My firm handles a great many foreclosures, and mold build-up in a long vacant property, in Georgia especially, is not unusual. "What you see is what you get" in the foreclosure market, but resale is an entirely different matter.
First of all, it is the law, in Georgia as elsewhere, that you have to disclose it as a previous defect, as well as what you did to correct it. On the other hand, most mold situations are understood, again, especially in Georgia, as not life-threatening issues and can occur even in occupied homes that are not well ventilated or air-conditioned. That's importantly, MOST situations, not all.
Secondly, mold analysis can be expensive, as can be remediation. If the issue is localized to a small area or room, your chances of an inexpensive and effective cure are much greater than if it permeates a significant area of the home, and especially if it has "rotted" sheetrock on walls and ceilings. If that's the case, tread carefully. You may want to find another option, as in another foreclosure.
yes, The sellers disclosure is what you know to the best of your knowledge. If you repair it correctly and supply the documentation from a mold remediation specialist who should give you a 12 month guarantee, then you will be fine.
There is always a stigma with mold so if you have other mold free properties I would look at them first. This is something you do not want to take shor cuts and if it effects your rehab budget and cash flow model then walk away.
Keep all of your receipts and test results...
You don't want any law suit in the future from non-disclosure!
Once you have the mold removed and treated, make sure you have a
follow-up air sample done before you move in or resell!
Treatment will stir up the spores, and you really need to conduct a
thorough cleanup and retesting!
Many people, especially children, the elderly and those with auto-immune diseases are
Also, in foreclosed properties, it is wise to get a good exterminator and if you have a basement with that property, it is highly recommended you conduct a Radon Gas test as well..
Any questions...feel free to contact me ..
Michael Saunders & Company
On a side note, you better be stealing this house and you better ensure that you get a good estimate on any repairs - mold has a habit of getting everywhere....loves the HVAC ducts.