GEOTECHNICAL FACTORS & HOUSING PRICE EFFECTS FROM EXPANSIVE SOIL CONDITIONS
Abstract: The valuation of properties with potential geotechnical or structural defect creates the need for extensive damage review and potential retrofitting to cure a physical condition. We review then the creation of the Colorado construction defects law since inception from expansive soils cases to it’s current use.
We then examine the history of expansive soil claims in Colorado and the recommended cures depending on severity of the condition. Then from a database of prior houses with expansive soils claims extract houses that were sold pre and post retrofitting to determine any price effects, timing and potential stigma (latent defect) and market resistance that may remain.