Nearly every home has some type of mold in it.  There are over 100,000 types of molds in the world.  Some molds produce secondary metabolites that produce toxins which are very dangerous to your health.  We may be unaware we are breathing mold spores and toxins until we develop health problems. 

I am not a mold expert and I’m not trying to educate you on mold.  As for being a real estate investor myself, I pay special attention to homes with excessive amounts of mold. 

There are few ways you can detect residential mold.  The first way to detect it is to smell your home.  If there are areas where you smell something that is musty, you may have a mold problem.  This may be a bigger problem if there are water or sewage pipes where you notice the smell.  

Another way to detect residential mold is to look at your walls and floor boards.  If there are any yellow stains on the walls, there may be mold there.  Black mold will show up as a yellow or yellow-green spot on the wall.  Black mold is the most harmful type of mold and should be eradicated as soon as possible.

Black mold removal is not cheap.  Sellers would likely prefer to sell the home at a discount verses having the mold removed.  In one instance, we were negotiating a purchase price on a single family resident in Greensboro, NC.  We came up with a purchase price of $60K for a home with a current market value of $105K.  Our contract allowed for us to have an inspection on the property.  On the day of inspection, my partner and I walked in the home, that was closed up with no air circulation for days, and the smell of mold was overwhelming.  After a more detail inspection by a mold expert, we discovered the property had an excessive amount of mold, but it wasn’t the dangerous black mold.  Since it was the less harmful type of mold, we could clean the mold up with a solution of bleach and water.  We went back to the seller with our detail report from the inspector stating excessive mold spores were found in the property and were able to get another $5K discount in our purchase price. 

Not only were we able to get a better price on the property, but we were able to put a couple more thousand dollars in our pocket.  If this had been black mold, the price could of easily exceeded $10K. 

If you smell or see mold when conducting inspections on potential properties, be sure to have a mold expert inspect the property.  This will save you a lot of grief and headaches down the road, and possibly put more cash in your pocket.  Check out the tips below.

 Things You Should Know About Mold

1. Potential health effects and symptoms associated with mold exposures include allergic reactions, asthma, and other respiratory complaints.  
2. There is no practical way to eliminate all mold and mold spores in the indoor environment; the way to control indoor mold growth is to control moisture.
3. If mold is a problem in your home, you must clean up the mold and eliminate sources of moisture.
4. Fix the source of the water problem or leak to prevent mold growth.
5. Reduce indoor humidity (to 30-60% ) to decrease mold growth by: venting bathrooms, dryers, and other moisture-generating sources to the outside; using air conditioners and de-humidifiers; increasing ventilation; and using exhaust fans whenever cooking, dish-washing, and cleaning.
6. Clean and dry any damp or wet building materials and furnishings within 24-48 hours to prevent mold growth.
7. Clean mold off hard surfaces with water and detergent, and dry completely. Absorbent materials such as ceiling tiles, that are moldy, may need to be replaced.
8. In areas where there is a perpetual moisture problem, do not install carpeting (i.e., by drinking fountains, by classroom sinks, or on concrete patio floors exposed to rain).
9. Molds can be found almost anywhere; they can grow on virtually any substance, providing moisture is present. There are molds that can grow on wood, paper, carpet, and foods. Wall paper in un-vented baths are excellent areas for growth.