SAN ANTONIO - Lead paint may soon shape up as the biggest
"It will be the next major crisis," says Jerry Ayers, vice president of
At issue is a government proposal that would require sellers of homes to
The plan, put forth by the Department of Housing and Urban Development
But Mr. Ayers is fearing the worst. Banks may soon be spending a lot of
The proposal, unveiled in November, already has had a chilling effect on
"Banks won't make loans on old homes," he said, adding that the plan
While lenders would definitely be responsible for disclosing the amount
Charles Franklin, project manager at the Environmental Protection
The EPA and HUD are now in the process of reading the 200 comments that
The agencies hope to issue a final rule on lead paint by the end of the
The rule was mandated by the Residential Lead-Based Hazard Reduction Act
Because of the requirements of that law, the general elements of the
Banks are almost sure to be saddled with new costs, said Wachovia's Mr.
If a bank forecloses on a property, becoming its owner, the bank could
Even if foreclosure never happens, banks still might have to pay to test
Lead is extremely difficult and expensive to remove, said Mr. Ayers, who
"I don't think there's enough money out there to remediate lead," he