A mold resistant exterior wall assembly incorporating a steel stud frame with an interior gypsum wall product attached to the interior of the frame and a mold resistant exterior gypsum wall product attached to the exterior of the frame forming a cavity therebetween. The joints of the exterior gypsum wall product are taped and the entire surface of the exterior gypsum wall product is coated with a liquid applied elastomeric (greater than 25% elongation) air/water barrier and vapor retarder/barrier. Once the elastomeric liquid is applied and set, rigid foam plastic insulation is applied. Exterior veneer is applied a predetermined distance from the rigid foam plastic insulation.