01/18/2023
If this photo makes you cringe, you are probably in the real estate or mortgage industry. 😰
Chipping or peeling paint is primarily an issue for homes built before 1978, the year the federal government banned the use of lead-based paint for consumer purposes.
So what’s the big deal? If the home pre-dates 1978, then peeling paint notated on the appraisal is not just a cosmetic eyesore, it is a health hazard and would be required to be remedied before closing.
After it is scraped/removed by an EPA certified painter/contractor then repainted, and 1004D re-inspection would need to be completed by the appraiser confirming the home now meets HUD health and safety standards..
So what if the home purchase is in winter with sub-freezing temperatures, too cold to paint outside? ❄️ Then you may be able to proceed with the closing with an escrow-holdback for the repairs if the repairs can be completed within 60 days of the closing.
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