Protect: How to Handle Mold: Ideas & Lease Addendum

Ideas & Mold Addendum

Mold can be a serious problem, especially as a real estate investor. Every area of the world, except maybe Antarctica, has mold of some kind - and believe it or not, that’s not a bad thing. Microorganisms are vital to our lives but there are some that pose a serious health risk. How do you know what to do?

First, a disclaimer. I’m not a mold specialist. I’m a regular person, who lives in the rainy part of the Midwest. We have mold of some kind everywhere. We have also had various kinds of mold in our rental homes at various times just like our own home. From that experience, this is what I’ve learned.

Prevention is the best medicine! Keeping air flow is key and teaching that concept to those who live and work in our spaces is also important. If it’s employees or residents or our own children, we need to help those around us understand how to be proactive in keeping areas dry and aired out.

For those with residential rental properties, I highly recommend a Mold Addendum for all residents to sign for each home. An addendum is only a document that helps both parties to function in unity and should be viewed as such. Also, an addendum is only as good as those who actually read it, so at all lease signings the addendum is READ ALOUD to the residents with an chance for them to ask questions. All our lease signings are recorded electronically with full consent of all involved. This means that if there is ever a question or misunderstanding in the future - all parties can refer back to the recording.

Obviously, if you have contractors working on a home or commercial property, you’ll want to disclose any potential health risks including mold. Each person’s immune system reacts differently to environmental stimuli, so on all independent contractor agreements, mold is listed as a possibility.

Even in your own home, letting household members understand how they can help minimize mold is a vital part of training and maintaining a healthy standard of living.

The following is a Mold Addendum which we have changed and modified over the years has great tips and instructions applicable for both personal and rental residences. This is a “living” document to which we add, modify, and update frequently. I honestly don’t remember where we found the structure for it years ago. Please feel free to use and modify it, but make sure that it meets the standard of your particular state. Also it is vital to have a real estate attorney review your lease and addendum package periodically.

If you have any questions about the addendum or would like to hear about our personal adventures with mold, please feel free to reach out to our office at info@runningcreekco.com