I looked at a split level house that currently has 3 feet of water in the basement. House has been vacant for 2 years. Was built in 1996. Does anyone here have experience in dealing with mold, moisture, air quilty problems.
I just put an offer on an REO with “significant” mold issues. The mold remediation guys actually put on a “space suit” after seeing the extent of mold. They estimated about $25000 for complete remediation (removal, new framing, drywayll, carpet, etc.)
ARV = $175,000
Listed = $140,000
My Offer = $105,000
Bank Counter = $135,000
I walk away…
-B
Mold remediation can range from a little to alot. In fairness not all problems are simple cleanups. Some are significant and the moisture source has not even been pinpointed. If you look at mold as in indicator of a bigger problem you can see how the cost can escalate. if you have a slab leak for example that in itself is expensive, can indicate foundation problems and vice versa. Industiral hygeinists or truly qualified indoor air quality consultants are not cheap, rental of equip. to dryout and air scrub can run into thousands, no one (except carpet cleaners or duct cleaners) are going to give you “free” estimates as the assessment is required to figure repair costs and that is their livelihood and liability.
Three feet of standing water in the basement for the past 2 years? Wow. I’ve seen some bad properties but never anything like that…
Assuming you could fix it, how would you word your seller’s disclosure when it was time to sell? “Indoor swimming pool was removed to add storage space.” ???
I don’t think I would offer any more than 70% of lot value minus demolition costs for that house. Demo it, then sell the lot. I wouldn’t trust any insurance company to protect me from future liability on a rehab. They’d find a way to deny coverage in the event of a lawsuit.