appraisers reporting mold

I just heard that some appraisers are listing the algae like substance that grows on the north side of vinyl sided homes as mold without any lab testing. I’m not sure what the banks do about it if anything.

edit: Just found out that the bank is requiring it to be cleaned off.

Maybe the banks have finally learned that many of their vacant homes have issues due to lack of proper inspections and upkeep after they got them. So now they are worried about dirty siding and still don’t care about the condition of the HVAC, electrical, plumbing and the crawlspaces etc. Its all about curb appeal! Make em look good and someone will buy!

In my area, I have seen many banks with the help of some Realtors hire handymen to just paint over the mold inside the homes they sell. Sad but true.

Same here James. seen it several times. Also they sometimes refuse to turn on anything forcng the buyer to do it

How I usually find the painted over mold is they do not even bother to fix the water intrusion. More sad but true.

Be aware that it is the banks that are hiring the appraisers through third parties. Appraisers are reporting defects to these lenders, and helping put us out of business. With them, and most contractors offering free home checks, I am virtually out of business. Dan Bowers, one of the top home inspectors in the country, and living in the same Kansas county as me, reports the same. Not only him and me, but the livelyhood of several other inspectors in Kansas AND Missouri are in dire straights. Due to the new Kansas laws, our home inspection company lives are now in severe jeapordy. I have averaged over 40 inspections every May since 2001, and only 8 so far this month; none over the last 10 days. It is very discouraging for me and my family now.

When I got started performing inspections for FHA, VA and RD, the lender relied on a regular inspector, now it is the appraiser that does most of the inspections. Over the years, I have developed relationships with some of these lenders and government agencies; they have told me in many cases, point blank, it is organizations like NAR and MAR pushing for appraisers to perform inspections. Just as when the state of Missouri beefed up the private sewer inspection rules, some Realtors in my area are telling their clients a septic evaluation is just like a septic inspection.:shock: I was at a meeting of one of the counties in my area had about sewer inspections between sewer installers, inspectors and Realtors, and when the new regulations was brought up, one of the top Realtors in my area said that “I know how to control my buyers”. Sad but true.

Gary, business is like this in most of the country and it is not due to the appraisers. It is due to folks not buying homes and moving up. When the tax credit ended so did many of the phone calls for inspectors all over the country. Your new home inspector law in Kansas is not the reason that business is down.

From 2001 to around 2006 home inspectors and pretty much everyone else became spoiled with all of the business they could get. Anyone could buy a home, with little to no down payment, poor credit and with little to no reserves in the bank. Everyone was buying a home! And now we are all paying the price with foreclosures on just about every block in the country. Folks can’t sell their homes because they are upside down with their mortgage so the move-up buyers are stuck in place. In the past folks moving up in the market accounted for about 75% of all home sales, now they are about 10%.

Scott has hit the nail on the head

I feel better now that I heard this morning that mortgage applications last week were the lowest in 13 years.

We do have evidence here that home buyers are using contractors to check home areas, for free, with the blessing of their agent; a huge conflict of interest, IMO. And allowed by the new home inspection laws here in Kansas.

We might be lucky here in Knox county, 491 pending SFH sales/deposits taken (05/01-05/24) vs. 246 for the same period last year according to MLS stats.

Al in TN

What makes an appraiser qualified to make a determination on mold anyhow?
I wonder what they will call it after Florida mold laws go into effect.
They will be no more qualified to call something mold than anyone else who is not certified by the State of Florida!

True ED. Some laws do help. the trick is to get involved when the laws are being written as Nick did with our HI licensing law. You may not always get what you want but you can at least steer it in the right direction.


I only had 1 in the past 10 days but got 4 in the next 4 days… 3 are sellers inspections! i’ve only had 1 of those since start up last July

Hi Mr. Patterson! How are ya! Long time no talk.

I remember doing my first inspection when the market was dead in 1997… And I think right now… it’s waiving a White Flag! It will get better!

Phones really slowed down the week before last, but it’s picked up a bit in the last few days too, I’ll do just around 3-4 in the next few days minus any more calls.

I think everyone knew that there’d be a lull between the end of the tax credit and the market picking up again. Just hope it picks up for everyone out there!

Guys are already slashing prices in southern California, there are some posters on this board (remain nameless) that are advertising $199 and driving from Orange County to the High Desert :slight_smile: and a free 100 day warranty, just saw it a lil while ago, 100 miles each way… IN TRAFFIC… lol. Can you say PANIC?

It may take awhile, but it’ll work out… As a matter of fact, a few years after I started, from around 2000-2003 it was soooo busy I was turning away work. And ended up taking a “break” for awhile and split time with other construction endeavors, and did inspections, just not 15 a week.