E-Mail:mark@scpropertypros.comWebsite:www.scpropertypros.com

57 Hasell Street Charleston, SC 29401 (LOCAL) 843.296.5006 (FAX) 843.746.4735

November 13, 2007

EIFS Moisture Intrusion Investigation

Property Address

Aiken, SC 29803

Report Ordered By:

Mr. Client

Project Information

OWNER INFORMATIONOWNER INFORMATION BUYER INFORMATIONBUYER INFORMATION

Owners Buyers N/A

Property Address Buyers Address N/A

City, State, ZIP Aiken, SC 29803 City, State, ZIP N/A

Phone Phone N/A

Builder N/A Buyers Realtor N/A

Address N/A Realty Company N/A

Phone N/A Phone N/A

FAX N/A FAX N/A

PROPERTY INFORMATIONPROPERTY INFORMATION INSPECTION INFORMATIONINSPECTION INFORMATION

Type of Exterior EIFS Date of Inspection 11.13.07

Substrate (if known) OSB Inspector

Age of Property 1992 Present at Inspection MAM/JDT

Square Footage 4600 Temperature / Humidity 65

Stories 2 Weather Conditions Sunny

Type of Windows Vinyl Last Rain 1 month +

Inspection Test EquipmentInspection Test EquipmentInspection Test EquipmentInspection Test EquipmentInspection Test EquipmentInspection Test Equipment

Test Equipment DescriptionTest Equipment Description Test RangeTest RangeTest Range Setting

Low Medium High

A Tramex Interior Moisture 10-12 13-18 19-25 2

B Tramex Exterior Wet Wall Detector 10 - 20 21-50 51-100 4.5

C Delmorst Moisture Probe Meter 10-15 16-25 26-99 2

D Structural Resistance Tester (SRT) >44 = Pass <44 = Fail Higher is betterHigher is better

Important Note:Important Note:Important Note:Important Note:Important Note:Important Note:The test equipment is used to help locate problem areas. It must be understood that the test equipment is not an exact science but rather good tools used as indicators of possible problems. At times, because of hidden construction within the wall cavity, the meters get false readings or no readings at all. Some meters will pick up on metals, wiring, unique wall finishes, etc. Positive readings do not always mean there is a problem, nor do negative readings necessarily mean there is not a problem. We do not use the equipment to obtain exact moisturecontent, but rather to obtain relative readings between suspected problem areas and non problem areas. This information is then used to help determine potential problem areas which may warrant more investigation.

The test equipment is used to help locate problem areas. It must be understood that the test equipment is not an exact science but rather good tools used as indicators of possible problems. At times, because of hidden construction within the wall cavity, the meters get false readings or no readings at all. Some meters will pick up on metals, wiring, unique wall finishes, etc. Positive readings do not always mean there is a problem, nor do negative readings necessarily mean there is not a problem. We do not use the equipment to obtain exact moisturecontent, but rather to obtain relative readings between suspected problem areas and non problem areas. This information is then used to help determine potential problem areas which may warrant more investigation.

The test equipment is used to help locate problem areas. It must be understood that the test equipment is not an exact science but rather good tools used as indicators of possible problems. At times, because of hidden construction within the wall cavity, the meters get false readings or no readings at all. Some meters will pick up on metals, wiring, unique wall finishes, etc. Positive readings do not always mean there is a problem, nor do negative readings necessarily mean there is not a problem. We do not use the equipment to obtain exact moisturecontent, but rather to obtain relative readings between suspected problem areas and non problem areas. This information is then used to help determine potential problem areas which may warrant more investigation.

The test equipment is used to help locate problem areas. It must be understood that the test equipment is not an exact science but rather good tools used as indicators of possible problems. At times, because of hidden construction within the wall cavity, the meters get false readings or no readings at all. Some meters will pick up on metals, wiring, unique wall finishes, etc. Positive readings do not always mean there is a problem, nor do negative readings necessarily mean there is not a problem. We do not use the equipment to obtain exact moisturecontent, but rather to obtain relative readings between suspected problem areas and non problem areas. This information is then used to help determine potential problem areas which may warrant more investigation.

The test equipment is used to help locate problem areas. It must be understood that the test equipment is not an exact science but rather good tools used as indicators of possible problems. At times, because of hidden construction within the wall cavity, the meters get false readings or no readings at all. Some meters will pick up on metals, wiring, unique wall finishes, etc. Positive readings do not always mean there is a problem, nor do negative readings necessarily mean there is not a problem. We do not use the equipment to obtain exact moisturecontent, but rather to obtain relative readings between suspected problem areas and non problem areas. This information is then used to help determine potential problem areas which may warrant more investigation.

The test equipment is used to help locate problem areas. It must be understood that the test equipment is not an exact science but rather good tools used as indicators of possible problems. At times, because of hidden construction within the wall cavity, the meters get false readings or no readings at all. Some meters will pick up on metals, wiring, unique wall finishes, etc. Positive readings do not always mean there is a problem, nor do negative readings necessarily mean there is not a problem. We do not use the equipment to obtain exact moisturecontent, but rather to obtain relative readings between suspected problem areas and non problem areas. This information is then used to help determine potential problem areas which may warrant more investigation.

General Observations

Item Description Yes NoImpro

perComments

Sealants at window perimeters X X No sealants present at window perimeters

Mitre joints (bottom corners) of X XNo sealant on miters-some separation on wood brick mold miters

Alarm sensor penetrations at windows X

Fixed window units and mullion joints X

Head flashing at top of windows X X Head flashing not properly installed

Sealants around door perimeter X X Existing sealants not adequate or perimeters not sealed

Sealants at door threshold details X X Separation @ EIFS and thresholds

Penetrations thru door threshold / tracks X

Head flashing at top of doors X Head flashing not properly installed

Penetrations through EIFS sealed X All penetrations through EIFS should be properly sealed

General appearance Fair

Cracking evident X Around openings and on EIFS clad CMU crawl

Expansion joints / Control joints X X No expansion or engineered joints present

Exposed mesh X Around openings and at dissimilar materials

Impact damage X All elevations-impact or golf ball damage to EIFS

Rusting aggregates X Right elevation gable

Flat horizontal surfaces X No slope on EIFS trim bands around openings

Delamination / Fasteners XDelamination (looseness) of EIFS observed on all elevations

Terminations and Vinyl accessories X X EIFS backwrapped with no base or finish coat

Transition joints (stucco to brick, etc.) X Cedar to stone with flashing

Termination below grade (ground level) X X EIFS below grade on all elevations-needs removal

Termination below or at slab levels X X EIFS flush with slabs-should have 2" reveal

Deck flashing X XDeck ledger attached through EIFS-needs appropriate weatherproofing and flashing

Flashing at columns X XSevere rot to front stoop columns and underlying substrate

Kick-out flashing X XFour (4) kickouts missing-two front and two rear with severe framing rot

Roof soffit terminations into EIFS X EIFS behind 4" eaves/soffit

Eave drip edge flashing X

Sprinkler System X

Gutters X X Gutters need cleaning- See Diagram #3.9 for gutters

General Observations Cont.....

Front Elevation

GridLocation

ItemDescription

MoistureReadings

Detail Photo ObservationsChapter

Reference

RedShaded

Wood RotDry Rot

TotalFailure

N/AThree (3) red shaded areas indicate locations of OSB sheathing deterioration from water intrusion under 1 window and two kickout flashing omissions on stoop.

Cpt 3.4

6C Windows N/A1.1, 1.2,1.4, 1.5

EIFS butts flush with no engineered sealant joint or caulking around perimiters as required.

Cpt 3.2

4F Roof N/A 2.2EIFS terminated flush with roofline in violation of manufacturers' specification requiring minimum 2" reveal with exposed step flashing

Cpt 3.4

6E Grade N/A 2.1EIFS terminated below grade level in violation of application specifications.

Cpt 3.3

6H Columns 40% 4.5Severe rot to both wood columns and bases on front stoop.

5H/I Flashing 40% 4.2, 4.4Two (2) kickout flashing omissions at stoop sloped roof/vertical wall intersections caused severe wood damage

Cpt 3.4

N/A N/A N/A N/A Impact damage to EIFS under left handrail on front

Right Elevation

GridLocation

ItemDescription

MoistureReadings

Detail Photo ObservationsChapter

Reference

RedShaded

Windows 28.5% N/ARed shaded area indicates only location of elevated moisture reading on this elevation-28.5% Sheathing

4H Rust N/A N/ARusting observed in EIFS lamina likely caused by corrosion to fastener.

YellowShaded

Delam N/A N/AYellow shaded area indicates delamination (looseness)of EIFS

5F Windows N/A N/AEIFS butted flush with windows separating and allowing water infiltration

N/A N/A N/A 3.1 Cracking in EIFS below bay windows

N/A N/A N/A N/A Impact damage under/between bay windows

6

Rear Elevation

GridLocation

ItemDescription

MoistureReadings

Detail Photo ObservationsChapter

Reference

RedShaded

Flashing40% w/

Rot5.1-5.4

Severe rot to majority of wall from omission of two (2) kickout flashings.

YellowShaded

Delam N/A N/AYellow shaded area indicates wall with delamination and numerous golf ball dings (impact damage).

4G Window Rot 4.6Deterioration to oval window(s) frame(s) under metal covering.

ADDITIONAL DEFICIENCIES

1-Deck ledger board attached through EIFS

2- Brick mold rot to deck doors

3- Separation @ EIFS/Windows without caulk

4- EIFS below grade level

5- Separation and cracking under door thresholds

6- Gutters clogged with debris

Left Elevation 1

GridLocation

ItemDescription

MoistureReadings

Detail Photo ObservationsChapter

Reference

RedShaded

Moisture 24% firm N/A24/23.5% moisture under far left window on left/right jamb respectively-sheathing firm.

6H Window N/A 1.3Crack in EIFS band and lamina under left jamb/sill intersection.

Left Elevation 2

GridLocation

ItemDescription

MoistureReadings

Detail Photo ObservationsChapter

Reference

7C/G/JEIFSTerm

N/A 2.3EIFS terminated flush with driveway and below grade level in violation of application specifications.

N/A N/A N/A N/A No elevated moisture readings collected on this

Window/Door Detail Photos

Photo # 1.1- EIFS butted flush with windows without caulking in violation of application requirements. Diagram(D#) 3.2

P# 1.2- No positive slope on EIFS bands around openings as required. See D# 3.7

P# 1.3- Cracking off left jamb in trim band and lamina on window- left elevation deck. See diagram #3.6

P# 1.4- EIFS butted flush with no engineered sealant joint or caulking on rear elevation (note no bands w/ separation).

P# 1.5- Separation at miter joint on wood brick mold -rear deck right door.

P# 1.6- Severe separation at left jamb/EIFS trim intersection of rear elevation left door.

Application Deficiencies

P# 2.1- EIFS terminated down to and below grade level which can allow tunneling mechanism for termites. See D# 3.3

P# 2.2- EIFS terminated flush with roofline in violation of manu. specification. Should have 2" reveal w/ mesh, base & finish.

P# 2.3- System terminated flush to driveway and below grade. 2" above driveway and 6-8" above grade required.

P# 2.4- Improper detail with severe separation between EIFS and door thresholds on rear elevation deck.

P# 2.5- Cracking off right jamb/threshold intersection on rear elevation door.

P# 2.6- No sealant around penetrations through EIFS in violation of weatherproofing requirements. See D# 3.1

Cracking/Impact Damage

P# 3.1- Cracking below and between the two bay windows on the right elevation was observed in the EIFS cladding over the CMU crawl space.

P# 3.2- Numerous areas of impact damage were observed on the front and rear elevations. All areas damaged should be repaired to prevent water intrusion and protect the system.

P# 3.3- Impact damage with exposed Expanded Polystyrene (EPS), mesh and damaged lamina to left wall on front staircase.

Moisture/Wood Rot Front Elevation

P# 4.1- Arrow indicates location of missing kickout flashing. Box indicates approximate area of severe wood/framing damage.

P# 4.2- Kickout flashing required to divert water away from system not installed at sloped roof/vert wall intersection. D#3.4

P# 4.3- Box denotes approximate area of wood and likely framing damage to right of stoop from omission of kickout flashing.

P# 4.4- Location on right stoop roof/vertical wall intersection where diverter flashing was omitted causing underlying wood rot.

P# 4.5- Severe deterioration to wood column and bases from exposure to moisture. No flashing was installed on tops as needed.

P# 4.6- Rot was observed on most oval windows, which needs to be replaced at time of repairs.

Moisture/Wood Rot Rear Elevation

P# 5.1- Red shaded area indicates approximate area of wall space where underlying wood rot was caused by omission of kickout flashings (2) at both sloped roof/vertical wall intersections.

P# 5.2- Intrusive wall probing from roof intersectiondown to deck confirmed significant deterioration to Oriented Strand Board (OSB) sheathing at this location. Damage was caused by omission of kickout or diverter flashing.

P# 5.3- Invasive probes with Delmhorst BD-2100 moisture meter revealed dry rot and total wood failure at this location on rear elevation wall. Core samples are required to ascertain extent of damage before remediation.

P# 5.4- EIFS band swelling and separating from wood trim around left rear deck door from extensive underlying wood rot to framing system from inadequate flashing detail.

CONCLUSION:

The purpose of this investigation was to identify application deficiencies in the EIF system as well aslocate any elevated moisture readings indicative of possible wood deterioration (19%+). We lookedfor visible installation flaws, inadequate water diversion and inferior weatherproofing componentswhich can allow water infiltration into the envelope of the structure. These areas include, but are notlimited to, the EIFS wall cladding, flashing, windows, doors, roof transitions, gutter systems,deck-to-building connections, system terminations and any penetrations through the wall system.Testing was accomplished by scanning all exterior walls with a non-invasive Tramex Wet WallDetector to locate any relative moisture content. A Delmhorst BD-2100 probe meter was alsoemployed to ascertain a definitive moisture content and condition in the building material whereproblem areas were identified or suspected.

Before my investigation began, I was provided with an inspection report dated May 24, 2005performed on this home by another inspection firm. The inspector was contracted by the homeownerto investigate the EIF system for application deficiencies and possible underlying wood deteriorationcaused by water ingress. The inspector prepared a "MoistureFree Warranty" report of his findings inorder to prepare a scope of work to remediate the deficiencies and help the owners secure a bond fromMoistureFree Warranty Corporation. Unfortunately, the homeowner had difficulty in locating anapproved contractor to perform the recommended scope of work prepared by aforementionedinspection firm, which explains the time delay and need for another inspection to examine currentconditions and compare with the findings in 2005. I've spoken with Clay at Moisture WarrantyCorporation in depth about this project and understand the repairs must be performed promptly toensure the home is still eligible for a bond.

We agree to perform the scope of work provided by MWC as outlined in our letter of engagementsubmitted to Mr. Client. The remediation will begin on Monday, November 19. As I previouslystated, The Moisture Warranty Corporation will bond this home after satisfactory repairs are completebased on the remediation scope previously prepared by their approved inspector. I've included amaintenance guide in the attachments section of this report (Care and Maintenance) to assist you inmaintaining your EIF system once the repairs are complete.

Representative photographs and diagrams illustrating details and deficiencies have been included inthis report. We will be submitting a final report upon completion of the remediation. If you have anyquestions or comments concerning this report, please contact my office.

Respectfully,

Mark MolonyProject ManagerCertified Moisture Analyst/InspectorExterior Design Institute SC-01

4. Stucco Information, Care and Maintenance

4.1 TYPES OF STUCCO

A. Exterior Insulation and Finish Systems

Sometimes referred to as synthetic stucco, thematerials used to form EIFS vary frommanufacturer to manufacturer. EIFS is brokendown into two classes, Class PB (polymer based)and Class PM (polymer modified). Class PB isthe most commonly used of the two, especially onresidential. Figure 1 shows the typical makeup of

an EIFS system, although this can vary. TheEIFS can be adhered directly to the substrateor mechanically fastened.

An adhered EIFS is typically considered a "barrier" type cladding system. These systems do not have anybuilt-in drainage capabilities for incidental moisture. Rather, the design intent was that no moisture shouldever get behind the stucco. If water does leak behind the stucco, it can become trapped. The only way outmany times is through evaporation-a slow process for an enclosed wall cavity with EPS foam. In a wetclimate, it may never have a chance to dry out between rains as long as the leaks continue. Mold, mildew,wallboard damage, rotten sheathing and studs, carpenter ants, and termites can all result-depending upon howlong it has been leaking. When these systems utilize oriented strand board (OSB) as the substrate for thestucco, which is common in the residential market, the potential for more serious water damage increases. EIFS that are mechanically fastened can have some 'drainage' capability if a properly installed moisturebarrier system is present and adequately tied into critical details such as windows, doors, flashings,penetrations, etc. (this is difficult to verify after EIFS installation is complete). However structures withimproperly installed barrier systems tend to experience the same damages of a structure without any barriersystem. Some EIFS have been found to leak from construction onward due to improper installation stucco,flashings and sealants and/or leaky windows and doors. Not all EIFS buildings leak, but they do all require thatcritical details be properly maintained for continued protection from water intrusion. Even small amounts ofleakage over time can cause significant damage to the structure, many times hidden until the damage is severe.Each manufacturer publishes details to guide the stucco applicator, sealant contractor, builder and architect.These details may vary slightly from manufacturer to manufacturer. EIMA, the EIFS Industry ManufacturersAssociation, publishes a detail guide for the entire EIFS industry.

B. Traditional Hard Coat Systems:

Although these systems have been in use for many decades, in recent years it has become popular to placethese systems over wood sheathing and studs. The systems makeup is generally studs, sheathing, felt paper orother moisture barrier, reinforcing lath, scratch, brown and finish coat. The scratch, brown and finish coat areusually cementitious (many use acrylic finishes), mixed in the field, and applied to a thickness of about oneinch.

Hardcoat systems are also susceptible to moisture damage if not properly applied, caulked andflashed. In this respect, it is no different than EIFS. Again systems with OSB (oriented strandboard) sheathing tend to exper ience more severe damage when leakage occurs. One disadvantage oftraditional hard coat stucco is that it is more susceptible to cracking than synthetic stucco due to expansionand contraction. For this reason, ASTM calls for expansion joints every 144 square feet, as well as betweenfloor lines and at the corners of windows.

C. Water Management or Drainable EIF Systems:

Water management systems typically use a drainage plane behind the stucco coupled with perforated starter

strips at the bottom of the walls and under windows to allow any incidental moisture to weep to the outsideof the wall. Once the moisture drainage system is properly installed the installation of the EIFS is lesscritical. Problems can still occur however, if the drainage system is not properly installed (difficult to verifyafter completion of EIFS application).

4.2 IS STUCCO A GOOD CLADDING SYSTEM? Yes, as long as any construction defects, if any, areproperly repaired and the system is well maintained, it should provide good long-term performance. Thereis no such thing as a permanently maintenance free cladding system. Leak problems occur in all types ofcladding systems, including brick and vinyl siding. The only difference is that with stucco, the maintenanceis more critical. The sealant joints are your first line of defense against water intrusion, and sometimes it’sthe only line of defense. Water intrusion must be prevented at all costs due to its destructive nature.

4.3 CARE AND MAINTENANCE: The beautiful architectural designs made possible by syntheticstucco systems make these homes very desirable and marketable. It is critical, however, to carefullymaintain these systems to prevent water intrusion and deterioration. With the proper care andmaintenance, your stucco system should give you many years of beauty and function. It is very importantthat the five following steps be followed to protect your investment.

(1) Semi-annually (at least annually) inspect all sealant around windows, doors, penetrations through thestucco, stucco transitions (such as stucco to brick, stucco to stone), and stucco terminations (at roof, atgrade, at patios or walkways). Arrange for prompt repair of any areas of caulk that is split, cracking,crazing or is losing adhesion. Also, promptly repair any cracks in the stucco.

(2) Any leaks, cracks, areas of discoloration, mold or mildew should be promptly investigated by a certifiedEIFS inspector. Repairs should be proper and prompt.

(3) Anytime you make a penetration though the stucco such as to mount a satellite dish, add shutters, newwiring, cables, plumbing, security systems, etc., the perimeters must be sealed with a quality sealantapproved for EIFS.

(4) Modifications, additions or renovations (including roof replacement) to the structure of any kind shouldbe inspected by a qualified EIFS inspector to ensure waterproofing of critical details is properly performed.

(5) Periodic cleaning of the stucco is necessary to maintain its appearance and prevent permanent staining. Pressure cleaning equipment must be calibrated to the stucco manufacturer's recommended pressure level (low) to prevent damage to your stucco. Select a firm with experience in cleaning these EIFS systems.