It's a great day here in Orem, Utah! What a difference a week makes. We took Monday off to celebrate Martin Luther King's birthday and then we were booked up solid the rest of the week. This is quite a contrast to the past few weeks and I believe that it is a good indicator that our home buyers are back out there in the marketplace. Wednesday we had a Board of Realtors Awards Luncheon and the disposition of the agents present was much more confident than at the recent Christmas banquet. I think this has everything to do with the busier marketplace.
By the way, I was the proud recipient of my fourth consecutive Platinum Master Affiliate award. This is given out to all of those local Board of Realtor Affiliates who put in the needed service hours for the award. It amazes me that I waited until 1997 to join their association. I have found that it is much better to influence their business practices from the inside rather than complaining from the outside. I have been able to make more contacts as an Affiliate member than I ever could have by refraining to join.
The biggest benefit to membership was the ability to single-handedly get our local board to allow Home Inspectors to have the Affiliate Supra Keycards. This has made my day-to-day operation so much easier.
Now on to the meat of this week's MMM. I am about to share with you a real letter that I just received in the mail. I encourage feedback from everyone..... We have all either received this type of letter in the past or will soon receive one..... Please offer your feedback!!!
Michael Leavitt & Co. ......................................................................###North.###.East INSPECTIONS INC. ........................................................................Springville,.Utah 1145 N. Main St. ...............................................................................15.January.2001 Orem, Utah 84057
Dear Mr Leavitt:
On 18 March, 2000, my wife and I signed a real estate purchase contract for the purchase of our 3 year old home at the above address. On 20 March you performed the engineering inspection on the house. The inspection report indicates that because of snow on the roof you were unable to evaluate the roofing material or its condition, except that it appeared to be the original roof covering and that the statistical life average for this roofing product is 15-18 years.
On the morning of 11 January 2001, we had a gusty wind in our area during which a number of shingles were blown off the roof an area of probably 20 square feet. That afternoon we called two of three roofing companies listed in the yellow pages, as being in Springville, Allan Lowe Roofing and Cali Roofing Inc. to obtain estimates on replacing the shingles. Both of them informed us that to only replace the shingles that had blown off would be only a temporary measure, since the shingles had been improperly installed, and it would only be a matter of time until additional shingles would be blown off when we have other strong winds. From an examination of the shingles blown off it was pretty obvious that they were improperly installed. Instead of being nailed through the heavy rib rurning down the center of the shingle longitudinally they had been nailed through the thin part of the shingle about 2-3 inches back of the heavy rib.
We asked each of them for an estimate of the cost of replacing the missing shingles and putting on another covering of shingles. One gave us an estimate of $3450 and the other $3465 for 240 pound 25 year life shingles. In this regard, they each informed us that they see many instances of homes in the area where shingles have similarly been installed improperly.
To us it is a sad situation when you can buy an almost new home, pay $365 for an engineering inspection, be assured that the house is in good condition, and within 8 months of moving in have to pay $3500 to put on new shingles because the original ones were improperly installed. We recognize that there was a very light covering of snow on the roof as indicated by the picture taken at the time of the inspection (looks like 1/4 to perhaps 1/2 inch thick). However, we would gladly have paid additional to have had it inspected later when there was no snow, had we any idea that this situation existed. It also makes us wonder about the adequacy of the Springville City building inspections, particularly when the two roofing contractors both indicated they see a lot of homes recently constructed where the same problem exists.
One of the main reasons I am writing this letter is to make you aware of what has happened so that you will cover this area in any filture homes you inspect, so that anyone buying a home in the area won't be surprised like we have been. In this regard, we were satisfied with the thoroughness of your inspection of our new home otherwise. We are very happy with our home in every other aspect. Also, we are happy with the community, our neighbors etc.
Sincerely,
Your Name: Please include your name or else I don't know who it is from.
So what differences do you notice in your local market when the selling pace slows down??? If your business slows down, what do you do to make the off time productive???
I have a second business designing homes and improvements for contractors that architects don't want to mess with. In Oregon, a designer can design a house up to 4000 sq. ft. and up to 21 ft. tall without having to be an Architect. When I need to design larger buildings, like restaurants, I simply get a local Structural Engineer to do the calculations and specify the connections and I submit the plans for a permit for my clients. I also provide contractor disbursement inspections for local banks, or sometimes all they need is a digital photograph for their in-house appraisal departments. My fee is $25.00 per site visit, which isn't much, but when you deal in volume, it mounts up pretty fast and keeps bringing in the bacon. Bill Craig OR
I notice the difference when a lot of new home inspectors come into my market. They are all trying for the same buisness, and their idea is to lower their fees to $200 for a home inspection. This actually helps my buisness after about a month, as they realize that the buyer and agent actually get what they pay for. I also notice that the agents that are REAL professionals step up the pace to find the clients and some of them complain that it is really slow.
Here's what I do: Market-Market-Market--I get a newletter into every agents hands. We have also developed a fee schedule that has check boxes next to the services and this goes into our brochures. Now the agent is off the hook, they hand the fee schedule to the client, he checks the boxes, totals the fees , inserts the contigency dates, completes the name address and phone number and signs it. Then the agent faxes the fee schedule to us. I also call up the "How High" agents, brokers, lenders and ask them out to lunch to find out what is going on in their world. If you get them out of the office and away from their phone, you get some one-on-one time and get some real insight on how to improve your buisness, and you can learn a lot about how other inspectors are performing, as well as what new ideas are out there to improve your buisness. (You may put on 15 pounds, but it's worth it!!) I can not stress enough, do not think of how slow it is, go out and contact people, get into what is going on in your market and SELL YOUR BUSINESS AND YOURSELF. IF YOU ARE THE BEST HOME INSPECTOR IN YOUR MARKET--LET PEOPLE KNOW WHAT SETS YOU APART FROM EVERYONE ELSE
Good Inspecting and Good Selling - Bill Schwahn, Montana.
The market up here has been flat. My best agents have not had a bite, others only a few, but fewer sales. I use the time to catch up on files, taxes and such. I also keep in personal touch with agents. I've fielded some questions from them on some concerns, but few clients. Then, in one day, 4 clients were scheduled. Go figure. Anyway, I am looking for a great 2001! - Jim Corbin, WA
For Immediate Release Contact: Ken Giles...........January 18, 2001.......Release #01-069
WASHINGTON, D.C. - After a recent rash of carbon monoxide poisonings - including incidents in Maryland, Pennsylvania and New Jersey -- the U.S.
Consumer Product Safety Commission (CPSC) is repeating its recommendation that every home should have a carbon monoxide (CO) alarm.
CPSC also urges consumers to have a professional inspection of all fuel-burning appliances -- including furnaces, stoves, fireplaces, clothes dryers, water heaters, and space heaters -- to detect deadly carbon monoxide leaks.
These appliances burn fuels, such as gas, both natural and liquefied petroleum; kerosene; oil; coal; or wood. Under certain conditions, fuel-burning appliances can produce deadly CO. However, with proper installation and maintenance, they are safe to use. CO is a colorless, odorless gas produced by burning any fuel. The initial symptoms of CO poisoning are similar to the flu, and include headache, fatigue, shortness of breath, nausea and dizziness. Exposure to high levels of CO can cause death.
"CO poisoning associated with using fuel-burning products kills more than 200 people each year," said CPSC Chairman Ann Brown. CPSC recommends that the yearly professional inspection include checking chimneys, flues and vents for leakage and blockage by creosote and debris. Leakage through cracks or holes could cause black stains on the outside of the chimney or flue. These stains can mean that pollutants are leaking into the house. In addition, have all vents to furnaces, water heaters, boilers and other fuel-burning appliances checked to make sure they are not loose or disconnected.
Make sure your appliances are inspected for adequate ventilation. A supply of fresh air is important to help carry pollutants up the chimney, stovepipe or flue, and is necessary for the complete combustion of any fuel. Never block ventilation air openings.
CPSC recommends that every home should have at least one CO alarm that meets the requirements of the most recent Underwriters Laboratories
(UL) 2034 standard or International Approval Services 6-96 standard.
Consumers should also have the vent pipes on their heating systems inspected. In 1998, virtually the entire furnace and boiler industry together with the manufacturers of high-temperature plastic vent (HTPV) pipes joined with CPSC to announce a vent pipe recall program. The program's purpose is to replace, free of charge, an estimated 250,000 HTPV pipe systems attached to gas or propane furnaces or boilers in consumers' homes. The HTPV pipes could crack or separate at the joints and leak CO.
Consumers can check the vent pipes attached to their natural gas or propane furnaces or boilers to determine if they are part of this recall. They can be identified as follows: the vent pipes are plastic; the vent pipes are colored gray or black; and the vent pipes have the names "Plexvent(r)," "Plexvent(r)II" or "Ultravent(r)" stamped on the vent pipe or printed on stickers placed on pieces used to connect the vent pipes together. Consumers should also check the location of these vent pipes. For furnaces, only HTPV systems that have vent pipes that go through the sidewalls of structures (horizontal systems) are subject to this program. For boilers, all HTPV systems are subject to this program.
Other plastic vent pipes, such as white PVC or CPVC, are not involved in this program.
After checking the vent pipes, consumers should call the recall hotline toll-free at (800) 758-3688, between 7 a.m. and 11 p.m. ET, seven days a week, to verify that their appliance venting systems are subject to this program. Consumers with eligible systems will receive new, professionally installed venting systems free of charge. Additionally, consumers who already have replaced their HTPV pipe systems may be eligible for reimbursement for some or all of the replacement costs.
Name, City & State: Please include your name or else I don't know who it is from.
Our Service Agreement disclaims hidden concerns...visible only. I look for the black mold and note on the report and verbally to the clients. If the agent is there, I advise them of the "potential" effects and why it is on the report. I do not "cry wolf" concerning the mold, only that it is potentially a health hazard and may effect some people and recommend that it be evaluated. I've only found one attic full of black mold on all of the structure and sheathing. Scary stuff. Be watchful and stay safe. If you don't use the best respirator now, go buy one! Your health is all important. Have a good day! Jim Corbin, Bow, WA
I would say that our service agreements need the added wording on mold and our limits on it. But even then, any greedy lawyer who has nothing to lose will suggest that the client go after the inspector for negligence. We need to put as much emphasis on our standards and give a print out of them at the time of inspection. If we are required to know more and see more, than the industry standards need to change along with the demand. Fees must represent the new changes and liability.
This is really annoying, don't you think? I mean, if we have to worry about mold, then why not acid rain, water quality, soil conditions, radon and so forth. Why do we not just have a disclaimer on mold if it is in the walls and under the carpets where we can't see it. Also, it sounds like a microbioligist is the only qualified professional to answer questions on whether the mold is toxic or not. Give me a break! Chris Burkhart - Sandy, Utah
In SW Oregon, the consumers are mostly unaware of any major challenges and refuse to acknowledge any possible damage their homes may have. The Real Estate community is burying their heads in the sand. No, the lawsuits do not affect home sales to any significant degree. The big item now is manufactured siding "again". By the way, Dryvit is the supplier of the majority of EIFS/DEFS homes and commercial buildings. Steve Bradley - OR
Your Name:City: State:
Please include your name or I don't know who it is from...
Monday, January 15, 2001 - By Julie Clairmont - Inman News Features
A Sacramento area homeowner doesn’t think he was in such good hands with Allstate Insurance.
Tom Anderson, 96, is embroiled in a legal battle with Allstate over a creeping mold that he says took over his house and then came back even after the home was reconstructed.
Anderson sued Allstate, his homeowners insurance company for bad faith in handling his insurance claim. In October, a jury awarded him $18 million in punitive damages.
Federal Magistrate Peter Nowinski said the jury award to Anderson was too high and reduced that amount to $2.5 million in December.
Anderson can appeal Nowinski's decision. Illinois-based Allstate, the nation's second-largest home and car insurer, can as well.
Anderson, who now lives with his son Alan, who said his father is disheartened by the judge’s decision. The Andersons thought the amount might be cut to $10 million or so, he said.
“My father still has no money to repair his house, because Allstate has tied it all together, and they still have the right to appeal,” said Anderson in a phone interview this week.
He said the house was deemed unhealthy by an environmental firm that tested the air quality and found mold particles still present in the air, even after the house was torn down to its frame and treated with mold-killing solutions.
The problem began in 1996 when a pipe broke in the attic and water seeped down through the walls. The Andersons hired a general contractor to take care of the water damage.
Tom Anderson moved back into his house for a short time last year after the reconstruction, but then one day his son noticed the insidious creeping mold growing on the interior walls. It was back.
“I thought we had killed it all,” said the younger Anderson. “But now we know that until a mold colony is reduced to a certain number, it is still present.”
Allstate's appellate lawyer, Christina Imre, said the company liked the court's decision and hadn't decided if it would appeal, according to the Sacramento Business Journal.
Anderson said he and his father are undecided about what they will do regarding the appeal or the house, which may need to be torn down to get rid of the mold, he said.
If his father appeals the judge’s decision, it could end up back in the hands of the same judge who reduced the punitive award to begin with, said Alan Anderson.
“It’s a vicious circle,” said the son. “My father is so disgusted right now.”
http://www.inman.com/InmanStories.asp?ID=22715&CatType=R
Are you kidding?? The photo is not close enough to recognize type of siding, ie., particle board, masonite, etc. Installation problems include: no vapor barrier, no stagger joints, poor nailing, no caulking or paint, etc. This is a joke, right? That will be $275.00 please. Thank you! Reggie Ayres Medford,OR
This siding is a special brand seen all the time in the rural areas in Washington state. It does appear to be in better condition than most seen here. The remaining economic life may be extended by a light spray of water color (food color will work too). The boards are typically made evenings through a special "good old boy" process. The material comes from a large white roll, typically found in the rest room at Mickey D's. Large quantities are removed from the roll, and taken to a local loggers tavern with a dance floor. It is thrown on the floor, and during the evening a combination of spilled beer and relentless stomping form the material into thin, flat sheets. At closing time, the sheets are cut into boards, usually with Buck knives, and left to dry over night. Usually the boards are gathered the next morning by the clean up guy, and stored until a pick up load is made. It is usually sold out of the back of the pick up in the local Sears parking lot. Once applied to the side of a building, it usually lasts through the summer if it has been applied in August. While it is not particularly resistant, it is the siding of choice for out of work loggers in Washington, and adds a great deal to the lore of the Pacific Northwest. Roy K. Brown-- Lake Stevens, Washington
PS......... Michael, I sat straight up from slumber, and realized I left out the most important part in responding to your photo. How can inspectors report it, if they don't know what to call it? Some times 'splainin' causes you to forget the most basic things. The siding in question is called Loggers Practical Siding. Course, as with everything else, the name has been shortened to accommodate. Around here, they just call it LP. Roy K. Brown Lake Stevens, Washington
Of cource this is a "meth" house located near Klamath Falls, OR. Steve Bradley
Are you kidding? From the photo, it looks like someone tried to cover the original siding with strips of roofing material or cardboard. Bill Craig, Florence, OR
It looks like an asphalt "artificial shingle type" material I have seen locally. It was popular years ago as an overlay to deteriorating siding or just to get a new shingle look. I have seen sheet material with the shingle stamped in the sheet, single shingles like 3-tab roofing, bevel siding type lengths, and shingle shingles like cedar wood shingles. The latest home I have seen is vintage 1910 with cedar bevel original siding underneath. The shingle resemble the condition seen in your photo. All will be removed due to oxidation breakdown and physical deterioration due to the elements. I am told the the original cedar siding was in very good condition and will have minor repairs performed and then painted. Who knows why it was put on the exterior. Jim Corbin - Bow, WA
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