HUD Question

Next door to me is a house that is for sale, a HUD home. In the lead based paint inspection document is the following"

“ALG has determined that there is deteriorated lead-based paint in the property, and lead hazard reduction activities will have to be accomplished per the attached scope of work.”

Does that mean a lead abatement has to be done prior to occupying it? Here’s the info if you want to look at the full reports:

A friend of mine had a property rented out to a section 8 tennant. When inspected they found high levels of lead in the home. All that he was required to do was paint. That sealed up the lead based paint, and resolved the issue. However it may be different in your town. So call the city to see what they will require. You may also want to speak to HUD to see if they have any requirments for the buyer. Also, if your purchasing with a FHA loan, they may have separate requirments aswell.

I just recently got sighted by the city (York, PA) because one of my apartments was found to have lead. A child that visits the place became ill and he was found to have high levels of lead. Not just from my apartment but every place he had been had lead.

The city, as Rich said, only required me to paint it over, sealing it in place. Except for the stairs they made me cover them with vinyl.

They came back for their reinspection and did some wipe tests on the window and everything passed.


Interesting. This place (haven’t seen inside but someone I know has) would need to be fully painted inside anyway so it probably wouldn’t be an issue. Alas, this particular house is way off base on price based on the amount of rehab I would guess it would need. Maybe if it was $80k instead of $140k I would be calling HMLs.


What’s the ARV? Also, how does this property compare to the quality of the surrounding properties?

I’d be more concerned with the mold growing on the damaged asbestos siding, the leaking roof around the chimney thoroughly soaking the attic, and the HVAC/ water heater that need to be replaced than I would interior lead paint.

Maybe $170k at best (I can try to do a more accurate comp tomorrow based on MLS #s). This thing couldn’t be done breakeven let alone with a profit with $140k purchase price. I saw those other items as well, definitely made me not want anything to do with it. The lead question was more of a general knowledge thing, I had no intention of buying this particular property. I am more interested in what happens with this sort of thing so I can br prepared in the future.

Gotcha. Keep your eye on this one though. The price will either come down drastically or a fool will buy it then go broke and have to sell at a loss.

The thing with lead in a rental property, is that you have to continue to repaint over the surfaces with heavy wear (stairs, hand rails, windows frames, door jams) because eventually the new coat of paint will get worn down and the lead will be exposed again. In MD, if you have lead paint in a rental property you have to have it retested with every turnover for this reason.

Look at page 11 of the report it gives an estimate on getting rid of the lead. Hud will either do the work or deduct that amount from the purchase price.

Didn’t scroll that far so I didn’t see that…my head was spinning after a few pages due to mumbo jumbo. Thanks for pointing that out. Cost isn’t as bad as I would have thought, I was guessing over $10k. Still this house is a loser so…pass. Unless of course like Danny says the price comes down a lot or some fool goes broke on it and sells cheap.

Some sucker bought this one. I wonder what they paid? Oh well, if they go broke on it I’ll be making them a lowball offer. Maybe I’ll wait a few months then start sending postcards.