P R E S E N T S

…and a great class!

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Remain in attendance until the end of the class (or we can’t issue your credits)

Thank you!

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There is a $25.00 fee to reissue a Certificate

Mold to SoldAgenda

I. Why is information about mold important to Real Estate Professionals?

II. What is Mold?III. Water intrusion – control the moisture, control the moldIV. Mold testing – the good, the bad, the uglyV. Air quality testing and equipmentVI. Mold Remediation OptionsVII. Reducing Liability

Does this house look familiar?

Oak Hill Road, Storrs, Ct

Mold and the Real Estate Transaction

Massive renovation in 2004-05

$192,000 spent on lead paint, asbestos and mold remediation

2007 President Hogan and wife move into home. She has a sensitivity to mold

Additional $31,371 to eliminate mold

2008 Hogan’s vacate move to Gurleyville Rd

Oak Hill Road, Storrs, Ct

UConn President’s House

Why is mold information so important?

You are the transaction manager Buyers and Sellers look to you for guidance Expectation that you will have a basic understanding of issues Expectation that you will provide appropriate recommendations

and referrals to resolve issues and serve their best interests Expectation that you will help them understand results and

recommendations so they may make informed decisions

Our objective today is to provide you with information and resource materials so that you, and in turn your clients, are better informed.

Why is mold information so important?

Increased public awareness of moldMold related litigationHealth issuesEnergy efficient building practicesChanging weather patternsMinimize your riskForeclosures

What famous person filed and won a lawsuit because their mansion was infested with mold?

1. Madonna2. Ben Affleck3. Ed McMahon4. Kirk Douglas

Connecticut has had it’s share of high profile “sick” buildings.

Which of the following have had mold issues?

1. McKinley School in Fairfield2. Hinsdale Elementary in Winsted3. 25 Sigourney Street, Hartford4. All of the above

McKinley School – Air quality problems caused by mold/fungus2001 Building torn down2003 Rebuilt, Cost $23 Million2011 Mold discovered in new building

Hinsdale School – Air quality issues caused by mold/fungus2011 Testing/Remediation

25 Sigourney Street –State of CT Tax Department2001 – present Air quality issuesMillions spent on ventilation, mold remediation, etc.

Heightened Public Awareness!

Mold/Indoor Air Quality issues exploded in the early part of 21st century

Insurance claims skyrocketedIn 1998 there were only 129 mold related insurance

claims nationallyIn 2001, there were 9,563 nationallyIn 2002, there were 227,000 mold related claims filed in

Texas alone

Why???

The Ballard Case Dripping Springs, Texas

Many say this case opened the flood gates to massive mold related litigation

Melinda Ballard filed suit against her insurance company because they refused to pay for timely mold remediation

In 2001 jury awarded family $32 Million2002 – Award reduced to $8 Million

2004 – Reduced again confidential ($4 Million?)

What is Mold?•Mold is a microscopic organism that is found everywhere

•Its purpose in the ecosystem is to break down dead materials

•Molds are types of fungi that live on organic based materials

Magnified Mold & Mold SporesSource: EPA

Mold in the Environment

Mold is everywhereNeeds moisture &

oxygen to growDigests/eats whatever it

is growing onControlling indoor

moisture will control mold

Mold in the Environment

Outdoors – plays a part in nature by breaking down dead organic matter (fallen leaves, dead trees)

Molds reproduce by spores invisible to naked eyeMolds begin growing indoors when spores land on

wet surfacesMany types of molds – none of them will grow

without a wet surface or sustained high humidity

Molds reproduce through spores released in the air. How long do mold spores remain viable?

1. 24 hours

2. 7 days

3. Many years

4. Spores have a 30 day lifecycle

The three most important conditions for spore germination and growth are:

1. Food, temperature, and oxygen2. Temperature, moisture, and oxygen3. Darkness, oxygen, and food4. Food, moisture, oxygen

Are there Federal regulations or standards regarding mold?

1. Yes

2. No

3. No, standards are set and managed at the State level

How does mold affect our health?

Mold spores and gases (given off by mold) produce allergens, irritants, sometimes toxic

compoundsAllergens/irritants cause allergic reaction in

sensitive individualsSymptoms may include sneezing, runny nose,

red eyes, skin rash or more severe symptomsAsthma may be triggered

How does mold affect our health?

Molds affect people differently, depending on degree of sensitivity

Highly sensitized individuals may have severe reactions

Mold may colonize within our body if immune system is suppressed

A few molds may cause internal organ damage

How does mold effect our health?

Molds may also produce a potentially toxic substance called mycotoxins

May be ingested, inhaled or skin contactHealth effects often include nosebleeds,

coughing up blood, nausea, vomiting, diarrhea, fatigue, tremors

Suppress immune system and cause central nervous system damage

Symptoms vary greatly, according to degree of sensitivity and level of toxins

What is a mycotoxin?

Gasses that the mold gives off during digestionVOCs – volatile organic compoundsIn healthy people, exposure must be quite high

for adverse affectRare occurrenceCDC states there are approximately 1.5 million

types of fungusOnly 300 are known to make people sickThat’s less than 0.0002%

What color is mold? What does it look like?

Mold comes in many colors – black, white, yellow, green etc

How well do you see colors?

How well do you see colors?

Mold growing on a suitcase stored in a humid basement

Mold on paneling behind mirror above bathroom sink

Mold on drywall under leaky sink Extensive mold contamination of ceiling

What does mold smell like?

Some compounds produced by mold have strong smells

Volatile and quickly released in air

They are known asmicrobial volatile organic

compounds (mVOCs)

According to the CDC the most common household mold genera are:

•Cladosporium•Penicillium•Alternaria•Aspergillus•Stachybotrys (infrequent)

Please refer to your handoutCommon Household Molds

Section IIIWater Intrusion

Why Is It So Destructive?

Moisture can be the single most destructive factor to the structural integrity of a home or building

Moisture can dissolve the matrix of drywall, overwhelm the HVAC system, and lead to mold growth, which can destroy building materials

Moisture can encourage unhealthy conditions within a home or building.

Case in PointIn 2009 a resident of an apartment in New Haven complained to the Management Company that she has a water leak that resulted in some mold growth

Maintenance workers do an “inspection” and determine a wall needs to be removed in order to locate leak

Maintenance workers do not follow through

Case in Point

December 2009 Resident vacates apartment fearful that the mold is a health hazard – she has a young son

She takes photos of walls, ceiling and related mold and starts removing personal items

There is a puddle on the floorShe hears an ominous noiseShe runs into the bedroom – but she is not fast

enough

Case in Point

Resident eventually pushes water logged debris off of her and exits apartment

She is hurt – neck, back, head, knee

Her medical expenses total $3152.61

The ceiling crashes down - landing on top

of her

As a result…

She was awarded $78,162.51$75,000 pain and suffering, plus medical

expenses

Exterior Building Enclosure Science

What is the Exterior Building Enclosure?

Exterior perimeter wall and roof of the structure

Separates outdoor from indoor environments

Encompasses walls and roof, structure, windows, doors

All penetrations through exterior walls and roof

Exterior Building Enclosure Components

RoofingChimneysSheathing and House

WrapsBrick & Stone VeneersWood and Composite

Siding and TrimHard Coat StuccoFlashingWindowsDoors

All Building Penetrations Electrical Utility

Installations Vent Installations Nails and Other

Fasteners Exterior Piping and

Conduits

Additional Concerns….

What is the Interior Building Enclosure?

Interior perimeter walls and ceiling of the structure

Encompasses floor, wall and ceiling surfaces

All penetrations through interior floors, walls and ceiling

Where We Want to Contain Conditioned Air Enclosure Penetrations

Interior Building Enclosure Science

Interior Building Enclosure Concerns

Air Sealing ProcessesInsulation DetailsVapor Barrier

InstallationDraft Sealing Interior

CavitiesTemperature and

Humidity ControlWet Building Materials

Occupancy Issues Lost Energy = Expense Trapped Moisture = Mold IAQ = Allergies/Sickness

Additional Concerns….

…Why, oh why, does water intrude into a building?

1. Weather Conditions – Snow, Sleet, Rain

2. Leaking Plumbing – Appliances, Toilets, Showers, Sinks, Tubs

3. Grading

4. Deteriorated Roof/Flashings

5. Gutters/Downspouts

6. Structural Defects

7. Ductwork

8. Foundation Defects

9. Improper Insulation Installation

10. Windows

Top 10 Areas of Penetration1. Basement/Crawlspace

2. Foundation/Exterior Grounds

3. Siding/Exterior

4. Decks/Patio

5. Garage

6. Interior walls/floors

7. Kitchen

8. Bathroom

9. Attic

10. Roof

Moldy Myths…CommonMisconceptionsAbout Mold…

Let’s dispel them, once and for all!

"This isn't the toxic mold, also known as

“black mold”…1. The mold that most people are referring to when they use the

term "BLACK MOLD" is a mold called Stachybotrys2. There are thousands and thousands of different molds and many

of them are black – they are not all toxic3. Some molds will change colors and texture at different stages of

their growth4. Some molds can be gray one day, black the next day, and green

the day after that 5. Color does not indicate toxicity

"This isn't mold. It's just mildew.”

1. Mold and mildew are the same thing2. Stachybotrys mold has the potential to be hazardous, there are

many other species of mold like Aspergillus, Penicillium, Fusarium, and Alternaria that are very common and can be just as unhealthy

3. Any significant amount of visible mold will likely cause elevated levels of mold spores in the air

“Is it safe to clean it myself”

1. When doing any kind of mold abatement, it is necessary to take steps to limit exposure, no matter what type of mold it is

2. Wear gloves, coveralls, and respiratory protection3. Mold levels can increase up to 10 to 100,000 times background

levels during mold clean up resulting in acute exposure4. For large areas of mold it is recommended that the cleanup be

completed by individuals properly trained in the handling of hazardous materials

5. It is also important to ensure that all impacted materials are properly treated or removed so the mold does not return

"I want to make sure that my house is free of mold”

1. No house is completely free of mold2. Molds are very common outside, so some mold spores

will always be present in the air indoors as well3. When a home is tested for mold, it is checked to make

sure that the indoor mold spore levels are less than or comparable to the outdoor spore levels

"I cleaned the mold with bleach, so I have fixed the

problem”

Bleach is ineffective for a variety of reasons: It’s diluted and it doesn’t kill spores It’s around 95% water, just what mold wantsDoesn’t penetrate into materialsBleach evaporates quickly, leaving behind water, which does penetrate and feeds the mold

Bleach is not recommended in any standard mold remediation protocol

LET’S QUICKLY REVIEW…

We’ve discussed:Why information about mold is important to RealtorsThe science of mold Building enclosure scienceWhy and where water is mostly likely to enter a buildingWe’ve debunked the most common myths about mold

Now, we’re going to examine what is probably the most confusing area of all

Mold Testing – when, how, where, why, who!

Mold TestingThe GoodThe Bad andThe Ugly!!

Let’s go undercover and examine the options…

The Undercover House

B R E A KB R E A K

15 MINUTE15 MINUTE

2014 – 2016 (3) Credit Continuing Education Courses

Don’t Let Water Intrusion Sink Your Deal! Smart Energy Updates for Existing Homes Innovation in Sustainable Housing – Green Building Best PracticesThis Old Connecticut House Minimize Your Risk, Maximize Your Earnings Environmental Issues – Evolution to Resolution What to Expect When We’re Inspecting! Mold to Sold! Residential Building Practices

Your Opinion Matters….

Before the end of class, please take a moment to complete our evaluation form…

And now part 2 of the undercover house…

The Undercover House – Part II

What is Relative Humidity? The degree of moisture in

the air relative to how much it can hold (at a certain temperature)

Warm air can hold more moisture than cold air

50% RH means that the air is holding half of the moisture

At 100% RH, the air can’t hold any more moisture

Condensation occurs if the air temperature goes down enough or the humidity level goes up enough

Examples: Cold glass of ice tea on a hot summer day or frost on a window pane

Either condition is a mold garden waiting to happen

Connecticut Department of Public Health

Mold Guidance for The Real Estate, Banking and

Insurance Communities

Please refer to your Handout

Connecticut Department of Public Health

Highlights:

There are no health-based exposure level standards.

Lack of odors does not mean mold is not present.

Air sampling may not be necessary. Unless you need to know the extent of the problem.

There are no state guidelines or enforcement.

3rd party assessment is recommended.

Here’s what CAR says…..

Please refer to your handout

CAR “Mold” Statement of Policy

CAR – “Mold” Statement of Policy

Indoor mold associated with allergic responseIndividuals react differentlyParties should deal with issue responsiblySellers/landlords should disclose actual

knowledgeWater Stains, musty odors may indicate problemBuyers/tenants at higher risk should inform

seller/agent

CAR – “Mold” Statement of Policy

Assessments and samplings for mold contamination can be performed by qualified industrial professionals

(hygienist, engineer, labs, home inspection companies)

To Test…Or Not to Test??

The EPA, CDC, OSHA and CT Department of Public Health agree that it is more important to locate and fix the source of the water problem

More important to get rid of mold than to identify it

However….

When Should Your Client Test For Mold?

When a person is particularly susceptible to mold because of respiratory problems or allergies

When a person has an immuno-compromised or immuno-suppressed system

When there is a historic record (seller disclosure/CLUE report) of a moisture or mold problem

Post remediation – to ensure effectivenessWhen Buyer specifically requests sampling/testingWhen the extent of a problem needs to be defined

CLUE ProgramComprehensive Loss Underwriting ExchangeData sharing insurance claimsContains approximately 90% of claims filed

within past 5-7 yearsOnly the owner of a home or an insurance

company can obtain the reportFree every 12 monthshttps://personalreports.lexisnexis.com

Testing??What are the options?

Indoor Air Quality Testing (IAQ)Water Intrusion InspectionMold Inspection (what the heck is that and who does it?)

Remediation Company? Environmental Company? Home Inspector? Uncle Harry?

Mold Sampling And Analysis

Air Sampling Surface Sampling

Swab sampling Tape sampling

Dust SamplingBulk sampling Settlement Plates

Air Sampling

Most mold samples are collected from the airAir is collected through a calibrated pumpCollects indoor air through an air cassette

Indoor samples are compared to an outdoor sampleViable and non-viable spores

Viable sampling is rarely doneAir cassette is sent to lab for analysisFinal report should contain lab report

interpretation & recommendations

Air Sampling

Most mold samples are collected from the airAir is collected through a calibrated pumpCollects indoor/outdoor air through a spore

trapViable and non viable sporesSpore trap is sent to lab for analysis

Air sampling cassetteOperates upon the principle of inertial impaction

Through acceleration, particulate-laden air is drawn through the cassette onto a slide

The particles become trapped on adhesive on the slide within the air cassette

Cassettes are sealed before and after sampling to protect against contamination

Rapid results from lab

Air-O- Cell

Surface Sampling

Lift tape samplesSwab samplesBulk samplesAll these can be analyzed

to determine the genus of any mold present and the likelihood of active growth

Samples usually coordinate nicely with air samples

Other Sampling Techniques

Petri Settlement PlatesGenerally does not give an accurate representation of conditions

ERMI Vacuum SamplesSamples only a very small area of carpet -questionable

representation of actual conditionsViable Sampling

Rarely required – expensive, time consuming, but will identify the mold species rather than just the genus

Other Methods of Moisture/Mold Detection

Moisture metersInfrared camerasInfrared thermometersMold dogs

What Does a Lab Report Look Like?

What Does a Lab Report Look Like?

Remediation Methods

Please see Handout“Get The Mold Out”

DPH – Get The Mold Out

“Abatement” vs. “Remediation”(Synonymous in this handout)

No home will be completely free of mold sporesUse a home inspector to track down water/moisture

concerns Recommend the eyeball & nose test - Sampling isn’t

always necessary(Beware of conflicts of interest)

No standards for “acceptable levels” of mold exposure

DPH – Get The Mold Out

Small jobs can be handled by a homeowner

Level I - A small isolated area less then 10 square feet Level II - Mid sized isolated area of 10 to 30 square feet

Level III - Large isolated area 30 to 100 square feet

Level IV - Extensive contamination over 100 contiguous square feet

Level V-VI - 5-6 Involve HVAC contaminations

DPH – Get The Mold Out

Be sure remediators are trained and will follow accepted remediation protocol

IICRC S-520: Institute of Inspection, Cleaning and Restoration

Certification – 2008(a certification and standard-setting non-profit

organization for the inspection, cleaning & restoration industries)

Resources

NYC DOHMH: New York City Department of Health and Mental Hygiene

NADCA ACR-2006: National Air Duct Cleaning Association, Assessment, Cleaning and Restoration - sets international standards for cleaning HVAC ducts

“Mold abatement is based upon removing the source of the problem, preventing it from reoccurring, and cleaning up any residue.” (page 5 of your handout.)

What does a remediator do?

A good remediator will address the source of moisture

Isolate the area being remediated

Remove contaminated materials

Remove all mold Clean everything!

What does remediation look like?

What happens after remediation?

Post Remediation TestingThis is the only way to ensure

the remediation was successful

Air sampling Swab samples of any residual dust Visual assessment of remediated area for mold

Control the Moisture

No remediation will be

successful for long if the moisture

problems are not corrected!

Some molds can establish

growing colonies in as

little as 48 hours!

Mold and The Home Inspection

According to The State of Connecticut Standards Of Practice for Home Inspectors:

Is a Home Inspector required to identify Mold?

Is a Home Inspector required to identify water penetration/intrusion that may lead to Mold?

Limitations and Exclusions:

The Inspector is not required to

determine the following:

“ the presence of any environmental hazards, including, but not limited to, toxins, carcinogens, noise, and contaminants in soil, water, and air, with the exception of radon, asbestos, lead paint, or lead solder”

Mold and The Home Inspection

According to The State of Connecticut Standards Of Practice for Home Inspectors:

What responsibility does the Home Inspector have with regard to insulation and

ventilation?

Insulation and Ventilation:

(a) The inspector shall inspect the insulation and vapor retarders in unfinished spaces; the ventilation of attics and foundation areas; and the mechanical ventilation systems

(b) The inspector shall describe the insulation and vapor retarders in unfinished spaces and the absence of insulation in unfinished spaces at conditioned surfaces

(c) The inspector is not required to disturb insulation or vapor retarders or determine indoor air quality

What is your responsibility in the Real Estate Transaction?

As a Buyers Agent?As a Listing Agent?As a Broker?

We understand how difficult your job is..

And how hard you work!We also know that sitting through a 3 hour CE

class is not easy…

So, we’d like to pay a tribute to all of you…

When working with a Seller - look for:

Evidence of leaking pipesSigns of moisture around kitchen appliancesBlistering paint & wallpaperCondensationTiles pulling away from wallsOdors – musty smellUnstable toiletsVisible mold on ceilings, walls, floors, carpets,

bathrooms

Seller Disclosure

Ask questions – have you had any water leaks?Roofing issues, leaking pipes, appliance leaks?What was extent of water intrusion?How quickly was it cleaned up?Was an insurance company involved?Was any mold detected?Was any testing done? Results?

Mold and Disclosure

Do CT Statutes mandate that a prospective purchaser receive a mold disclosure form prior to executing a contract?

The Seller should complete the form

Realtors should not supply any answers nor guidance

Mold and Disclosure

Realtors have obligation under Code of Ethics and Real Estate Regulations to reveal material facts concerning a property

If conditions are discovered after the Seller has completed the form, and the Seller does not wish to amend the form, the Sellers failure to amend does not relieve the Realtor of the obligation to disclose material facts about the property

When working with a buyer…

Educate the BuyerReview Seller disclosures with Buyer – if

necessary get further informationHave a Home InspectionReview report with buyersProvide fact sheets about mold or water damageRefer buyer to EPA, CTDPH or CDC websiteMake appropriate referrals to qualified/vetted

professionals

One Minute BreakYour Opinion Matters….

Please take a moment to complete our evaluation form…

Are you Ready?Let’s test yourMold IQ!!

The most important factor influencing mold growth indoors is:

A. Temperature

B. Light

C. Moisture or Water

D. Organic Matter

With respect to mold, the MOST desirable condition in a home is when:

A. No mold is present

B. Indoor levels are similar to outdoor levels and there is no moisture

C. Mold and moisture problems are hidden

D. Mold is visible and easy to detect

Mold is usually black.

True

False

Condensation can be a sign ofHigh humidity.

True

False

If insulation within duct work becomes contaminated with mold, the ductwork

must be removed and replaced.

True

False

If I use my stove to make a pasta dinner, could this

increase the humidity in my home?

Yes

No

Resourceshttp://www.epa.gov/mold/moldresources.htmlhttp://www.ct.gov/dphhttps://personalreports.lexisnexis.comhttp://www.cdc.gov/mold

Mold GuideMold CourseIndoor Air Quality InformationRemediation Guidelines

Questions??

Thank you!