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Environmental Issues in Your Real Estate Practice.

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Presentation on theme: "Environmental Issues in Your Real Estate Practice."— Presentation transcript:

1 Environmental Issues in Your Real Estate Practice

2 Chapter 1 - General Issues uEnvironmental Issues uConsumer Concerns uConsumer Expectations uRisk Reduction Techniques uEnvironmental Issues uConsumer Concerns uConsumer Expectations uRisk Reduction Techniques

3 Real Estate Transactions Are Different Today uConsumers Better Informed l Internet l Property Disclosures uReal Estate Licensees as Gatekeepers l Environmental Hazards l Service Providers uLitigious Society uConsumers Better Informed l Internet l Property Disclosures uReal Estate Licensees as Gatekeepers l Environmental Hazards l Service Providers uLitigious Society

4 Important Federal Legislation uNational Environmental Policy Act (NEPA) l Environmental Protection Agency (EPA) l National Awareness uLead-Based Paint Hazardous Reduction Act (LBPHRA) l Federal Govt first involved in Residential Real Estate l Introduction Concept of Disclosure uNational Environmental Policy Act (NEPA) l Environmental Protection Agency (EPA) l National Awareness uLead-Based Paint Hazardous Reduction Act (LBPHRA) l Federal Govt first involved in Residential Real Estate l Introduction Concept of Disclosure

5 Landfills USTs Contaminated Water Lead Paint Radon UFFI VOCs Asbestos EIFS Head in the Sand? Mold

6 What Do Consumers Want? uInformation uAssistance in Dealing with Problems uFull Disclosure uAdvice uInformation uAssistance in Dealing with Problems uFull Disclosure uAdvice

7 Property Disclosure Forms uOften Required by the State l Caveat Emptor l Red Flag: Agent Should Have Known l Not Guarantee, Not Warranty uAssignment of Responsibility l Seller Must Disclose l Buyer Must Discover uPresent & Discuss Early uOften Required by the State l Caveat Emptor l Red Flag: Agent Should Have Known l Not Guarantee, Not Warranty uAssignment of Responsibility l Seller Must Disclose l Buyer Must Discover uPresent & Discuss Early

8 B B R R E E A A D D uBasics Know the Basic ABCs uBasics Know the Basic ABCs uAsk Ask Questions (Due Diligence) uAsk Ask Questions (Due Diligence) uExperts Know Who to Call uExperts Know Who to Call uRecords Keep Accurate Records uRecords Keep Accurate Records uDisclose Disclose Early and Often uDisclose Disclose Early and Often Risk Reduction for Licensees The BREAD Rule

9 Chapter 2 - Lead-Based Paint uLead Characteristics uWhy Protect Children uTesting & Clean-Up uFive Federal Requirements uPenalties for Noncompliance uLead Characteristics uWhy Protect Children uTesting & Clean-Up uFive Federal Requirements uPenalties for Noncompliance

10 uPlumbum (Latin Name for Lead) What is Lead? uHeavy, Gray Metal uSoft, Malleable uGalena (Latin Name for Ore) uHeavy, Gray Metal uSoft, Malleable uGalena (Latin Name for Ore) l Plumb Line l Plumbing

11 Effects of Lead in the Human Body uAdult Symptoms l Accumulates in Bone & Tissues l Anemia, Hypertension, Appendicitis l Gall Bladder Problems l Reproductive Problems l Chronic Lead Poisoning uAdult Symptoms l Accumulates in Bone & Tissues l Anemia, Hypertension, Appendicitis l Gall Bladder Problems l Reproductive Problems l Chronic Lead Poisoning

12 Children and Lead Ingestion uChildren Under Six Most Vulnerable u1 in 11 Children have Elevated Levels uExcessive Levels Affect l Nervous System l Learning & Behavior l Coordination l Hearing l Kidneys l Brain uChildren Under Six Most Vulnerable u1 in 11 Children have Elevated Levels uExcessive Levels Affect l Nervous System l Learning & Behavior l Coordination l Hearing l Kidneys l Brain

13 Major Sources of Lead Exposure uPaint uAir uFood uSurface Dust and Soil uDrinking Water uPaint uAir uFood uSurface Dust and Soil uDrinking Water

14 Lead Poisoning uBlood Screen Test: Micrograms per Deciliter (ug/dl) uLevels in Children l Poisoned: Above 15 ug/dl l Medical Emergency: Above 45 ug/dl uEstimated Average Levels l 1960s 26 ug/dl l 1970s 12.8 ug/dl l Today 2.8 ug/dl uBlood Screen Test: Micrograms per Deciliter (ug/dl) uLevels in Children l Poisoned: Above 15 ug/dl l Medical Emergency: Above 45 ug/dl uEstimated Average Levels l 1960s 26 ug/dl l 1970s 12.8 ug/dl l Today 2.8 ug/dl

15 Treating Lead Poisoning uDiscover & Eliminate Source uBody Eliminates uMay Require Chelation uBEST: Avoid Contamination! uDiscover & Eliminate Source uBody Eliminates uMay Require Chelation uBEST: Avoid Contamination!

16 Testing for Lead uChemical Spot Testing uPaint Scrapings uX-Ray Florescence uChemical Spot Testing uPaint Scrapings uX-Ray Florescence

17 Cleaning Up Lead-Based Paint uReplacement uEncapsulation uOff-Site Chemical Stripping uWet Scraping uHeat Guns uReplacement uEncapsulation uOff-Site Chemical Stripping uWet Scraping uHeat Guns

18 Efforts to Reduce Lead Use uEarly 1970s: Leaded Gasoline Banned u Banned Lead Use in Paint u Lead-Based Paint Hazard Reduction Act (LBPHRA) uEarly 1970s: Leaded Gasoline Banned u Banned Lead Use in Paint u Lead-Based Paint Hazard Reduction Act (LBPHRA)

19 Sellers/Landlords Five Basic Requirements of LBPHRA uDisclose Known Hazards in pre-1978 Residences uGive Buyers & Tenants Copies of Records uProvide Pamphlet Protect Your Family from Lead in Your Home uProvide Buyers Opportunity to Test uLeases/Agreements Must Include Specified Disclosure & Acknowledgment Language uDisclose Known Hazards in pre-1978 Residences uGive Buyers & Tenants Copies of Records uProvide Pamphlet Protect Your Family from Lead in Your Home uProvide Buyers Opportunity to Test uLeases/Agreements Must Include Specified Disclosure & Acknowledgment Language

20 Target Housing Older Homes

21 Who Must Comply uLandlords uSellers uRenovators uReal Estate Agents uRetain Documents for Three Years uLandlords uSellers uRenovators uReal Estate Agents uRetain Documents for Three Years

22 Exemptions uProperty Sold at Foreclosure uRental Property Certified Lead Paint Free uShort Term Rentals uRenewals of Existing Leases uUnits With No Bedrooms uHousing for Elderly or Disabled uProperty Sold at Foreclosure uRental Property Certified Lead Paint Free uShort Term Rentals uRenewals of Existing Leases uUnits With No Bedrooms uHousing for Elderly or Disabled

23 Agents Can Avoid Problems uContact State Health Officials uUse Appropriate Responses to Consumer Questions uTake Time to Discuss with Families with Small Children uContact State Health Officials uUse Appropriate Responses to Consumer Questions uTake Time to Discuss with Families with Small Children

24 Penalties for Non-Compliance uUp to $11,000 for Each Violation uUp to One Year Imprisonment uBoth of Above uClaims Under State Laws uUp to Three Times the Damages uUp to $11,000 for Each Violation uUp to One Year Imprisonment uBoth of Above uClaims Under State Laws uUp to Three Times the Damages

25 Disclosure Forms uNo One Must Test or Abate uDiscuss Early as Possible uDisclosure Requirements l Exactly As EPA Forms l Seller/Lessor Disclosure l Purchaser/Lessee Receipt of Disclosure l 10-Day Test Period (or Waiver) l Agent Must Advise of Obligations l Accuracy Certification uContingency Clauses uNo One Must Test or Abate uDiscuss Early as Possible uDisclosure Requirements l Exactly As EPA Forms l Seller/Lessor Disclosure l Purchaser/Lessee Receipt of Disclosure l 10-Day Test Period (or Waiver) l Agent Must Advise of Obligations l Accuracy Certification uContingency Clauses

26 Effect on Real Estate Transactions uAgents Must Be Actively Involved uContingency Wording Is Critical uAgents Must Be Actively Involved uContingency Wording Is Critical

27 Contingency Clause Issues uTesting Period Spelled Out uSpecific Lead Levels uRight of Rescission uEarnest Money Disposition uMarketing Status During Testing uAbatement Time Frame/Cost Limits uCleanup Responsibilities uTesting Period Spelled Out uSpecific Lead Levels uRight of Rescission uEarnest Money Disposition uMarketing Status During Testing uAbatement Time Frame/Cost Limits uCleanup Responsibilities

28 Additional Sources of Information uNational Lead Information Center l (800) 424-LEAD l uHousing & Urban Development (HUD) l (888) l uNational Lead Information Center l (800) 424-LEAD l uHousing & Urban Development (HUD) l (888) l

29 Chapter 3 – Radon uHealth Effects uEntering Buildings uEPAs Action Level uRemediation and Costs uDiscussing Radon with Consumers uHealth Effects uEntering Buildings uEPAs Action Level uRemediation and Costs uDiscussing Radon with Consumers

30 What is Radon? uA Gas uOccurs Naturally uCant See or Smell uComes From Ground uMeasured as pCi/L (Pico Curies per Liter) uDecay Product of Uranium uA Gas uOccurs Naturally uCant See or Smell uComes From Ground uMeasured as pCi/L (Pico Curies per Liter) uDecay Product of Uranium

31 Forces Drawing Radon into Buildings uThermal Stack Effect Heat rises up through house uThermal Stack Effect Heat rises up through house uExhaust Systems Attic & bath fans, clothes dryers uExhaust Systems Attic & bath fans, clothes dryers Radon drawn into house through cracks and gaps in foundation

32 Damage to Lung Tissue Inhalation of Radon Decay Products Alpha Particle Radiation Damage to DNA Radiation Damage to DNA

33 Action Level vs. Safe Level SAFE No Safe Level

34 Cause of Cancer Annual Deaths (Estim.) Radon Pesticide on Food Toxic Outdoor Air Hazardous Waste Site Pesticide Applic 0 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 Comparison to Other Cancer Risks

35 Lung Cancer Risk per 1000 People Lifetime Avg. Exposure (pCi/L) Radon Level Radon Level Non-Smoker Smoker

36 Radon Potential Predicted Average Readings (pico curies per liter)

37 Levels Vary House to House Strong Radon Source Subsurface Loose Soil Dense Soil

38 Radon Testing uTimes l BEST: 90 days l Real estate Transactions: 48 hours uTesting Devices l Passive l Active uPreventing Test Tampering uTesting Tips uTimes l BEST: 90 days l Real estate Transactions: 48 hours uTesting Devices l Passive l Active uPreventing Test Tampering uTesting Tips

39 Tips for Testing uAvoid Drafts uAvoid Kitchens and Bathrooms uAvoid Weather Extremes uUse Independent Tester uAvoid Drafts uAvoid Kitchens and Bathrooms uAvoid Weather Extremes uUse Independent Tester

40 Sub-Slab Suction Radon Gas Suction Below Slab Cracks Sealed In Basement Floors &Walls Fan Sump Sealed & Vented PVC Pipes Installed

41 Building Radon-Resistant Homes uBest and Least Costly Method uAdditional Cost Typically $350 to $500 uEPA, ASTM, and CABO Building Standards uBest and Least Costly Method uAdditional Cost Typically $350 to $500 uEPA, ASTM, and CABO Building Standards

42 Playing With Fire uHouse tested safe uThere is no radon... uI never heard... uI know an agent... uLets see if we can get you a... uThe only people concerned are relocation companies... uHouse tested safe uThere is no radon... uI never heard... uI know an agent... uLets see if we can get you a... uThe only people concerned are relocation companies...

43 Additional Sources of Information uEPA Website: uOther Pamphlets uEPA Website: uOther Pamphlets

44 Chapter 4 – Mold uCharacteristics of Molds uConditions for Growth uSteps to Avoid Mold Growth uMold Health Risks uRemediating Mold Contamination uCharacteristics of Molds uConditions for Growth uSteps to Avoid Mold Growth uMold Health Risks uRemediating Mold Contamination Mold Cleanup – Topeka, KS Photo: Topeka Capital Journal

45 Why Mold Is An Issue for R EALTORS ® uMajor Lawsuits & Publicity uHigh-risk Issue for R EALTORS ® l Statute of Limitations often 5 years l Boom Times for Sales l Joins Radon, Asbestos, and Lead Paint as Potential Home Hazard uFew Guidelines to Avoid Liability uMajor Lawsuits & Publicity uHigh-risk Issue for R EALTORS ® l Statute of Limitations often 5 years l Boom Times for Sales l Joins Radon, Asbestos, and Lead Paint as Potential Home Hazard uFew Guidelines to Avoid Liability

46 Construction Issues uSealed Houses l Interiors become giant Petri dishes l IAQ 10 – 200 times worse than ambient outdoor air uCellulosic Construction Materials l Drywall l Particle & Pressed Board uHealth & Lifestyle Issues uSealed Houses l Interiors become giant Petri dishes l IAQ 10 – 200 times worse than ambient outdoor air uCellulosic Construction Materials l Drywall l Particle & Pressed Board uHealth & Lifestyle Issues

47 l Heat pumps & A/C units l Use non-chlorine based cleaners uBasements & Crawlspaces uWaterproof Wallcoverings l Heat pumps & A/C units l Use non-chlorine based cleaners uBasements & Crawlspaces uWaterproof Wallcoverings Special Situations uDirty-Socks Syndrome Photo source: EPA web site Mold Inside Ductwork

48 What Molds Are uMicroscopic Organisms Devoid of Chlorophyll uMember of Fungi Family uRelated to Lichens and Yeasts uMildew: laymans term for mold coating or stains u150,000 known species probably only 10% of total uMicroscopic Organisms Devoid of Chlorophyll uMember of Fungi Family uRelated to Lichens and Yeasts uMildew: laymans term for mold coating or stains u150,000 known species probably only 10% of total

49 Mold Requirements to Thrive uFood Source (Cellulosic) l Wood, Paper l Ceiling Tile l Canvas l Upholstery uMoisture (55% RH) l From Leaks or Trapped Moisture l Basements, Closets, Wall Interiors uFood Source (Cellulosic) l Wood, Paper l Ceiling Tile l Canvas l Upholstery uMoisture (55% RH) l From Leaks or Trapped Moisture l Basements, Closets, Wall Interiors

50 Mold Growth uOften In Round Formations uGrows Into Pores and Crevices uMold vs. Mildew uOften In Round Formations uGrows Into Pores and Crevices uMold vs. Mildew

51 Molds Can Make People Sick Mold Effects Microbial VOCs Spores Mycotoxins Mold Effects Microbial VOCs Spores Mycotoxins

52 Toxic Molds uToxic Definition Capable of causing injury or death, especially by chemical means; poisonous uToxic Definition Capable of causing injury or death, especially by chemical means; poisonous

53 Toxic Molds uStachybotrys Stachy l Slimy Black Mold l Needs Major Water Intrusion l Most Publicized Indoor Toxic Species l Fast Growing (2 - 3 Days) l Can Cause Lung Hemorrhaging in Infants l Toxins Have Biological Weapons Potential uStachybotrys Stachy l Slimy Black Mold l Needs Major Water Intrusion l Most Publicized Indoor Toxic Species l Fast Growing (2 - 3 Days) l Can Cause Lung Hemorrhaging in Infants l Toxins Have Biological Weapons Potential

54 Effect on Humans Allergenic Effects Allergic Rhinitis (cold symptoms) Asthma aggravation Dermatitis (red itchy skin blotches) Hypersensitivity Pneumonitis May occur after repeated or severe exposure May result in permanent lung damage Chronic Sinusitis Allergenic Effects Allergic Rhinitis (cold symptoms) Asthma aggravation Dermatitis (red itchy skin blotches) Hypersensitivity Pneumonitis May occur after repeated or severe exposure May result in permanent lung damage Chronic Sinusitis

55 Health Effects of Toxic Molds uInternal Bleeding In Infants uNerve Cell Damage uSevere Headaches uChronic Fatigue uChronic Respiratory Problems uMemory Loss uInternal Bleeding In Infants uNerve Cell Damage uSevere Headaches uChronic Fatigue uChronic Respiratory Problems uMemory Loss

56 Individuals at Risk uInfants, Children, and Elderly uImmune-Compromised l HIV l Cancer Chemotherapy l Liver Disease, etc. uPregnant Women uRespiratory Conditions l Asthma l Known Mold Allergies uInfants, Children, and Elderly uImmune-Compromised l HIV l Cancer Chemotherapy l Liver Disease, etc. uPregnant Women uRespiratory Conditions l Asthma l Known Mold Allergies

57 Mold Prevention In Homes uControlling Moisture Is Key uBasements Particularly Susceptible uControl Measures l Check windows, A/Cs, and Humidifiers l Keep Humidity Below 55% l Use A/C or Dehumidifier l Adequate Ventilation l Mold Inhibitors in Paints l Carpeting Issues uControlling Moisture Is Key uBasements Particularly Susceptible uControl Measures l Check windows, A/Cs, and Humidifiers l Keep Humidity Below 55% l Use A/C or Dehumidifier l Adequate Ventilation l Mold Inhibitors in Paints l Carpeting Issues

58 Condensation Air Exchangers uProvides Fresh Air to Sealed Houses uDoes Not Kill Molds or Spores uReduces Indoor Air Humidity uProvides Fresh Air to Sealed Houses uDoes Not Kill Molds or Spores uReduces Indoor Air Humidity

59 Air Purifiers uUV Air Purifiers Oxidizing UV Source Germicidal UV Source Contaminated Air Contaminated Air Purified Air Purified Air UV Reflective Tube UV Reflective Tube uHEPA Filters Virus Bacteria Mold Human Hair Human Hair

60 Testing Methods uAir Sampling l Viable (culturable) l Spore Trap Sampling l Comparison to Outdoor Samples l No Government Standards Yet l Problem Indicators uSurface Lifting uDestructive Testing uTesters at Risk! uAir Sampling l Viable (culturable) l Spore Trap Sampling l Comparison to Outdoor Samples l No Government Standards Yet l Problem Indicators uSurface Lifting uDestructive Testing uTesters at Risk!

61 Abatement uCant Just Spray It Away uLook Below the Surface uBiases May Be Blinding uAsk About Old Damage uHire the Right Person uCant Just Spray It Away uLook Below the Surface uBiases May Be Blinding uAsk About Old Damage uHire the Right Person Photo source: EPA web site

62 Levels of Contamination uLevel I (10 sf or less) l Wear Gloves, Eye Protection, and Mask l Remove Contamination in Sealed Bags l Mop & Dry Contaminated Work Areas uLevel II (10 to 30 sf) l Same as Level I Plus l Cover Mold and Seal before Removal l HEPA Vacuum Work Area uLevel I (10 sf or less) l Wear Gloves, Eye Protection, and Mask l Remove Contamination in Sealed Bags l Mop & Dry Contaminated Work Areas uLevel II (10 to 30 sf) l Same as Level I Plus l Cover Mold and Seal before Removal l HEPA Vacuum Work Area

63 Levels of Contamination uLevel III, IV, V (more than 30 sq. ft.) l Vacate Premises l Use Professionals uLevel III, IV, V (more than 30 sq. ft.) l Vacate Premises l Use Professionals

64 Mold In a Real Estate Transaction uNo Federal Guidelines uMost State Guidelines l Sellers Disclose l Buyers Discover uFollow up Unusual Smells uEncourage Testing uNo Federal Guidelines uMost State Guidelines l Sellers Disclose l Buyers Discover uFollow up Unusual Smells uEncourage Testing

65 Discovery uApply Sniff Test uLook for Moisture uEncourage Buyers to Test l Home Inspectors to Work for Buyer l Be Aware of Artificially Scented Homes uApply Sniff Test uLook for Moisture uEncourage Buyers to Test l Home Inspectors to Work for Buyer l Be Aware of Artificially Scented Homes

66 Chapter 5 – Asbestos uAsbestos Characteristics uAsbestos Health Hazards uFriable and Nonfriable Asbestos uSolutions to Asbestos Problems uAsbestos Characteristics uAsbestos Health Hazards uFriable and Nonfriable Asbestos uSolutions to Asbestos Problems

67 What is Asbestos? uNaturally Occurring Mineral uVery Fire Resistant uUsed By Greeks & Romans uFound In Fibrous Rock Form uNaturally Occurring Mineral uVery Fire Resistant uUsed By Greeks & Romans uFound In Fibrous Rock Form

68 Asbestos Is Harmful to Humans uClassified As a Carcinogen l Mesothelioma l Asbestosis l Digestive System Cancers l Lung Cancer uNo Safe Limits uVery Small Fibers uClassified As a Carcinogen l Mesothelioma l Asbestosis l Digestive System Cancers l Lung Cancer uNo Safe Limits uVery Small Fibers

69 Sources of Asbestos Exposure uInhalation uAsbestos-containing Materials (ACMs) l Outdoors: Shingles, Siding, and Concrete l Indoors: Insulation, Floor Tiles, Furnace/Wood Stove Door Gaskets, Others uInhalation uAsbestos-containing Materials (ACMs) l Outdoors: Shingles, Siding, and Concrete l Indoors: Insulation, Floor Tiles, Furnace/Wood Stove Door Gaskets, Others

70 Types of Asbestos uFriable l Fireproofing on Structural Beams l Acoustic Insulation uNon-Friable l Asbestos Cement l Asphalt Floor Tiles uNot Easily Recognized uFriable l Fireproofing on Structural Beams l Acoustic Insulation uNon-Friable l Asbestos Cement l Asphalt Floor Tiles uNot Easily Recognized

71 Testing for Asbestos uBulk Sampling uAir Sample Testing uTransmission Electron Microscopy (TEM) uUse Trained Professionals uBulk Sampling uAir Sample Testing uTransmission Electron Microscopy (TEM) uUse Trained Professionals

72 Dealing with Asbestos uEncapsulation uEnclosure uRemoval uEncapsulation uEnclosure uRemoval

73 Asbestos Abatement uMust Use Professionals uCheck Credentials and References uCheck EPA for State Certification Requirements uCheck NIST for List of Certified Labs uMust Use Professionals uCheck Credentials and References uCheck EPA for State Certification Requirements uCheck NIST for List of Certified Labs

74 Importance for Real Estate Licensees uEncourage Testing by Certified Testers uDo Not Try to Remove uBe Cautious about Offering Opinion uEncourage Testing by Certified Testers uDo Not Try to Remove uBe Cautious about Offering Opinion

75 Chapter 6 - VOCs Volatile Organic Compounds uFormaldehyde Health Hazards uUrea Formaldehyde Foam Insulation (UFFI) uIdentify Pesticides & their Health Issues uConcerns about Pest Control Companies uSick Building Syndrome (SBS) uBuilding-Related Illness (BRI) uFormaldehyde Health Hazards uUrea Formaldehyde Foam Insulation (UFFI) uIdentify Pesticides & their Health Issues uConcerns about Pest Control Companies uSick Building Syndrome (SBS) uBuilding-Related Illness (BRI)

76 What Are VOCs? uChemical Category Aromatic Hydrocarbons uMaterials that Readily Emit Gasses l Paint Thinners l Dry Cleaning Fluids l Gasoline uIndoor VOC Levels Often Exceed Outdoor Levels uChemical Category Aromatic Hydrocarbons uMaterials that Readily Emit Gasses l Paint Thinners l Dry Cleaning Fluids l Gasoline uIndoor VOC Levels Often Exceed Outdoor Levels Hydrocarbon Molecule

77 Formaldehyde uCommon Indoor Air Pollutant l Easily Identified and Measured l Colorless, Organic Chemical With Strong Odor l Highly Flammable uProbable Carcinogen uCommon Indoor Air Pollutant l Easily Identified and Measured l Colorless, Organic Chemical With Strong Odor l Highly Flammable uProbable Carcinogen

78 Health Hazards uNo Safe Level uAllergenic for Many l Breathing Difficulties l Cold-like Symptoms uAvoid Manmade Products uNo Safe Level uAllergenic for Many l Breathing Difficulties l Cold-like Symptoms uAvoid Manmade Products

79 Formaldehyde Issues uMany Home Construction Materials l Particle Board, Foam Insulation, Sealants l Paper Products & Cleaning Supplies l Floor Coverings l Permanent Press Fabrics l Household Items u(UFFI) Urea Formaldehyde Foam Insulation uPesticides, Fungicides, Insecticides uMany Home Construction Materials l Particle Board, Foam Insulation, Sealants l Paper Products & Cleaning Supplies l Floor Coverings l Permanent Press Fabrics l Household Items u(UFFI) Urea Formaldehyde Foam Insulation uPesticides, Fungicides, Insecticides Installing UFFI Insulation

80 Testing for Formaldehyde uHome Test Kits for Ballpark Estimates uProfessionals More Accurate uNo Safe or Allowable Limits uHomeowners Can Reduce Exposure uHome Test Kits for Ballpark Estimates uProfessionals More Accurate uNo Safe or Allowable Limits uHomeowners Can Reduce Exposure

81 Real Estate Concerns uState Property Disclosure Forms uSensitive Individuals l Avoid Newer Homes l Use Low or Free of Urea Formaldehyde uState Property Disclosure Forms uSensitive Individuals l Avoid Newer Homes l Use Low or Free of Urea Formaldehyde

82 Pesticides uPlant Growth Regulators & Disinfectants uInsecticides, Herbicides, Fungicides, Rodenticides uRecord-Keeping Requirements l Only for Some l Most Exposures Indoors uPlant Growth Regulators & Disinfectants uInsecticides, Herbicides, Fungicides, Rodenticides uRecord-Keeping Requirements l Only for Some l Most Exposures Indoors

83 Health Hazards uLimited Exposures or Long-term uDetermining Factors l Toxicity l Dose l Route of Absorption l Duration of Risk uLimited Exposures or Long-term uDetermining Factors l Toxicity l Dose l Route of Absorption l Duration of Risk

84 Regulating Pesticides uEPA Registrations uExposure through Water l Commercial Farm Herbicide Use l Misapplication of Lawn Care Products uExposure through the Air uExposure Inside the Home uEPA Registrations uExposure through Water l Commercial Farm Herbicide Use l Misapplication of Lawn Care Products uExposure through the Air uExposure Inside the Home

85 Required Items Pesticide Labels

86 Pesticide Labels ARE the Law uPotential for Criminal Prosecution uHigh Risk for Civil Lawsuit uPotential for Criminal Prosecution uHigh Risk for Civil Lawsuit

87 Real Estate Concerns uState Regulations uRight-to-Know Laws uChoosing a Pest Control Company uState Regulations uRight-to-Know Laws uChoosing a Pest Control Company

88 Problems in Commercial Buildings uSick Building Syndrome (SBS) l 20% Complain of Discomfort l Feel Better Outside Building uBuilding-Related Illness (BRI) l Identifiable Personal Injury l Direct Link to Causative Agent uSick Building Syndrome (SBS) l 20% Complain of Discomfort l Feel Better Outside Building uBuilding-Related Illness (BRI) l Identifiable Personal Injury l Direct Link to Causative Agent

89 Chapter 7 - Drinking Water uImportance of Clean Water uWater Contaminants & Health Hazards uMethods to Remove Contaminants uImportance of Well Testing uImportance of Clean Water uWater Contaminants & Health Hazards uMethods to Remove Contaminants uImportance of Well Testing

90 Importance of Clean Water uHumans Approximately 66% Water uAssists Digestion, Food Absorption, etc. uEarth Surface is 70% Water l 1% is Drinkable l Tap Water is Generally Safe l No Standards for Bottled Water uHumans Approximately 66% Water uAssists Digestion, Food Absorption, etc. uEarth Surface is 70% Water l 1% is Drinkable l Tap Water is Generally Safe l No Standards for Bottled Water

91 Common Water Contaminants uNitrates uLead uRadon uVOCs uPesticides uChlorine uGiardia & Cryptosporidium uNitrates uLead uRadon uVOCs uPesticides uChlorine uGiardia & Cryptosporidium

92 Safe Water uSource Protection uRegular Testing uFederal Laws l Safe Drinking Water Act (SWDA) l 1996, 2000 Amendments uSource Protection uRegular Testing uFederal Laws l Safe Drinking Water Act (SWDA) l 1996, 2000 Amendments

93 Real Estate Transactions uDisclosure Forms l Water Source l Testing Reports uBuyers Can Negotiate Before, Not After, Closing uWater Filters l Each Faucet (point-of-use) l Where Water Enters Home (point-of-entry) l Reverse Osmosis l Clean Frequently uDisclosure Forms l Water Source l Testing Reports uBuyers Can Negotiate Before, Not After, Closing uWater Filters l Each Faucet (point-of-use) l Where Water Enters Home (point-of-entry) l Reverse Osmosis l Clean Frequently

94 Chapter 8 Other Indoor Pollutants uConditions for Biological Growth uPreventing Biological Pollutants uCombustion Pollutants & Health Issues uToxic Issues with Methamphetamine Production uProcedures to Mitigate Meth Buildings uConditions for Biological Growth uPreventing Biological Pollutants uCombustion Pollutants & Health Issues uToxic Issues with Methamphetamine Production uProcedures to Mitigate Meth Buildings

95 Biological Pollutants uAre or Were Living Organisms l Animal Dander, Dust Mites, Cockroach Parts l Infectious Diseases uConditions Necessary for Growth l Nutrition Source l Moisture l Moderate Temperature uAre or Were Living Organisms l Animal Dander, Dust Mites, Cockroach Parts l Infectious Diseases uConditions Necessary for Growth l Nutrition Source l Moisture l Moderate Temperature

96 Health Issues uAllergic Reactions uAsthma Attacks uSpecific Illnesses uSBS and BRI uAllergic Reactions uAsthma Attacks uSpecific Illnesses uSBS and BRI

97 Preventing and/or Eliminating Biological Pollutants uSource Control uVentilation Improvements uAir Cleaners uSource Control uVentilation Improvements uAir Cleaners

98 Tips for Real Estate Agents uEncourage Inspections by Third Parties uBe Aware of Unusual Smells uCheck for Leaks or Moisture Problems uEncourage Buyers to Ask about Pets uNote Water Stains on Ceilings, Floors, & Carpeting uEncourage Inspections by Third Parties uBe Aware of Unusual Smells uCheck for Leaks or Moisture Problems uEncourage Buyers to Ask about Pets uNote Water Stains on Ceilings, Floors, & Carpeting

99 Combustion Pollutants uGases or Particles from Burning Materials l Ash Particulates l Carbon Monoxide Colorless, Odorless, Tasteless High Concentrations May Cause Death l Environmental Tobacco Smoke (ETS) uReducing Combustion Pollutants uGases or Particles from Burning Materials l Ash Particulates l Carbon Monoxide Colorless, Odorless, Tasteless High Concentrations May Cause Death l Environmental Tobacco Smoke (ETS) uReducing Combustion Pollutants

100 Tips for Real Estate Agents uAvoid Use of Space Heaters uEncourage Independent Inspections of Heating & A/C Units before Closing uSeller Should Fully Disclose Working Conditions of all Combustion Devices uInstall Carbon Monoxide Detectors uAvoid Use of Space Heaters uEncourage Independent Inspections of Heating & A/C Units before Closing uSeller Should Fully Disclose Working Conditions of all Combustion Devices uInstall Carbon Monoxide Detectors

101 Methamphetamines uIllegal, Addictive, Mood- Altering Drugs l Crank l Crystal-Meth l Glass, Ice l Others uToxic Chemicals Contaminate Properties uIllegal, Addictive, Mood- Altering Drugs l Crank l Crystal-Meth l Glass, Ice l Others uToxic Chemicals Contaminate Properties

102 Meth Labs uEasy to Make with Easy-to-Obtain Materials l Highly Flammable l Toxic VOCs l Severely Corrosive, Caustic, or Poisonous l May Involve Toxic Metals uFacilities May be More Toxic than EPA-Registered Sites l Fumes l Toxic Wastes uEasy to Make with Easy-to-Obtain Materials l Highly Flammable l Toxic VOCs l Severely Corrosive, Caustic, or Poisonous l May Involve Toxic Metals uFacilities May be More Toxic than EPA-Registered Sites l Fumes l Toxic Wastes

103 Impact on Real Estate Transactions uProper Cleanups l Removal l Ventilation l Neutralization l Encapsulation uProper Disclosure uProper Cleanups l Removal l Ventilation l Neutralization l Encapsulation uProper Disclosure

104 Chapter 9 Underground Storage Tanks uUnderground Storage Tanks (USTs) uTests for Leaking USTs (LUSTs) uTanks that are Exempt from Registration Compliance uUnderground Storage Tanks (USTs) uTests for Leaking USTs (LUSTs) uTanks that are Exempt from Registration Compliance

105 Underground Storage Tanks uMore than 10 percent Underground uBare Steel Construction Corrodes l Leaks Can Cause Fires or Explosions l Contaminate Groundwater Sources uFound Everywhere, Even Residential Properties uMore than 10 percent Underground uBare Steel Construction Corrodes l Leaks Can Cause Fires or Explosions l Contaminate Groundwater Sources uFound Everywhere, Even Residential Properties

106 Containing LUSTs uTesting l Soil Borings l Tank Integrity Tests l Soil Vapor uCleaning Up uTesting l Soil Borings l Tank Integrity Tests l Soil Vapor uCleaning Up

107 New USTs Safety Features Water Table Double Walled Tank Soil Monitor Catchments Liner In-tank Monitor Tank Pressure Monitor Overflow Basin Water Table Monitor

108 Tips for Real Estate Agents uFederal Laws & Regulations l Resource Conservation & Recovery Act (RCRA) l Hazardous & Solid Waste Amendments Act l Superfund Amendments & Reauthorization Act (SARA) uAffected Owners & Operators uExempt Owners uFederal Laws & Regulations l Resource Conservation & Recovery Act (RCRA) l Hazardous & Solid Waste Amendments Act l Superfund Amendments & Reauthorization Act (SARA) uAffected Owners & Operators uExempt Owners

109 Chapter 10 Waste Sites & Toxic Substances uMajor Environmental Protection Laws uEPAs Hazard Ranking System (HRS) uEPA Chemical Substance Inventory uBrownfields Characteristics uMajor Environmental Protection Laws uEPAs Hazard Ranking System (HRS) uEPA Chemical Substance Inventory uBrownfields Characteristics

110 CERCLA Comprehensive Environmental Response, Compensation, and Liability Act uSuperfund Act uAuthorized EPA to Identify Hazardous Waste Sites uCreated Trust Fund for Cleanups uAuthorized Short Term & Long Term Actions for Cleanups uSuperfund Act uAuthorized EPA to Identify Hazardous Waste Sites uCreated Trust Fund for Cleanups uAuthorized Short Term & Long Term Actions for Cleanups

111 SARA Superfund Amendments & Reauthorization Act uRenewed & Amended CERCLA uIncreased EPA Enforcement Authority uIncreased Superfund uRevised Hazard Ranking System (HRS) l Scores Only on Initial Studies l Does Not Set Funding Priorities uRenewed & Amended CERCLA uIncreased EPA Enforcement Authority uIncreased Superfund uRevised Hazard Ranking System (HRS) l Scores Only on Initial Studies l Does Not Set Funding Priorities

112 TSCA Toxic Substances Control Act uAuthorizes EPA to Track Known Chemicals u800+ Known to be Toxic uEPA Can Ban or Restrict Manufacture & Importation uChemical Substance Inventory uAuthorizes EPA to Track Known Chemicals u800+ Known to be Toxic uEPA Can Ban or Restrict Manufacture & Importation uChemical Substance Inventory

113 TSCA Chemical Substance Inventory uMany Not Hazardous uSome are Banned or Restricted Use l CFCs l PCBs l MTBE l TCE l Others uMany Not Hazardous uSome are Banned or Restricted Use l CFCs l PCBs l MTBE l TCE l Others

114 Brownfields uEconomically Depressed l Real or Perceived Contamination l Older Urban Sites Unmarketable l Brownfields Law More Flexible Approach Protects Lenders Protects Potential Purchasers uMany Sites Now Marketable uEconomically Depressed l Real or Perceived Contamination l Older Urban Sites Unmarketable l Brownfields Law More Flexible Approach Protects Lenders Protects Potential Purchasers uMany Sites Now Marketable

115 Impact on Real Estate Licensees uUse Environmentally Safe Products uEnvironmental Issues l Impact on Value for Sellers, Buyers l Impact on Property Managers uLearn New Rules and Attitudes uUse Environmentally Safe Products uEnvironmental Issues l Impact on Value for Sellers, Buyers l Impact on Property Managers uLearn New Rules and Attitudes

116 Chapter 11 Construction Issues uEIFS Characteristics uProblems with Pressure- Treated Woods uList Alternatives uEIFS Characteristics uProblems with Pressure- Treated Woods uList Alternatives

117 EIFS Exterior Insulation and Finish Systems uSynthetic Stucco uVirtually Indestructible uProblems l Not Do-It-Yourself Installation l Traps Water Permits Molds Damages Building Materials l Lawsuits uSynthetic Stucco uVirtually Indestructible uProblems l Not Do-It-Yourself Installation l Traps Water Permits Molds Damages Building Materials l Lawsuits

118 EIFS Construction Framing Sheathing Vapor Barrier Furring Strips Insulation Reinforcing Mesh Synthetic Stucco Finish Coat

119 Continuing EIFS Issues uDrainable EIFS uUse Professionals for Detection uAnnual Inspections uSome Repairs are Viable uDrainable EIFS uUse Professionals for Detection uAnnual Inspections uSome Repairs are Viable

120 EIFS & Real Estate Licensees uOlder Homes at Risk l Age Increases Risk l Age May be Beyond Warranties uAvoid Lawsuits l Ask Questions l Make No Representations of Condition l Encourage Inspections uOlder Homes at Risk l Age Increases Risk l Age May be Beyond Warranties uAvoid Lawsuits l Ask Questions l Make No Representations of Condition l Encourage Inspections

121 Pressure-Treated Lumber uGreen-Colored Wood uProtects Lumber from Pests uLeaching Poses Potential Health Threats uMinimize Exposure uGreen-Colored Wood uProtects Lumber from Pests uLeaching Poses Potential Health Threats uMinimize Exposure

122 Impact on Real Estate Transactions uNo Lawsuits Against Real Estate Licensees uAdvise Families with Children uNo Lawsuits Against Real Estate Licensees uAdvise Families with Children

123 Chapter 12 Wetlands, Watersheds, & Endangered Species uWetlands Importance uWatersheds & Wetlands uExplain Taking uDiscuss Endangered Species Act uWetlands Importance uWatersheds & Wetlands uExplain Taking uDiscuss Endangered Species Act

124 Protecting Wetlands uFederal Agencies Supervision & Laws uEndangered Species Act uWhat a Property Owner Should Do uFederal Agencies Supervision & Laws uEndangered Species Act uWhat a Property Owner Should Do

125 Wetlands uDefinition Varies uWetlands are Useful uLaws to Protect Wetlands l Clean Water Act Section 404 l Swampbuster provisions of 1996 Food Security Act uDefinition Varies uWetlands are Useful uLaws to Protect Wetlands l Clean Water Act Section 404 l Swampbuster provisions of 1996 Food Security Act

126 Governmental Agencies Involved uNatural Resources Conservation Service (NRCS) uU.S. Army Corps of Engineers uU.S. Environmental Protection Agency (EPA) uState Agencies uNatural Resources Conservation Service (NRCS) uU.S. Army Corps of Engineers uU.S. Environmental Protection Agency (EPA) uState Agencies

127 Municipal Well Watersheds uAreas of Land that Drain Water uMay be Small or Large uAffect Availability of Useable Water uProblems with Stormwater Runoff uUsed to Protect Municipal Water Supplies uAreas of Land that Drain Water uMay be Small or Large uAffect Availability of Useable Water uProblems with Stormwater Runoff uUsed to Protect Municipal Water Supplies Water Table Cone of Depression

128 Laws Covering Wetlands & Watersheds uClean Water (1972) uCoastal Management Act (1972) uEndangered Species Act (1973) uSafe Drinking Water Act (1974) uNorth America Wetlands Conservation Act (1989) uAgricultural Improvement and Reform Act (1996) uClean Water (1972) uCoastal Management Act (1972) uEndangered Species Act (1973) uSafe Drinking Water Act (1974) uNorth America Wetlands Conservation Act (1989) uAgricultural Improvement and Reform Act (1996)

129 Endangered Species Act uApplied to Federal Lands uNo Real Standards Set uPermitted Citizen Suits uAffects Farmers & Developers uFines and/or Imprisonment uApplied to Federal Lands uNo Real Standards Set uPermitted Citizen Suits uAffects Farmers & Developers uFines and/or Imprisonment

130 Tips for Real Estate Agents uAvoid Comments uEncourage Government Agency Involvement uEncourage Independent Evaluations uAvoid Comments uEncourage Government Agency Involvement uEncourage Independent Evaluations

131 Chapter 13 Environmental Reports & Consultants uEnvironmental Impact Statement (EIS) uEnvironmental Site Assessment (ESA) uMethods to Discover Possible Contamination uIssues to Consider when Hiring a Consultant uEnvironmental Impact Statement (EIS) uEnvironmental Site Assessment (ESA) uMethods to Discover Possible Contamination uIssues to Consider when Hiring a Consultant

132 E I S Environmental Impact Statement uRequired if Project is Federally Funded uStatement of Project Impact on Environment uAssists Government Agencies uCivic Groups & Public Can Better Assess Development uRequired if Project is Federally Funded uStatement of Project Impact on Environment uAssists Government Agencies uCivic Groups & Public Can Better Assess Development

133 E S A Environmental Site Assessment uDetermines Presence of Environmental Hazards uProtects the Seller, Buyer, Licensees, Lenders uNo Standards for Phase I, II, and III uDetermines Presence of Environmental Hazards uProtects the Seller, Buyer, Licensees, Lenders uNo Standards for Phase I, II, and III

134 Hiring an Inspector uHire Specialists uAsk for References uAsk for Previous Reports uAsk for Any Certifications uHire Specialists uAsk for References uAsk for Previous Reports uAsk for Any Certifications

135 Tips for Real Estate Licensees uEncourage All Parties to Discover Defects as Early as Possible uEncourage Investigations Before Contract Signing uObtain Lists of Certified Consultants uAvoid Opinions uLet Clients Make Informed Choice for Hiring uEncourage All Parties to Discover Defects as Early as Possible uEncourage Investigations Before Contract Signing uObtain Lists of Certified Consultants uAvoid Opinions uLet Clients Make Informed Choice for Hiring


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