Task 1. Water intrusion may cause Dry rot due to certain fungus, this decay could be taken as a termite damage because of spore’s land on wood. If there is enough moisture for the fungus to thrive, it feeds on the wood and weakens it. Even though the name implies the rotting wood is dry, it’s quite the opposite – dry rot needs a water source or moisture to survive. You may see white or grey growth on the wood, and even a mushroom-like body, if it has advanced. The wood may be blistering, cracking, or the paint may be peeling. You may even see green algae in the wood.