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“The New Environmental Issue” ©Environmental Solutions Association, 2003

Mold, The New Environmental Issue

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Information on Mold and its impact on real estate transactions

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Page 1: Mold, The New Environmental Issue

“The New Environmental

Issue” ©Environmental Solutions Association, 2003

Page 2: Mold, The New Environmental Issue

How Long has Mold Been a How Long has Mold Been a Problem?Problem?

Mold problems have been receiving a Mold problems have been receiving a lot of attention recently. But, mold is lot of attention recently. But, mold is not such a “New Issue”.not such a “New Issue”. The “Ergot Epidemic”: Mold-induced The “Ergot Epidemic”: Mold-induced

food Poison in Europefood Poison in Europe The “Irish Potato Famine”: Mold stricken The “Irish Potato Famine”: Mold stricken

plantsplants The “Bible”: Leviticus chapter 14The “Bible”: Leviticus chapter 14

Page 3: Mold, The New Environmental Issue

Leviticus Chapter 14, verses 33-57

On the seventh day the priest shall return to inspect the house. If the mildew has spread on the walls. He is to order that the contaminated stones be torn out and thrown into an unclean place outside the town. He must have all the inside walls of the house scraped and the material that is scrapped off dumped into an unclean place outside the town. Then they are to take other stones to replace these and take new clay and plaster the house.

If the mildew reappears in the house after the stones have been torn out and the house scrapped and plastered the priest is to go and examine it and if the mildew has spread in the house, it is a destructive mildew: the house is unclean. It must be torn down - its stones, timbers and all the plaster - and taken out of the town to an unclean place.

Page 4: Mold, The New Environmental Issue

Why Is Mold A Problem Why Is Mold A Problem Today?Today?

Mold Problems have been receiving a Mold Problems have been receiving a lot of attention due to the vast lot of attention due to the vast amounts of sickness and lawsuits amounts of sickness and lawsuits that have been created.that have been created.

Since the 1970’s, home construction Since the 1970’s, home construction has changed.has changed.

Page 5: Mold, The New Environmental Issue

Health EffectsHealth Effects

Respiratory systemRespiratory system Immune systemImmune system Neurological disordersNeurological disorders Nose bleeds/bleeding lungsNose bleeds/bleeding lungs Coughing/Sneezing/Watery eyesCoughing/Sneezing/Watery eyes Allergic reactions/rashesAllergic reactions/rashes DeathDeath

Page 6: Mold, The New Environmental Issue

Health Effects

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Health Effects

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Health Effects

Page 9: Mold, The New Environmental Issue

What is Mold?What is Mold?

It’s simply a fungus.It’s simply a fungus. Mushrooms, Mildew, MoldMushrooms, Mildew, Mold

Main purpose is to break down dead Main purpose is to break down dead materials.materials. Such as wood and fibers (substances Such as wood and fibers (substances

used in building materials)used in building materials) It’s the “bio” in biodegradable It’s the “bio” in biodegradable

Page 10: Mold, The New Environmental Issue

Molds produce airborn spores and Molds produce airborn spores and gases.gases.

Molds like moisture.Molds like moisture. On average molds like temperatures On average molds like temperatures

between 32 to 104 degrees Fahrenheit. between 32 to 104 degrees Fahrenheit. Typically molds do not die above or below Typically molds do not die above or below

these temperatures, they go dormantthese temperatures, they go dormant

What is Mold?What is Mold?

Page 11: Mold, The New Environmental Issue
Page 12: Mold, The New Environmental Issue

What Is Mold?What Is Mold?

Molds are divided into 3 basic groups:Molds are divided into 3 basic groups: Allergenic: Allergenic: Molds that can cause symptoms Molds that can cause symptoms

such as coughing, wheezing, runny nose.such as coughing, wheezing, runny nose. Pathogenic:Pathogenic: Molds that can cause Molds that can cause

suppressed immune systems.suppressed immune systems. Toxic: Toxic: Molds that can cause serious health Molds that can cause serious health

effects in almost everyone. effects in almost everyone. These effects can be short-term irritations to These effects can be short-term irritations to

even cancers.even cancers.

Page 13: Mold, The New Environmental Issue

Why is Mold More Prevalent in Why is Mold More Prevalent in Homes Today?Homes Today?

Since the 1970’s oil shortage, home Since the 1970’s oil shortage, home construction changed dramatically.construction changed dramatically. Heavier insulation of homesHeavier insulation of homes ““Wrapping” of homes with a vapor barrierWrapping” of homes with a vapor barrier Creation of less outside air ventilationCreation of less outside air ventilation

Building materials Building materials Wood products are not kiln dried due to supplier Wood products are not kiln dried due to supplier

demanddemand Other materials are more “platform” friendly for Other materials are more “platform” friendly for

moldmold

Page 14: Mold, The New Environmental Issue

Insulation

Vapor Barrier

Page 15: Mold, The New Environmental Issue

According to the statistics from the According to the statistics from the Bureau of the Census, 35% of homes Bureau of the Census, 35% of homes are damaged do to water or moisture.are damaged do to water or moisture. Water intrusion in basementsWater intrusion in basements Sewer or septic breakdownsSewer or septic breakdowns Water supply leaksWater supply leaks Improperly vented fans and appliancesImproperly vented fans and appliances

Bathroom exhaust fansBathroom exhaust fans Dryer exhaustDryer exhaust

Why is Mold More Prevalent in Why is Mold More Prevalent in Homes Today?Homes Today?

Page 16: Mold, The New Environmental Issue

Who is Liable?Who is Liable?

Attorney

Realtor Agency Inspection Company

Home Owner

Home Owner Realtor

Previous Owner Contractor

Home Inspector

Appraisal Firm

Estimator

Page 17: Mold, The New Environmental Issue

Most claims are based upon the Most claims are based upon the allegation that the companies (realtor allegation that the companies (realtor and inspection firms) should have and inspection firms) should have known about the mold or possibilities known about the mold or possibilities of mold and did not disclose it.of mold and did not disclose it.

Other claims are made when the mold Other claims are made when the mold is disclaimed and the inspector did not is disclaimed and the inspector did not report on the water damage/entry to report on the water damage/entry to the buyer.the buyer.

LitigationLitigation

Page 18: Mold, The New Environmental Issue

Litigation

Page 19: Mold, The New Environmental Issue

Litigation

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Page 21: Mold, The New Environmental Issue

How Do We Protect Our How Do We Protect Our Business From Litigation?Business From Litigation?

Use of Risk Management Practices:Use of Risk Management Practices: Certified InspectorsCertified Inspectors Thorough InspectionsThorough Inspections Identification of “Red Flag” areasIdentification of “Red Flag” areas Proper TestingProper Testing DocumentationDocumentation Disclosure Disclosure

Page 22: Mold, The New Environmental Issue

Risk Management PracticesRisk Management Practices

A Certified Mold Inspector will be able to A Certified Mold Inspector will be able to identify “Red Flag” areas.identify “Red Flag” areas.

The inspector will make The inspector will make recommendations for mold testing.recommendations for mold testing.

The inspector will document the source The inspector will document the source of the water intrusion, and make of the water intrusion, and make recommendations of possible correction.recommendations of possible correction.

The inspector will have agreements or The inspector will have agreements or disclosure statements signed by the disclosure statements signed by the client.client.

Page 23: Mold, The New Environmental Issue

What is a “Red Flag”?What is a “Red Flag”?

Visible MoldVisible Mold Evidence of water penetrationEvidence of water penetration Conditions that could allow water Conditions that could allow water

penetrationpenetration SmellSmell Poorly maintained HVACPoorly maintained HVAC Improperly vented fans or appliancesImproperly vented fans or appliances

Page 24: Mold, The New Environmental Issue

Red FlagRed Flag

Page 25: Mold, The New Environmental Issue

Red FlagRed Flag

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Red FlagRed Flag

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Red FlagRed Flag

Page 28: Mold, The New Environmental Issue

TestingTesting

There are typically 3 types of mold testing There are typically 3 types of mold testing that are performed for real-estate that are performed for real-estate

transactions:transactions:

Swab SamplingSwab Sampling

Carpet SamplingCarpet Sampling

Air SamplingAir Sampling

Page 29: Mold, The New Environmental Issue

Swab SamplingSwab Sampling

Swab Visible MoldSwab Visible Mold Used in “Red Flag” Used in “Red Flag”

areasareas Identifies type of Identifies type of

molds presentmolds present Used in guidance Used in guidance

as to remediationas to remediation

Page 30: Mold, The New Environmental Issue

Air SamplingAir Sampling

Collection in “red flag” Collection in “red flag” areas areas

Collection of indoor air Collection of indoor air sample(s)sample(s)

Collection of a outdoor Collection of a outdoor samplesample

Compare both results Compare both results to identify potential to identify potential problemsproblems

Identifies types and Identifies types and quantities of moldquantities of mold

Page 31: Mold, The New Environmental Issue

Carpet SamplingCarpet Sampling

Collection of Collection of samples from the samples from the carpetcarpet

Used when no “red Used when no “red flags” are seenflags” are seen

Provides historical Provides historical informationinformation

Appropriate with Appropriate with air samplingair sampling

Page 32: Mold, The New Environmental Issue

ReportsReports

The reports contain valuable The reports contain valuable information for the client.information for the client. Spore counts (How much?)Spore counts (How much?) Spore identification/description (What Spore identification/description (What

kind?)kind?) Spore characterization (What type?)Spore characterization (What type?)

Allergic, Pathogenic, ToxicAllergic, Pathogenic, Toxic Summary (Is there an unusual mold Summary (Is there an unusual mold

condition?)condition?)

Page 33: Mold, The New Environmental Issue
Page 34: Mold, The New Environmental Issue

Levels of Inspection ServiceLevels of Inspection Service

There are five levels of inspection There are five levels of inspection services that are offered in mold services that are offered in mold testing. These services range from a testing. These services range from a inspection that is requested in a inspection that is requested in a specific client defined area, to a specific client defined area, to a inspection that can produce mold inspection that can produce mold remediation specifications*.remediation specifications*.

Page 35: Mold, The New Environmental Issue

Limited Mold SamplingLimited Mold Sampling

The purpose of a Limited The purpose of a Limited Mold Sampling is to Mold Sampling is to detect the presence of detect the presence of mold contamination in mold contamination in client defined areas of client defined areas of the home. This service the home. This service provides a fast provides a fast economical method of economical method of testing. The limitation testing. The limitation of this service is that of this service is that other sources of mold other sources of mold may be present in the may be present in the home.home.

Page 36: Mold, The New Environmental Issue

Mold ScreenMold Screen

This level of inspection This level of inspection utilizes a visual utilizes a visual assessment of the assessment of the entire home, identifies entire home, identifies “red flags” for mold, “red flags” for mold, and will have a limited and will have a limited sampling of mold. If sampling of mold. If “red flags” are found, “red flags” are found, the client will be the client will be advised and offered a advised and offered a chance for additional chance for additional sampling. This service sampling. This service is the most popular is the most popular inspection service for inspection service for real estate real estate transactions.transactions.

Page 37: Mold, The New Environmental Issue

Mold SurveyMold Survey

The value of this The value of this service is that it service is that it identifies, determines identifies, determines cause and corrective cause and corrective measures for measures for allall mold mold sources discovered in sources discovered in the entire home. This the entire home. This service is mainly used service is mainly used once a problem has once a problem has been identified and been identified and remediation remediation specifications are specifications are needed to be produced needed to be produced by the Certified by the Certified Industrial Hygienist.Industrial Hygienist.

Page 38: Mold, The New Environmental Issue

Clearance TestingClearance Testing

Clearance Testing is Clearance Testing is designed to designed to determine the determine the success of success of remediation efforts. remediation efforts. A containment area A containment area has been established has been established and remediation was and remediation was done within that done within that contained area.contained area.

Page 39: Mold, The New Environmental Issue

Post-Cleaning TestingPost-Cleaning Testing

Post-Cleaning Testing Post-Cleaning Testing is also used to is also used to determine the determine the success of success of remediation efforts. remediation efforts. The difference The difference between Clearance between Clearance and Post-Cleaning and Post-Cleaning Testing is there is no Testing is there is no containment in place.containment in place.

Page 40: Mold, The New Environmental Issue

RememberRemember

Page 41: Mold, The New Environmental Issue