Jun 24, 2010

Disclosing and inspecting for defective Chinese drywall

The Florida Realtors website recently reported on a Miami family that was awarded $2.4 million because of having defective Chinese drywall installed in their home. Defective Chinese drywall can smell like sulfur and corrodes appliances, wiring and other metal. Research is ongoing to determine health hazards and risks of exposure to the drywall.

A potential home buyer concerned with buying a home which may have drywall problems should take the precautionary steps needed to reduce the possibility of discovering the bad drywall after closing. Selling homes in the Orlando-Kissimmee area require that the owner disclose the existence of Chinese drywall and a strong recommendation that the buyer obtain a full and complete home inspection that includes inspecting for defective Chinese drywall.

Seller disclosure

Buyer should ask the owner of the house that they are thinking of buying for a written property disclosure. The seller can alert the buyer of any mechanical, structural or related issues with the home including the existence of Chinese drywall.

In addition to a detailed seller property disclosure, both buyer and seller can complete the Chinese/Defective Drywall Addendum to Contract. This addendum asks the seller to indicate in writing any knowledge they have pertaining to Chinese Drywall in the home. Equally as important, the addendum makes it clear to the buyer that they have the right to conduct an inspection or risk assessment of the property for Chinese drywall prior to closing of the contract.

Disclosing and inspecting for defective Chinese drywall benefits all parties in the transaction. Contact me if you are interested in purchasing a home in the Central Florida area and would like more information on the home buying process.

1 comment:

Anonymous said...

The Building Envelope Science Institute (BESI) endorsed a remediation protocol back in October 2009 that more than exceeds the recommendations by the CPSC & HUD interim remediation guidance and is aligned with the court's ruling in the MDL-2047 litigation case (and even more comprehensive).

The protocol offered through BESI provides (to-date) the most comprehensive remediation process and was developed based on proven science; nicknamed the “BESI System” because of the institute’s endorsement. The protocol for remediation of defective drywall being offered by BESI considers the following major factors: corrosion, cross-contamination of other building materials, personal belongings, IAQ monitoring program, a proposed national warranty (not an insurance policy), and removal of the stigma from having defective “corrosive” drywall.

In fact, the institute has been certifying qualified candidates for inspection and remediation of structures with defective drywall since last year. Those that have earned a designation as a remediator or consultant through the institute have attended a two-day course with a written final exam; inspectors attend a one-day course with a written final exam. There are prerequisites they have to meet, which includes being in good standing with the state if they are licensed (required for those performing remediation).

It’s good to know that if your home was remediated under this protocol that it would not require more work in order to meet the CPSC & HUD interim guidance. The Institute has a document that helps explain the protocol called, “The BESI System: Understanding the Protocols for Defective Drywall” which is posted on the website. The Institute has a “Nationwide Directory” that currently allows individuals to locate BESI certified inspectors and remediators for defective drywall.

More information about the protocols and requirements can be found at www.BESInstitute.org.