Urgent: Chinese drywall may need to be reported with the appraisal

[Mike Garrett RAA]

Radon gas is a major problem IN MY AREA. Should I test the property for it's presence? Hell no! I am an appraiser, not a home inspector.

 

[Bearslide]

Radon gas is a major problem IN MY AREA. Should I test the property for it's presence? Hell no! I am an appraiser, not a home inspector.

I would agree that most of us are not home inspectors. However, if there are conditions prevalent in a given area, and particularly if they are public knowledge, it would seem to me remiss of the appraiser to not at least note said potential conditon in an appraisal report. It is then up to the lender to decide what, if anything, they will require. If it is at least noted, they can never come back on you and say you didn't tell them of the possibility. IMO, that falls into the category of due diligence and avoiding potential lawsuits.

Our area has a termite problem - quite common. I note that in my reports, and state the lender may wish to consult a suitable professional in the field of wod pest infestation. If I see evidence of active infestation, or conditions that would be inviting to the little buggers, I condition the report for an inspection.

 

[Vetteman]

Pssst...repeat after me. "I am an appraiser, I am not a home inspector!"

I have been putting this statement in my addendum for 13 years:

THE APPRAISER IS NOT A HOME OR ENVIRONMENTAL INSPECTOR. THE APPRAISER PROVIDES AN OPINION OF VALUE. THIS APPRAISAL REPORT DOES NOT GUARANTEE THAT THE SUBJECT PROPERTY IS FREE OF STRUCTURAL DEFECTS OR ENVIRONMENTAL PROBLEMS. THE APPRAISER PERFORMS AN INSPECTION OF VISIBLE AND ACCESSIBLE AREAS ONLY. NO DETERMINATION HAS BEEN MADE BY THE APPRAISER AS TO THE PRESENCE OF TERMITES, RADON GAS, LEAD-BASED PAINT, SOIL CONTAMINATION DUE TO HYDROCARBONS OR ANY OTHER MATERIAL THAT MAY AFFECT THE VALUE OF THE SUBJECT PROPERTY. THE VALUE STATED IN THIS APPRAISAL REPORT IS SUBJECT TO NONE OF THE MENTIONED FACTORS BEING PRESENT OR ACTIVE. A PROFESSIONAL HOME OR ENVIRONMENTAL INSPECTION BY AN EXPERT IS ALWAYS RECOMMENDED.

If I have to add Chinese drywall or ghosts or whatever, so be it. If I see something obvious or am told something (rare...try to abide by the don't ask don't tell rule) then I will make a statement. Look, if you kill a deal by raising a false concern (i.e. the A/C coils are corroded so the house must have Chinese drywall) then you are potentially liable to someone for something.

 

[J in Florida]

Isn't there some kind of blanket statement that could cover ALL unknown possible contaminants. Is it not IMPOSSIBLE to know of or list every single solitary potential contaminant or defect that could potentially be present, lest you be sued??

FOR CRYING OUT LOUD!!!

meth lab chemicals, spilled pain thinner, photographic chemicals, old civil war undetonated muskets, indian spirits and curses, Jeffrey Dahmer's victims skeltons, pods left over from ancient extraterrestrials, unhatched dinasaur eggs under the slab, etcetera, etcetera, ad nauseum blah blah freaking blah.

 

[Eli Weiss]

Vettaman, you are one of those ALL CAPS GUYS, huh?

 

[Kathleen Hayes]

Garbage mortgage backed securities for your drywall. Go fish.

 

[Vetteman]

Vettaman, you are one of those ALL CAPS GUYS, huh?

yup...hard to teach an old dog new tricksm2:

 

[Vegan702]

Just put a statement in the report that the house is in an area that used Chinese drywall at the same time that this house was constructed and it may or may not have Chinese drywall which may or may not require repair if upon inspection it is determined that the drywall is putting off hazardous odors, etc. Seems simple enough. Just like lead paint, etc.

 

[Linda F Jones]

There is no way that an appraiser can determine Chinese Drywall. Not all Chinese Drywall emits an order, and not all homes show signs of corrison to plumbing or electric. However, low levels of toxic gases are being emited even without these signs. Visal inspections are only successful in advaced stages of contamination. The only way it can be determined is by gas detectors sufficient to detect low levels of toxic gases. The only thing that appraisers can do is to simply disclose that Chinese Drywall may have been used during building of a new homes which started in early 2004 to present, or remodeling of an existing home.

An inspection by someone who is qualified, and using the correct equimpment should be done, and may effect the value of the home.

 

[Linda F Jones]

There is no way that an Appraiser can determine Chinese Drywall. Not all Chinese Drywall emits and odor, and there may not be signs of corrision in the exposed plumbing, electrical, or appliances. However, low levels of toxic gases could still be emited. It is only in the advanced stages of contamination that a visal inspection can spot Chinese Drywall. The only way to determine if Chinese Drywall is in fact present is by using a gas detector that can sense low levels of gases.

In my opinion the only action that an Appraiser can take is to insert a specific hold harmless statement in the appraisal that states:

Chinese Drywall was importated into the United States as early as 2004, and used in the construction of newly built homes along with rehabed homes. It has recently been determined that Chinese Drywall does emit gases that maybe harmful to the intergery of the home. It is recommeded that an inspection be done by qualified inspector to make the determination.