Feb. 19, 2008
Dear George: Our custom-built home was flooded during a severe rain storm when it was 95% complete because the builder left several windows open. A property inspector four weeks later found mold in three separate areas of the house. Since the home was still under construction, the construction company remediated the mold; the house received a clean bill of health. We technically didn't own the property during the flooding and mold remediation, but the mold-assessment report is in our name. Do we have to disclose our knowledge of water penetration and mold in the home when we resell?
Answer: A defect discovered and repaired during construction doesn't have to be disclosed. However, because you are aware of the circumstances that caused the water penetration and mold, it probably should be included with your seller's disclosure notice. You should also explain that the builder remediated the mold. If you have to ask if an item should be disclosed, it probably should be.
Dear George: We recently moved to Texas and bought a spec home from a builder. Do tax assessors have a legal right to enter your yard to measure your home? My wife was startled by such an individual in our back yard with a measuring tape who hadn't asked permission to enter the property.
Answer: Appraisal districts are charged with providing accurate data using accepted mass-appraisal tools. The district's representatives appraise only the estimated total square feet of the improvements to the property. Given the number of properties these representatives must appraise, there isn't enough time to make appointments or gain permission. Builder plans are not a viable option, because properties are not necessarily built to the construction plans.
Dear George: I have a VA mortgage on a house that I own jointly and haven't lived in for three years. My co-owner lives in the house and has been paying the mortgage and taxes since I moved out. I want to remove my name from the mortgage, but he says he can't assume it; his real estate agent says we owe too much on the house to sell it, and that we should wait for the market to improve. Do I have any other options? We were never married, and the VA certification is in my name. Also, can he legally sign a contract with a REALTOR® without
my permission?
Answer: A REALTOR® can sign a listing agreement with one co-owner; however, the agreement isn't valid until all owners sign it. As for matters concerning your VA mortgage guaranty, check out the FAQs at the VA loan Web site. You may have options, such as a VA compromise claim. Also, contact the loan officer or mortgage broker who closed your mortgage. He should be able to provide you with loan information, your options for selling the property, and other matters. Always ask about costs that may be associated with any advice or counsel you receive.
E-mail a question to ask George & Chuck or fax it to 713-978-6684. The answers to questions in this column do not contain legal advice. If you wish to obtain legal advice, you should consult your own attorney.
