Many people wonder, “Is it illegal to sell a house with mold?” The answer is yes—you cannot sell a house with mold in many states, including Washington, without disclosing it. It is required that homeowners complete a form to present to potential buyers.
Containing the form requires the sellers to answer “yes,” “no,” or “don’t know” to various questions about the house. Homeowners must be honest when filling out the form, and disclose any condition that they are aware of. Even if it is not specifically stated on the form, homeowners must disclose it if their home has a condition that could affect the desirability of the home. That includes mold.
Unlike in other transactions, failure to disclose the mold is not just a question of deception: it is against the law not to disclose if the home has mold. Legal fees might not be the only thing owners are stuck with—there’s also the hit to their reputation and disappointing their buyer. There may also be other local regulations of which homeowners may not be aware, which is why it’s best you find out how to sell to home buyers with mold, or get rid of it altogether.
No two homes are the same, nor are the homeowners, which is why it’s best to consult with a real estate agent who has dealt with moldy homes before. They know the area well and can give homeowners a good estimate of how much they should pay to fix the problem, if at all.
Do not wait to receive notices from inspectors and buyers—instead, right away a home anchor tells homeowners which option is best and how to react. Whether you decide to fix the issues or sell your home as is, you should maintain openness and seek guidance. The world of real estate is difficult for the majority of homeowners to navigate, so receiving professional help should be a top priority.
Working with Real Estate Professionals
Selling a house can give one a headache—not to mention if the house has a history of mold. Even the word “mold” gets a reaction from buyers, they know it means bad health and depreciated home values. The point is—mold sends a shiver down everyone’s (besides mold companies) spine. So if you are selling a house with mold, you’ll need to hire a hardcore mold real estate agent who won’t back down at tackling these issues.
Think about it. When you interview real estate agents, one of the first things to talk about is the mold. We mean before diving into, “I’ll sell your house fast and for top dollar, ” “I’m the #1 agent in your neighborhood,” or “I have 37 back-to-back years of rising home sales”—listen for them to ask why you the buyers backed out (if the home has history, it should be obvious for some to bring up those subjects).
For the record—all of that is overused by many real estate agents in the country. It’s best to lead with talking about your home, your needs—and who you are. Sure, all the above is great, but it’s not about the “me” show, this transaction is about YOU—the seller.
Lastly, a realtor who knows mold is going to save you a ton in the long run. Not only will they lay out the best repair plan (most likely working with their preferred pool of contractors), they will know how to fight back on the price. They won’t get scared of mold—and do the right thing to help you document everything correctly so that you can sell the home.
Understanding Mold Issues in Real Estate
Mold is a type of fungus that grows best in a warm, damp, humid environment, which is why homes are the perfect host for mold. Mold can appear on the ceilings, walls, and tucked into the various nooks of your home after a water leak, poor ventilation, or humid environment. Mold not only affects the infrastructure of your home and can cause extensive damage within the walls or ceiling, but it can also cause various health issues. Dealing with mold is therefore not a health issue that homeowners should ignore to prevent further damage and possible damage to your body’s health.
But the implications on those homeowners looking to sell could be even more specific. For buyers, mold in a house that they are looking to purchase could mean more than just a health risk. They could also see a lot of value or risk in the house’s cost, bringing it down due to the $ value equivalent of remediation. And depending on the extent of the mold, remediation could be a significant job, including full ripping out of drywall, painting, construction, vacating the home, and much more. These “transaction risks” adequately inform the seller of the condition of their home to be listed on the market and how that might drive down customer bidding or appreciation.
The Importance of Disclosure
In Washington, sellers in a real estate transaction have to tell prospective buyers whether they know if there’s mold in the house for sale. That’s a good thing because mold has been linked to a host of pulmonary and allergic reactions that are very bad for human health. Buyers need to know what they might encounter in their possible new homes.
But it doesn’t stop there. Legally, people selling their homes in Washington also must tell prospective buyers about many other things related to that property, from basics like what kind of heating is installed and what appliances are sold with the house to specifics about its location, such as the condition of the foundation.
Should You Fix the Mold or Sell As Is?
What benefits might this bring?
Getting rid of mold will make your home much more appealing to buyers—homes with no mold signal both good “bones” of a property and a well-maintained home to boot. Plus, no mold will mean no health problems potential buyers will want to avoid, meaning they might be willing to pay a bit more.
What expenses might incur?
Mold remediation is just one of the things to fix before selling a house that could take too long and cost too much. Extensive tests and reports from professionals will need to be done, as well as the actual work to make sure it passes a re-inspection once all work is complete. All of this adds up, and there is no guarantee that your final sale price will provide you with a good return on the costs.
How long will it take to complete?
Every airborne mold spore in your home (which there are 100% guaranteed to be, regardless of how extensive your remediation was) is a liability you risk selling to. Having these buyers track you down after the fact because they are now experiencing health problems (or an old problem crept back up) won’t be a good thing.
Will this delay my sale process?
This is a job that likely will take a while but could delay your sale process if left unattended—both long and in the wrong place. Plus, if the buyer is knowledgeable enough to request that the water source is repaired to mitigate the issue from happening again, this would mean very specific construction within the house to ensure everything was up to code (including a permit pull—which means professionals). Each option comes with its own blend of risks and rewards. Therefore, sellers should examine closely and decide on their desired outcomes before choosing an approach.
Tips for Selling a House with Mold Issues Fast in Washington
“1. Market the Property the Right Way: When a house has a big problem, like mold, you have to turn up the heat on the good stuff. Is there a big garden in back? Nice! Modern appliances included with the house? Very nice! Big bedrooms? Also great! The more you can pull the property’s narrative away from mold, the better.
- Marketing to the Right Audience: Who won’t care about mold—you may be asking yourself? Flippers, DIY people, and folks who are glued to HGTV. Why? Because these people will want to buy the house regardless, fix it up, and then make their money back. They are used to seeing and fixing issues like this. So, the mold won’t bother them.
- Price to Sell Fast: Ah, good old pricing. Everybody likes a good price. The hot, steamy deal. The BOGO of the real estate world… this is exactly who you need to be. Have your realtor comp the neighborhood and find the best price that you’ll be able to sell at quickly. Mold is often a code word for “fixer-upper.” So, sell it as such. You still have a chance to make a nice return.”
For homeowners, selling a house with mold can seem like an obstacle that can’t be overcome. Mold is not just bad for your health; it also can reduce the value of your home if it’s not dealt with beforehand. The key to avoiding this seemingly inevitable problem is to get out in front of it before you put your home on the market. What is the extent of the mold? How did it get there? Do you need to bring in a professional?
There does not need to be only one solution: you should explore all paths. Each option can help in its own unique way. Get rid of the mold yourself; hire a professional service to take care of it; disclose the mold to your buyers. The path you choose, though, should depend on the extent of the damage to your home and the cost. The laws concerning selling a house with mold also vary wildly from state to state, so you’ll need to be aware of those, as well.