Environmental Issues in Real Estate

Question 1

asbestos

Answer 1

Tiny harmful fibers in old buildings can make you sick if you breathe them in.

Question 2

encapsulation

Answer 2

Putting a protective cover or seal around something dangerous to keep it from harming you.

Question 3

formaldehyde

Answer 3

A smelly chemical found in some things at home that can be bad to breathe.

Question 4

friable

Answer 4

Easily crumbled into tiny pieces, like old materials that can release harmful stuff.

Question 5

lead

Answer 5

Heavy metal in old paint or things that can be poisonous, especially for kids.

Question 6

material fact

Answer 6

An important truth about a property that sellers must tell buyers.

Question 7

radon

Answer 7

Invisible gas that can sneak into homes and might cause health problems

Question 8

target housing

Answer 8

Homes where kids or pregnant women might be exposed to lead hazards

Question 9

Underground petroleum storage tanks (USTs)

Answer 9

Buried containers for oil or gas can leak and cause pollution.

Question 10

urea-formaldehyde foam insulation (UFFI)

Answer 10

Old home insulation that sometimes lets out harmful chemicals.

Question 11

these 3 strangely specific things are considered material facts lol.

Answer 11

A property that has, or used to have, exterior insulation finish systems (EIFS) or a stucco exterior.

A property that has, or used to have, polybutylene pipes that have leaked.

A property that is, or used to be, a clandestine drug lab. (METH BRO METH) (you can’t live in this. it’s got addictive drugs in the air.)

Question 12

In which of the following ways does lead pose a hazard in homes? (Select all that apply.)

Answer 12

Lead poses a hazard in homes from children ingesting lead paint chips, lead dust being tracked into the home from contaminated soil, and the corrosion of lead pipes contaminating drinking water.

Question 13

In 1992, Congress passed the federal Residential Lead-Based Paint Hazard Reduction Act, also known as Title X. It protects people from exposure to lead.

This law directed HUD and EPA to require the disclosure of known info on lead-based paint hazards on the sale or lease of homes built before

Answer 13

1978

Question 14

The Residential Lead-Based Paint Hazard Reduction Act sets forth the following regulations concerning disclosures. Before ratification of a contract for housing sale or lease, sellers and landlords must:

Answer 14

Disclose any known information concerning lead-based paint or lead-based paint hazards

Provide any records and reports on lead-based paint and/or lead-based paint hazards that are available to the seller or landlord

Include an attachment to the contract or lease (or language inserted in the lease itself) which includes a lead warning statement and confirms that the seller or landlord has complied with all notification requirements

Give the buyer or tenant the EPA-approved information pamphlet on identifying and controlling lead-based paint hazards. This pamphlet is called “Protect Your Family from Lead in Your Home” (check it out on the following screen). It must be provided before the buyer makes an offer, or, for tenants, before the initial lease period.

Provide homebuyers a 10-day period to conduct an inspection or risk assessment for lead-based paint hazards. Parties may mutually agree, in writing, to lengthen or shorten the time period for inspection. Homebuyers may waive this inspection opportunity.

Question 15

Brokers have legal duty to ensure compliance with the above lead paint disclosure requirements. They should:

Answer 15

Inform seller/lessor of their obligations under these rules

Ensure compliance, either by ensuring that seller/lessor has performed all activities required by the rules, or by the broker themselves personally ensuring compliance

Question 16

Disclosure of lead paint was required by federal law in

Answer 16

1992

Question 17

radon material fact level

Answer 17

4 picocuries

Question 18

A listing broker should disclose the presence of the mitigation system so as to

Answer 18

allow potential buyers to make a fully informed decision before going under contract.

Question 19

A buyer’s agent should inquire as to why a mitigation system was installed. They should also advise their buyer clients to include the following tests in their due diligence:

Answer 19

Have the property tested for radon gas

Have the mitigation system tested to make sure it is functioning properly

Question 20

The owner of a property (residential or commercial) with a problematic underground storage tank may be liable for cleanup even if

Answer 20

the leak was caused by the previous owner. They may also have to pay heavy fines and receive other penalties.

Question 21

Any broker who knows of any current or previous USTs on the property _______ this to all prospective purchasers or tenants.
A buyer’s agent should _______ the buyer to hire an expert to _____ the tank and conduct a soil contamination test.

Answer 21

must disclose

strongly encourage, inspect

Question 22

Chlorofluorocarbons (CFCs) are

Answer 22

chemical compounds containing chlorine, fluorine, and carbon atoms.

Question 23

Under CERCLA, a landowner may be liable for cleanup when contamination exists, even if

Answer 23

they didn’t cause the contamination. This liability includes the cleanup not only of the landowner’s property but also of any neighboring property that has been contaminated.

Question 24

Congress enacted the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA). CERCLA provides broad

Answer 24

federal authority to respond directly to releases or threatened releases of hazardous substances that may endanger public health or the environment (for example, a hazardous waste spill.

Question 25

An agent may be held liable under CERLA for

Answer 25

improper disclosure

Question 26

As a real estate agent, it’s your responsibility to disclose hazards of which the seller is aware, but has failed to

Answer 26

disclose or is attempting to conceal.