Paranoid Seller... Meth Residue Test after Due Diligence Period?

Question

Hello,

I am two weeks out from closing on a new property in Colorado

My real estate agent just called me and told me that the sellers wanted to disclose something fairly odd...

Apparently, one of the sellers is a heavy Adderall user (a schedule 2 prescription drug similar to meth).

She stays awake for 2-3 days at a time and gets extremely paranoid and is currently convinced there are bugs all over the house and someone is hacking her computer.

My worry is, that much like someone who is addicted to opiates may turn to heroin when they run out of a prescription, that someone addicted to amphetamines would turn to meth.

When I did my due diligence, I was unaware of the mental state of the owner, but I did not notice any bad smells, and the place was fairly clean, so I don't think she was cooking meth.

My due diligence period is over, so I don't think I can get a professional to to a test, but I have seen that there are test kits online. I could perform one during my final walk through the day before closing.

Has anyone done one of these tests before? Any recommendations on a good test? Would it even hold up since I am not a professional?

I just don't want to be stuck in a house that will be difficult to sell in the future or that requires meth remediation.

Thanks!

Connor Mckelvey · Answer

And the awards for least judgemental and on-point, and  helpful responses go to...@Dan Mackin, @Avery Carl and @Teri Feeney Styers. Thanks you guys, super informative, now I have some questions to bring to my agent.

Jonathan Greene · Answer

This is quite a stretch. The first thing you want to do is back up and ask yourself if you were looking for a way out. There is a big difference between someone disclosing Adderal use and mental health issues to the house becoming a meth lab. A meth house has many signs that you would have already noticed. Holes in the wall, locked closets, spray damage. The only info you have is that a seller is having mental health issues and you somehow pushed that into a 26k meth remediation possibility? If your inspector saw nothing, it's more likely you have cold feet and are looking for a reason to get out of the deal.

Connor Mckelvey · Answer

@Avery Carl Right?! I have no idea why they would disclose this unless there was something else going on. I just my agent to ask why they chose to disclose this now, so close to closing.Pulled some police records on the seller and 3 arrest since February, none of them drug related so that's good.If anything interesting comes up I'll let you know!

Dan Mackin · Answer

@Connor Mckelvey while the property may not have any indication of it from a visual or scent standpoint it does not mean there is not residue present. I had a similar situation where a property did not have any physical indicators, but a test was done anyways just to be sure for the same reasons you're concerned (big remediation bill). Test came back positive and another was done by the seller to verify and their test had the same result. If you're concerned then get the official lab test done. You'll need to talk with the testing companies to get a true gauge of the lab timeline right now since everything is so out of whack.

Avery Carl · Answer

The extent of my knowledge on meth labs ends at the season finale of Breaking Bad, but I think this is something you, or particularly, your inspector, would have noticed evidence of during due diligence. I had a colleague who did a showing of a home where there had been a meth lab and it made both her and her agent very sick afterwards.

Also, be careful with introducing new inspections during your final inspection. In most states, the final inspection is ONLY to ensure that the home is in the same condition as when you went under contract/exited due diligence. Introducing new inspections outside your due diligence period and then deciding to exit the contract over them is a good way to (at the very least) lose your earnest money, so tread lightly!

Connor Mckelvey · Answer

@Connor Mckelvey Before spending* half a million dollars.

Connor Mckelvey · Answer

@Jonathan Greene Nope! It’s more likely that I wanted to ask a question before half a million dollars!

Avery Carl · Answer

@Connor Mckelvey I do want to know why they made that truly bizarre disclosure though haha

Teri Feeney Styers · Answer

@Connor Mckelvey it seems that the Seller temporarily violated the following paragraph of your contract and has now decided to disclose: 10.2.   Disclosure of Adverse Material Facts; Subsequent Disclosure; Present Condition. Seller must disclose to Buyer any adverse material facts actually known by Seller as of the date of this Contract. Seller agrees that disclosure of adverse material facts will be in writing. In the event Seller discovers an adverse material fact after the date of this Contract, Seller must timely disclose such adverse fact to Buyer. Buyer has the Right to Terminate based on the Seller’s new disclosure on the earlier of Closing or five days after Buyer’s receipt of the new disclosure. Except as otherwise provided in this Contract, Buyer acknowledges that Seller is conveying the Property to Buyer in an “As Is” condition, “ Where Is” and “ With All Faults.”

I would argue that you have both the right to test and the right to terminate. There is also a Meth clause in your contract; but it requires that the seller "know" about Meth use. Are you keeping this tenant?

10.12.      Methamphetamine Disclosure. If Seller knows that methamphetamine was ever manufactured, processed, cooked, disposed of, used or stored at the Property, Seller is required to disclose such fact. No disclosure is required if the Property was remediated in accordance with state standards and other requirements are fulfilled pursuant to § 25-18.5-102, C.R.S., Buyer further acknowledges that Buyer has the right to engage a certified hygienist or industrial hygienist to test whether the Property has ever been used as a methamphetamine laboratory. Buyer has the Right to Terminate under § 25.1, upon Seller’s receipt of Buyer’s written Notice to Terminate, notwithstanding any other provision of this Contract, based on Buyer’s test results that indicate the Property has been contaminated with methamphetamine, but has not been remediated to meet the standards established by rules of the State Board of Health promulgated pursuant to § 25-18.5-102, C.R.S. Buyer must promptly give written notice to Seller of the results of the test

Connor Mckelvey · Answer

@Brett Robinson No, I'm not paranoid. Just seeking advice. But a $26,000 meth remediation can easily make a good deal bad :)

Paranoid Seller... Meth Residue Test after Due Diligence Period?

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