Inspection Issue – Lead Based Paint
The discussion of lead based paint comes up in every transaction that involves a house built before 1978. All sellers and landlords are required to disclose in writing the knowledge of any lead based paint hazards and provide results of any previous tests that they may have to any potential buyers or tenants.
Lead based paint has been linked to health difficulties primarily in children but can also be hazardous to adults. Most older houses have lead paint somewhere under the layers of paint in the house. So what is the hazard? If the lead paint is contained it is not an immediate hazard. Only when the paint is released by chipping, sanding etc. does it become a hazard. Once released, it can be in the air, contained in dust or it can be in exterior soil.
In a real estate transaction a Lead Based Paint Disclosure must be filled out and signed by the Seller, Buyer and both real estate agents. This disclosure must be signed before or concurrently with the purchase agreement. If it is done after the fact, heavy fines can be placed on the Realtors. Along with the disclosure, a booklet explaining the hazards must be received by the buyer.
The buyer has the right to have the house inspected for lead based paint hazards, but in my experience I have never seen a buyer have the tests performed. The testing is expensive and can be invasive (samples). I think the object of the program set forth by HUD is education of the public and at least in the the properties I have been involved in, I think that goal is being fulfilled.
The EPA has a very informative websitewhich has more information if you are interested in learning more.
The cabin shown above is still standing, although I’m sure it is a lead based paint hazard. It is my grandfathers old cabin in MN near Itasca State Park. He passed away just over 10 years ago and my cousin and I have since built the new cabin below on a different location on the land overlooking Gill Lake. 
{I have recently converted my blog to a new squarspace platform. During the conversion all of my old posts made the journey but the functionality of the search has not come through cleanly. This is a previously published post that contains information that is still a good resource so I will periodically re-publish a few select topics so that they are searchable on the site.}
I found this graphic on a power point slide I had put together a few years ago. Looking at it again, I firmly believe that we are in the “absorption” phase characterized by the arrow on the left side. Many of the symptoms of the bottom of the market have already happened and are improving. Rents have fallen but are now improving. Housing permits were down 26% last year. Vacancies have fallen, both in commercial and residential rentals.
