Fireplaces and Woodstoves...again

I know .... a broken record, but a GOOD broken record. Last year I talked about woodstoves and fireplaces when purchasing a property - either home or cottage. It seems each year, lessons are learned over again, and it is all worth repeating. Two property sales recently with stories.....
Story #1. A house with a large, floor to ceiling fireplace.When listing the home I recommended the homeowner get a WETT certificate to ensure their fireplace was safe. A Buyer cannot get insurance without one now (yes -- rules have changed again). The owner was positive their fireplace was maintained in perfect condition and they never had a problem. It "heats the house beautifully". That being said, a working fireplace or woodstove does not mean that it passes certification by today's standards. The house sold (Buyer requested a WETT certificate in the offer which the Owner agreed to). Turns out the fireplace required replacement - all stone removed, etc. for a cost of $6,000. OUCH! Story #2. A house was undergoing a home inspection by the potential buyers when the inspector said there was some issues with the chimney and it would not pass certification. The owner had also informed their realtor that the woodstove in the basement was brand new - never used. There was another Buyer waiting in the wings hoping the home did not pass inspection, or that the Buyers would try to renegotiate so they could present their offer. Because of the other offer, and fear of losing the home they wanted, the Buyers signed off on the home inspection, prepared to pay for the repair in the chimney and get the fireplace and woodstove certified. As soon as they took possession, they called the professionals who quickly told them that the insert in the fireplace was completely finished, along with the chimney, and the woodstove in the basement had been used, was installed wrong, went through drywall, and was a serious fire hazard. A quote of $8,000 was given to bring the two up to certification standards.

Am I scaring you? That is not the intent, but please beware. Do your homework -ask your home inspector questions about the woodstove or fireplace. More and more agents are recommending that Sellers get certifications before they list to prevent problems at point of sale. But not all Sellers are willing to do this, then it becomes a negotiation issue. Everyone wants a fireplace - especially at a cottage. Along with the obvious heat they provide, they create atmosphere, coziness, and enhance memories. Done safely there is nothing better!

Woodstove

Every cottager wants a woodstove - the smell of a woodstove is second to none and the ambiance is exactly what you want at the lake! One thing I love about real estate is that it is constantly changing, and I am constantly learning. Nothing is static, and I was taught at a very young age by my grandfather that you must learn something new every day! Regulations around heat sources are one of those things that change - requirements get tighter. What passed 5 or 6 years ago for a woodstove, does not meet todays codes. Single-walled pipes now require double-walled, insulated pipes, etc. Now - I am NOT an expert on these things - I sell real estate, not wood stoves, but a recent complication has provided me with one more thing to caution my buyers about. Until recently, we could honestly say that sometimes insurance companies wanted a woodstove "WETT" certified (Wood Energy Technology Transfer) and some companies would simply send one of their own inspectors to the property and it would be satisfactory. Not any more! WETT certificates are now required by most (not sure if it is all yet) insurance companies.

Many cottages have woodstoves that do not meet today's code. For the buyer this means that a sale cannot close until the woodstove is certified, because financing cannot be in place for closing without insurance. Many insurance companies will give a grace period for the buyer to bring the woodstove to code - but not long. If you are unable to negotiate that the Seller gets the woodstove certified, you as a Buyer need to be prepared for the cost. Depending on the issue, you could face anything from a quick fix to replacing the whole stove.

Best advice - during your home inspection, have the woodstove checked for certification. If it needs changes first, find out the costs before signing off on the home inspection. Are you going to pay for it? Are you going to ask for an amendment for the Seller to pay? Are you going to ask to split the cost 50/50? Depending on the situation, there are different ways to resolve the problem, but be prepared. The best purchase is a "no surprise" purchase!