Buyer concerned about asbestos siding
Q: We're about to buy an old house that has asbestos siding and are unsure about whether to proceed with the purchase. We have two children and are very concerned about health hazards. What can you tell us about asbestos siding? Is removal very expensive? If we don't remove it, how long will it last? Is it safe for me to work on it myself? Should I even consider buying the property?
A: Asbestos exterior siding was commonly installed on buildings constructed in the 1940s and early 1950s. The material, known as transite, consists of cement that is mixed with asbestos fibers for increased strength and durability. Transite is regarded as "non-friable" asbestos: the kind that does not crumble easily and therefore does not readily contaminate the air. In order to release a significant amount of asbestos from transite, it would be necessary to create dust particles by sawing or sanding the material.
Transite is not regarded as a significant health hazard if left as is. Removal and disposal can be very expensive. It is permissible for owners to do their own removal, as long as the work is done according to EPA protocols, but disposal should only be done by a qualified asbestos professional.
Transite siding is hard and thin. Therefore, it is resilient and long-lasting, but it cracks easily if subjected to impact. If breakage occurs, patching is unsightly, and replacement panels are not commercially available.
The question of whether to buy this property depends upon several considerations. If your primary concern involves potential health hazards, such fears are unwarranted. If you plan to replace the siding, then the asbestos issue may not be a problem, aside from expense. Another thing to keep in mind is disclosure when you eventually resell the property. If you keep the existing siding, future buyers will need to be informed it contains asbestos. For some buyers, this could be a showstopper.
Q: Why does the appraisal value of a home often differ from the price listed by real estate agents? When we bought our home, we paid a few thousand dollars more than the appraisal price. When we eventually sold, we got less than the value determined by the appraiser. Why is there so much variance among these values?
A: Real estate appraisal is an inexact science. This is particularly true in an active market, when prices are rapidly rising, or in a depressed market, when prices are falling. It is also true for properties whose characteristics are unique.
Appraisers depend upon recent sale prices to determine property values. When market prices are rapidly rising or falling, recent sales prices may not be reliable, unless adjustments are made according to the apparent price direction of the market. Appraisers also rely upon comparable properties for price comparisons. If a home is different in size and amenities than those that have recently sold, an appraiser has to make adjustments for those variables, and these can be somewhat subjective.
In truth, the value of a property is whatever a buyer is willing to pay. That price becomes the comparable sale to be used in future appraisals of other properties.
• Email Barry Stone, certified home inspector, at barry@housedetective.com.
Distributed by Action Coast Publishing