Time to Test
If you’ve answered “Yes” to the three questions in our previous post, then it’s time to contact a professional for additional testing of your home’s foundation.
In Connecticut, additional testing should be conducted by a licensed professional engineer. The State of Connecticut, through the Capitol Region Council of Governments (CRCOG), has set aside funds available to qualifying homeowners for assistance in paying for visual and core testing. Additionally, some towns are able to provide even more assistance through Community Development Block Grants. Follow the link below to learn more about the eligibility requirements in Connecticut.
In Massachusetts, additional testing can be conducted by a licensed engineer, architect, construction supervisor, or certified building code enforcement official. This licensed professional can complete a more thorough visual inspection, and may also complete a core sample of the foundation to test for the extent of pyrrhotite that might have been mixed into the concrete. Massachusetts has also set up a fund to assist homeowners in paying for these tests. Follow the link below to learn more about programs for Massachusetts homeowners.
What to Do If Pyrrhotite is Found?
Unfortunately, if your home is found to have pyrrhotite in its foundation, the only resolution is a complete replacement of the foundation, estimated to cost between $150,000 and $250,000 for the average home.
Beginning in 2019, Connecticut has started collecting a $12 surcharge on homeowner insurance policies issued in the state. These surcharges will be added to the Healthy Homes Fund, and will be made available to assist homeowners in paying for the replacement of their foundations.
As of July, 2019, Massachusetts has not created any programs that provide assistance for addressing crumbling foundations, but area lawmakers, including State Senator Eric Lesser, have been trying to build support for state and federal assistance.
You should also report the results of the test to the Connecticut Department of Consumer Protection or to the Massachusetts Office of Public Safety and Inspections.
Other Issues
Does my home insurance policy cover this damage? Generally, your home insurance policy does not cover this issue. However, some Connecticut court cases have challenged this stance, and a decision that changes this result may be issued soon. Insurance companies are not allowed to cancel or refuse to renew your policy because pyrrhotite was found.
Should the seller disclose the existence of pyrrhotite to me if I’m buying their house? Sellers may or may not disclose the existence of pyrrhotite in their home, though many buyers and real estate agents are asking for disclosures specific to these issues. Some buyers, and some lenders, are also starting to require a visual inspection, with the possibility of a core sampling inspection, before they will agree to purchase the home, or agree to lend money for the purchase of the home. If you are buying property that was built or renovated between 1983 and 2015, and is located within 20 miles of Stafford Springs, you should investigate the possibility that pyrrhotite exists in the foundation. (See our previous blog post for more information about the areas that are impacted.)
Are there any other programs or benefits I can receive if my home has been affected? In Connecticut, a municipal assessor is required to reassess residential properties impacted by pyrrhotite at the owner’s request. The new, reduced assessment is valid for up to five (5) years or until the foundation is repaired, and could significantly reduce your property tax bill.
Information about programs for Connecticut homeowners: https://portal.ct.gov/DOH/DOH/Programs/Crumbling-Foundations
Information about programs for Massachusetts homeowners:
https://www.mass.gov/files/documents/2019/04/11/Crumbling%20Foundations%20-%20Testing%20Reimbursement%20Application%20-%20MA%20-%202018%20-%20Final.pdf
For all of your real estate needs, please contact our office at info@govelawoffice.com.