Facts About Radon Testing

Usually radon tests are performed on an "as requested" basis by a buyer. Over the years there has been an increased concern of radon levels in the home. Radon testing has become commonplace in the home buying process. However there are often many questions surrounding radon screening tests. The following information is intended to help answer some of the common questions and to address confusion that is frequently expressed.


What is Radon gas?


Radon is a radioactive gas. It is the result of a natural breakdown of uranium in the ground, including soil, rock and even water. This gas seeps into a house because most homes periodically have negative air pressure. In other words, they are sucking in air.

Testing for radon is not a test to determine whether there is or is not radon in the house, but instead it is a test to determine how much radon exists. It is also important to understand that any home is susceptible to a radon problem. This includes homes with or without basements, old homes, new homes, etc. The EPA (Environmental Protection Agency) has indicated that when a person breathes air containing higher concentrations of radon, they have an increased risk of acquiring lung cancer.

At the present time the EPA has recommended efforts to reduce radon levels in a home if testing indicates that the levels are currently at or above 4.0 pico Curies per liter. Some questions have been raised recently about whether the EPA intends to lower the "accepted level", but at the present time 4.0 pico Curies per liter remains the threshold level.

The EPA has also indicated that radon testing should be performed under "closed house" conditions. Specifically, all windows and exterior doors must be closed at least twelve hours prior to the start of the test, and also for the duration of the test. Testing lasts a minimum of forty-eight hours. Normal "in and out" traffic is allowed during that time, but the doors and windows must not be left open. Once again, it is important to understand that EPA establishes these rules in order to ensure accurate testing. All windows must be kept closed during the test, not just those windows in the immediate vicinity of the testing device. This is basically done to simulate how the house normally is (on average) throughout the year.

In regards to the use of air conditioners we would offer that central air conditioning systems can be used during radon testing since they do not allow for the free exchange of air between the exterior and the interior. Some window and wall mounted air conditioning units do not assure conformance with closed house conditions and, as a result, in many cases window-mounted air conditioners should not be used during radon testing.

Where is the test done?

According to the EPA, radon testing should be performed in the lowest livable level of the home. In most cases this means that the basement becomes the test site, assuming that it is a full depth basement. Whether the basement is currently finished living space or not, it is considered a livable level even if the basement does not have an abundance of headroom. Crawl spaces would not meet these criteria. In many old farm houses basements are of minimal depth and, as a result, could not be used as workshop space or "livable space". In these instances the first floor would then be tested.

The radon testing device should be placed in a somewhat central location of the lowest livable level. It should be placed an appreciable distance above the floor (typically at least 20 inches). It should not be placed directly adjacent to an exterior wall, near windows, near venting appliances (furnaces, water heaters, clothes dryers, etc.), in a closet, or next to a drainage crock or sump.

There are various testing devices that can be utilized for radon screening. Charcoal canisters are the simplest type of testing device. They are accurate, but they have their limitations and can be prone to false-positive readings in some situations. They are clearly not tamper-resistant. Most reputable radon testing firms utilize electronic monitors. These monitors take air samples continuously throughout the duration of the test period, measuring the levels of radon in the air during the test. The levels of radon will vary throughout the test, and the final result is the average level during the test. The highly accurate monitors that are utilized by our office also monitor temperature, relative humidity and barometric pressure. In addition, the monitors have a tilt-detecting mechanism. This provides some tamper-resistance.

It is important to understand that the radon levels in a home vary over time. In fact, the levels vary from hour to hour, let alone day to day, week to week or month to month. As a result, the screening tests that are performed are essentially a forty-eight hour "snapshot". A similar test performed at a different time in the same house will usually render a slightly different result, although it would probably be a result in the same range as the first result. There have been times when we have performed tests that have resulted in radon levels just above the 4.0 piCu/l threshold. Sometimes, buyers or sellers will opt for a second test. The second test result might be higher or lower than the first result. This is not because one test is more accurate than the other, but instead because the tests were performed at a different time. One logical approach would be to average the two test results to determine the average level of exposure in the house over the two 48 hour snapshots.

What do you do if your radon level is over 4.0-

Active radon mitigation systems are routinely installed when testing shows radon levels above 4.0 pico Curies per liter. These systems are relatively easy to install, and the cost of operation is minimal. Essentially, most radon mitigation systems provide a means to suck air from beneath the basement or slab floor and exhaust it to the exterior through the use of a simple PVC pipe and an in-line fan.

Radon levels are quite unpredictable, and it is not possible to predict with any appreciable accuracy what the levels of radon might be in one home versus another. One house on a street may have a level of radon higher than 4.0 and the house across the street or next door may have a reading below 4.0.

For more information visit this website:
http://www.health.state.ny.us/environmental/radiological/radon/maps_statistics.htm

Any individual or firm performing radon tests must do so in concert with an approved and licensed laboratory and all testing devices must be calibrated and approved for use. You should specifically ask anyone under consideration for radon testing whether their testing equipment and protocol meets these criteria.


This is an example of what a testing device looks like. You can also buy home kits.

Homebuyer Tax Credit Extension

With the extension of the homebuyer tax credit we hope to see the real estate market continue to have steady activity. The new credit was lowered from $8000 to $6500 but homeowners who have lived in their residence for five years are also eligible to the tax credit.

*There must be a written, binding contract to purchase a property in effect on April 30, 2010. The purchaser will have until July 1, 2010 to close.

Frequently Asked Questions:

Q: I am an existing homeowner. On October 25, 2009 I signed a contract to purchase a property. I have lived in my current home for more than five consecutive years and am within the new income limits. I will close on November 25. Will I qualify for the new credit?

A: YES. The existing homeowner credit goes into effect for purchases after the date of enactment (when the bill is signed). There is no reference to the date of the contract for the new credit. The provision looks solely to the date of purchase, which is generally the date of settlement.

Q: I am an eligible first time buyer. I entered into a contract to purchase on November 1, 2009. Do I have to close before December 1? How does the extension affect me?

A: You do not have to close before December 1. Due to the extension it is as if the November 30 deadline never existed.

The Flood of Foreclosures

It is no secret that the number of foreclosures on homes has reached an all time high. However, why have they not reached the Multiple Listing System?
In a normal market a bank will repossess a property a usually process it through a listing agent within 30 days. Today with roughly 400-500,000 properties repossessed over the past year, they are not yet on the market.
Lenders and servicers office explanations as to why it is taking longer to process foreclosed properties that it has in the past:

1. Many of the properties have title issues that need to be resolved
2. Many of the properties are in states of extreme disrepair
3. A number of states have strict redemption-rights periods which prevent the lender from reselling the property.
4. A few states have extended the length of eviction proceedings
5. The volume of REO's (foreclosed properties going into the MLS) has slowed down the process; there will be roughly 10 times the number of REO's this year as in the last "normal" year, 2005

There are many agents and buyers waiting for these potential "bargain" properties to come on the market. The banks often price them according to market condition but are also willing to take less than a homeowner to increase their chance of unloading the property and saving as much money as possible.

The New Credit Card Act

I am sure many of you have seen one if not all of the following things occur regarding your credits cards:
1. interest rate
2. unfair fee
3. decrease in credit line

These changes were probably made without any notification and have negatively affected your credit scores. Credit card companies have been in control making the consumer feel ineffective at managing their credit.

To make matters worse it was reported that credit card providers collect around $15 billion in penalty fees each year!


There could be some good news.

The Credit Card Accountability, Responsibility and Disclosure Act of 2009
( aka The Credit Card Act)
Signed into law on May 22, 2009. Provides some of the most proactive credit card consumer legislation in 60 years. "The Act" is important and anyone who has a credit card should understand it's basic principles.

There are 2 key provisions:

1. Until August 19, 2009 consumers were only given 15 days notice of their interest rate change. Now, they must alert you 45 days prior to any change. This gives you the chance to call your credit card company and offer an explanation for the whatever situation may have arose. Try and renegotiate your interest rate. If they won't budge, take your business elsewhere.

2. Card holders will now have 21 days instead of 14 to make their payments. This is a huge plus for consumers who are fighting to keep on top of their bills and those who travel a lot.

The most significant portions of the law go into effect on February 22, 2010. Here are some details:

No unfair changes-
Credit card issuers will not be able to change your credit status at anytime, for any reason. If you miss a payment with one creditor, another cannot automatically increase your interest rate or drop your credit limit, which can often affect your credit scores.

Restrictions under 21 years of age-
Consumers under the age of 21 will need a co-signer or a job in order to get a credit card. This will help limit the number of young, college age card holders.

Over-limit Fee Control-
Card holders will no longer be able to exceed their limit without having the card holder's permission to do so. If you have not agreed to allow over-limit exceptions, your card will be declined thus saving your credit score.

Late fees-
If your credit card provider charges late fees, they must clearly disclose them on your monthly statement.

Credit Card Agreements-
Creditors will now be required to have a copy of your credit agreement for you on a website.


As we have seen it is crucial to actively mange and monitor your credit profile to ensure you are fully aware of any changes.

Historic Rehabilitation Tax Credit

The New York State Historic Rehabilitation Tax Credit program was enhanced from 2008. This is thanks to the Preservation League of NY. They led a diverse coalition of business and municiple leaders, preservation organizations and environmental groups to help enhance this program. The goal is to stimulate downtown and neighborhood revitalization in municipalities that need meaningful economic development tools.

The following are the changes made:

Rehabilitation of Historic Properties -Commercial:

• credit percentage increases from 6% to 10% of qualified rehabilitation costs (NYS credit is now 50% of the federal credit rate)
• Credit cap increases from 100K to $5 million
• Establishes transferability among business partnerships

Historic Home ownership Rehabilitation:

• credit cap increases from $25K to $50K per residence
• Qualifies historic housing census tracts at or below 90% State Median Family Income (SMFI)
• Establishes credit rebate provision for homeowners earning less than $60,000

More Help for First Time Buyers

In the state of New York first time buyers will receive more financial help. Governor Paterson announced on September 1 that New York will offer a federal income tax credit. The NYS Mortgage Credit Certificate (MCC) will enable first time buyers to claim a tax credit equal to 20% of their annual mortgage interest costs, potentially saving the average home buyer about $1,500. each year.
MCC can be used to reduce a home buyer's tax burden for every year the mortgage loan remains outstanding. With an MCC, 20% of the amount paid in mortgage interest becomes a tax credit than can be deducted, dollar for dollar, from a homeowner's federal income tax liability.

Sample savings:
$150,000 purchase at 5.25%- principal and interest= $829.50
$829.50 x 360 months = $298,620.00
$298.620 - 150,000 purchase price = $148,620 interest
Tax credit over life of loan equals 20% of interest
20% of $148,620 = $29,724 income tax credit

For more information consult with your mortgage lender or REALTOR.

Sign Up, Sign Down

A Realtor's job is easy to sum up- sell a property in the quickest amount of time for the most money possible. One of the reason's Walther REALTORS is remains a strong presence in the very competitive industry of real estate is because we have the basic job a Realtor mastered. There are many other job descriptions of a Realtor that classify one as effective or ineffective. For example, knowledge and expertise help to keep deals together. This is the biggest job of a Realtor. Once the contract is signed there are other negotiations to deal with like the Property Inspection or Well and Septic Test. But a sale is not complete until it closes. A good Realtor will keep tabs on their contracts until it closes because there are many things that can arise during the wait time to close. In this tough economy some buyers get scared of losing their jobs and consider backing out of the deal. However, it is important to inform the buyer of all the positives of buying a home right now- $8000 tax credit to first buyer's, historically low interest rates.

When working with sellers Walther REALTORS is an asset. The consumer knows we are experts, have years of experience, provide the best customer service, and get houses sold. Our listings tend to sell quickly and smoothly so you won't see our FOR SALE signs lingering around for months at a time. Some people think it is a good thing to see tons of signs on properties; they believe it reflects that company is doing a good job. However, the sign should go up and come down in the quickest amount of time possible. As stated before that is what marks the success of a good Realtor.
**But, remember a good Realtor needs the help of the seller in order to be successful. Price and condition are the most important factors in selling a home. The Realtor knows what price point will get the house sold because they have the experience of selling properties. Suggestions to help the property show better should be strongly considered. Buyers are very picky and will pass on a house for what may seem like the littlest reason such as old carpet.