Chinese Drywall Hurts Home Sales and Home Owners

The Florida Sun Sentinel suggests that the mere mention of the words, “Chinese drywall,” sends chills through the hearts of new homebuyers. More than 36,000 homes in Florida, and more than 100,000 around the country may have Chinese drywall nailed to their supporting studs.

Although the problems range across 30 states, only 1900 complaints have actually been recorded. However, because numerous complaints are expected, a newly enacted Congressional bill will allow the Small Business Administration to lend money from a disaster relief fund to those homeowners who document Chinese drywall difficulties.

Many people report that the Chinese drywall emits toxic fumes. According to Scripps News, high concentrations of strontium and sulfur were found in the drywall. Although an air quality study noted well above average concentrations of formaldehyde in 10 homes in Florida and Louisiana where the air conditioning was off for a few days, scientists do not know what this means.

They are, so far, reluctant to link reported incidents of nosebleeds, headaches, and asthma to the Chinese drywall, despite the fact that many of the complaints received cited these symptoms. In addition, recent test results indicated no risk of radiation.

While many of the drywall complaints mention corrosion of pipes and duct work, scientists are not yet ready to cite a link between the sulphur emissions and the home damage and / or health problems. Current studies of indoor air by the Consumer Product Safety Commission were able to find very little sulfur gas or none at all. A spokesperson said that definitive results might not be available until well into next year.

While American scientists may not be ready to apportion blame, American lawyers have no such qualms. As a result, hundreds of lawsuits are bottlenecked in state and federal courts. In addition, there is a class action lawsuit that is due to begin proceedings in January of 2010. However, it is considered highly unlikely that the Chinese government will respond to such suits. What more, even if China were to attempt to prosecute manufacturers of the drywall, many have gone out of business because demand for the product, all over the world, is down to almost nothing.

One major problem for homeowners who are victims of Chinese drywall is that their insurers are not only non-sympathetic, they are downright hostile. Homeowners are finding that once they file the claim, the insurers not only decline the claim, they also cancel the policy. Then, they tell homeowners their policies will not be renewed until the Chinese drywall problem is alleviated.

Previous complaints against Chinese products were not quite so complicated. When pet food and toothpaste were found to be tainted, imports stopped. However, Chinese dryall can’t just be thrown in the garbage, unless most of the internal structure of a house is removed.

Chinese drywall is, unfortunately, a problem that won’t go away quickly or easily. It has rendered at least 100,000 homes across the nation either unsaleble or uninhabitable. It is also likely to become fodder for late night humor: what’s another word for Chinese take-out? Drywall.

Written by Marc Jablon, Realty Associates
marcjablon@yahoo.com / 561 / 213 – 6139
www.jablonrealestate.com