Repair Addendum

The home inspector found Mold, What Now?

Write a repair addendum that protects your client

repair addendumWe are often asked to perform mold remediation on real estate transactions. It is important to ensure that the buyer’s agent writes the repair addendum correctly to include identifying and correcting the cause of the mold. If the problem is not corrected it is likely the mold will return potentially creating a problem for the buyer. In addition, many companies will encapsulate or “paint over the mold” which is NOT recognized by the EPA as a proper mold remediation method.

At Certified Indoor Environmental, we often hear the seller object to correcting the moisture source. They may state that the report did not ask for the issue to be fixed, therefore they are not going to pay for anything that is not listed of the repair addendum.

CIE Inspector only 40.1 KB_transparentWe suggest you include the following verbiage on the repair addendum when mold is a clear issue:  

  1. Contractor to identify source of moisture causing microbial growth, correct the moisture source, and provide a 5-year warranty against future microbial growth
  2. Contractor to remove mold from the structure and not paint over or encapsulate microbial growth
  3. Contractor to provide a ventilation analysis which meets FHA 1×150 ventilation guidelines and ensures attic is vented to FHA standards
  4. Mold remediation to be completed by Certified Indoor Environmental and attach the estimate

Download a FREE copy here –  Repair Addendum Tips

Should my contractor carry mold and pollution insurance? Most remediation companies use pesticides to kill the mold. If the pesticide is used incorrectly or a spill happens, pollution coverage protects the homeowner. Mold coverage is a minimum for any firm offering mold remediation.

CDC, EPA and Industry Guidelines:
The purpose of mold remediation is to REMOVE the mold to prevent human exposure and damage to building materials and furnishings. It is necessary to remove the mold contamination, not just to kill the mold. Request a company which removes the mold, not encapsulates or “paints over” the mold.

Certified Indoor Environmental is not a licensed real estate broker or agent. Please review all repair addendum text with your principal broker.