops.

I did know that today's drug dealers actually prefer the upscale or newer homes in well established communities or brand new housing developments over the older homes in run down communities. They can hide better and it may only take the production of as little as a couple of marijuana crops or a few meth brews to easily cover off the entire cost of the home. I have heard the stories of operators offering the home to their "growers" as repayment for growing the plants and it stands to reason that growers may then sell the house for their payment. This can happen time and time again since grow houses are used for short periods of time and the operators tend to switch locations to avoid detection by neighbours and police.

In some areas of BC it is estimated up to 1 in 4 houses have been used as a grow operation or meth lab at some point. That is a twenty-five percent chance! Often buyers will not the see the need to have a relatively new house inspected. I think I will be doing my best to talk them into the light.

The best protection for a Buyer is to hire qualified professionals to do a complete inspection of the property. A Buyer should do their own research and not hire someone merely because they quote the lowest price or because they are a relative or a friend of a friend. Hire them because they come well recommended, have the proper tools and equipment and credentials of the profession.

Ask what kind of experience they have and ask for references. Get as many as possible from the inspector and call them all. Ask if you can follow them around during the inspection? A good inspector will encourage you to take part and will clearly communicate any serious problems, and not bury them in a checklist. What kind of equipment do they use? A pen and paper are simply not enough.

Here are some signs that a property may have once been a grow-op:

  • Some of the windows have been covered over with paint or other materials
  • A musty smell and humid feeling to the air inside the house and/or basement
  • Minimal landscaping has been done to the property
  • Evidence that holes in floors, walls and ceilings (used for ventilation) have been covered up with fresh paint or drywall patches
  • Water stains at the bottom of drywall
  • Mould on floors, walls or ceilings
  • Burn marks on the floors
  • Painted or unpainted concrete floors in the basement with circular marks
  • Patterns of screw or nail holes on walls and ceilings or floor joists in the basement, used to hang lights
  • Nail or tape marks around windows or walls
  • Electrical and plumbing systems that appear to have been modified or tampered with
  • Condensation or discolouring of the roof

If a grow op is suspected, or even just to be sure, hire a specialist who can provide a full range of indoor environmental testing including onsite mold testing, air testing that measures the level and species of mold in the air and a full range of other indoor air quality tests. When problems are hidden air testing is the best method to detect potential mold and toxins.

All of the above information I compiled from information on the internet. I am not an expert in these matters just very concerned about this "growing" problem. Please consult with an expert in the field if you have any questions or concerns.

Posted by

I will do what it takes to earn your trust.  I am not just looking for "a deal", I am looking for lifelong clients who will use me for all their real estate needs for years to come and wouldn't hesitate in recommending me to family and friends.  Give me a call if you are thinking of buying or selling real estate in Delta, Surrey, White Rock or Langley, BC.  

Diane Friesen
Century 21 Coastal Realty Ltd.
Realtor in Delta, Surrey, White Rock and Langley, BC
(604) 866-5944
www.OnlyYourNeighbourhood.ca

Comments(2)

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Peter Pfann @ eXp Realty Pfanntastic Properties in Victoria, Since 1986.
eXp Realty, Victoria BC www.pfanntastic.com - Victoria, BC
Talk To or Text Peter 250-213-9490

Hi Diane,

Again a great post on a very important topic, nice job on your tips

and good luck on your 30 day challenge. we reblogged your previous post and will reblog this one as well my compliments.

Happy Selling

Aug 31, 2010 03:37 PM
Diane Friesen
Century 21 Coastal Realty Ltd. - Surrey, BC

Hi Peter and Linda - thank you so much for the complement of re posting my blog.   I have learned so much by researching this problem.   The funny thing is that we had a client today at the law office where I work (during the day) wanting a Contract written for this "steal of a deal".   Less than market value - sellers don't want to use a Realtor, Seller wants to close quickly because he is leaving the country . . . warning bells went off in my head that won't necessarily have a couple of days ago.   We are going to draft the Contract but the client was given legal advicee to find the best home inspector around to do the home inspection.   I felt really good about having shared my findings with the lawyer during that meeting.   Anyway - today I posted my last prewritten blog - back to research I go.  A blog a day is really tough stuff.   Talk to you again soon.

Diane   

Aug 31, 2010 04:20 PM