Home Inspection...what can you negotitate?

We have an accepted offer on a house and had a home inspection this week. Overall the house is in good condition except a couple of things in the basement. Water gets into the basement. They do have a sump pump, but the inspector said we need to seal/waterproof. The inspector also told us we need a new boiler due to severe corrosion from water damage. (We never noticed when we looked at the home) Actually, the matainence history attached to the boiler recommended a new one over a year ago. Lastly, and my biggest concern is that there are 2 cracks in the basement which could be a big structural issue ($10k+). He couldn't say for sure but he did say the size of the cracks were larger than normal "settling" and you could see where they patched walls from water damage and it was concerning. It could be nothing and fixed in the past or it could be really expensive in the near future.

We need to wait for the official report but based on this would it be reasonable to ask for a credit for these 3 issues?There are other little things like a window is cracked and needs to be replaced, pipes might need to be replaced in the future (older home) some electrical things, etc but these things we can easily do (and not extremely espensive). I'm just concerned about having to re-enforce the basement walls, sealing the basement so that in the future we can finish it and the boiler.

Re: Home Inspection...what can you negotitate?

from what I know unless there is a blatant safety hazard the seller is not likely to pay to have these things fixed. it is assumed that with an older home those things (or the possibility of those things) were already considered when you made the offer.

I guess it doesn't hurt to try to negotiate it but you should be prepared that they may say no. I would listen to your realtors advice on that one.

If those things are deal breakers you can still walk away.

Re: Home Inspection...what can you negotitate?

So as a real estate agent, I always tell my buyer clients that we have to start with the premise that you are buying a house "as is"... including things that are old, not up to current code or best practices, etc. A home inspection is not a chance to re-negotiate price. It's basically a fact-finding mission for you, as a buyer, to get information about the house and feel comfortable with the home you are buying.

That being said, anything that is broken, defective, unsafe, etc. needs to be addressed. There are no set laws/rules on this, but if something is wrong with a major system of the house, it would be customary for the seller to address this ... if they want to sell the house. Everything is negotiable, but a seller doesn't have to give a credit for something. They can opt to fix the problem (by repairing/replacing the defective item in the home) or give a credit.

Some of the things you mention are quite concerning to me and definitely warrant -- at a minimum -- further investigation. Home inspectors -- even the best ones -- are generalists. They flag every potential problem, and in many cases, when a specialist is called in, the potential problem is NOT a problem. But when it comes to major issues, you want that specialist to come take a look -- whether it's an electrician, plumber, etc.

The easiest one to me is the heating system. You said that the home inspection's opinion is that it needs to be replaced because of the severe corrosion. I would bring this up to the seller and ask the seller to have the heating system inspected and then repaired/replaced IF necessary. Some heating systems show signs of corrosion but are perfectly operational and safe. Many people have maintenance contracts on their heating systems, so when issues regarding the heating system arise during home inspections, we usually suggest that the seller have it looked at and go from there. And if there's a maintenance contract in place, that initial step costs the seller nothing and may give peace of mind.

Water getting into the basement is a material defect with the house. If that is an ongoing problem, I would think twice before buying the house, and definitely try to get it rectified by the seller before moving in. I am surprised if there is a sump pump, that the water problem is ongoing. Did the inspector say there is evidence of water damage, but he couldn't tell if it was old damage or new? Or is there definitely evidence of a current water issue? I would speak to the seller about how often they get water (is it occasionally a little bit, or a ton of water every time it rains?), what they've done to date to address it, ask for documentation of repairs (who installed the sump pump and when, was there water during Sandy, etc.). Does the inspector say what the water issue can be attributable to? For example, does the property need to be re-graded? I would maybe see f you can get a waterproofing company in to take a look and give estimates of what would be needed to fix the issue.

The structural issue is most concerning to me. Structural problems are one issue that send up a red flag for me as a buyer's agent. Were there horizontal cracks in the foundation? Did the inspector say what he thinks is causing it? For example, I recently sold a house where tree roots from a large tree up against the house were putting stress on the foundation. The stress would be eliminated if the tree was removed (and then the structural problem would be solved). Buyer/seller are splitting the cost of the tree removal. Sometimes it is a simple fix, and again, home inspectors tend to give you the WORST case scenario because they totally are all about CYA. But structural problems can be very serious and costly to fix. I would think about getting a structural engineer in to take a look.

As far as the other issues - yes a broken window can be something to negotiate a credit or repair for, but it is a small item and I would let it go and focus on the bigger issues. Older plumbing is what it is, as long as there's no leaks or issues.

Hope this helps! Good luck!

Re: Home Inspection...what can you negotitate?

Since the home has structural issues I would not buy the home. These are incredibly difficult and quite costly to fix. French drains for the water can be at least 10,000 and major structural issues 30,000 and up. This is not the house to buy. I would not buy the home and thank my lucky stars for the home inspector.

Home Inspection...what can you negotitate?

Thank you everyone! The guy who did the inspection was an engineer. We specifically wanted an engineer for issues like this. When we get the final report we will touch base with our lawyer and go back to the sellers. If it's a big issue and they refuse to fix/address/credit we will move on and keep searching.