Buying a House - Red flag/walk away?

[waday]

Have a question that is not photography related.

The wife and I are looking to buy soon.

We found a house that we like, both inside and out. It seems perfect; however, there are a few issues that we know about. We need help (i.e., a neutral party that is not family or agent) in how to move forward. Family screams no, agent screams yes. Well, they don't 'scream'...

On the seller's disclosure, they have indicated that there was a fire in 2011 that was inside a wall. Apparently there was water dripping, which caused sparks and subsequent fire. According to seller's agent, the fire was remedied (i.e., new wall, new floors). I don't have a problem with something that was fixed; however, when asked what the source of the water was or if the source of the leak was fixed, no one knows. I guess we should assume it's still leaking?

We know they have an 'older' electrical system that will probably need to be rewired at some point in the future. We know that they need a new roof within a few years. We know that there are some fixable water/moisture problems in the bathroom. However, considering there WAS a fire because of a mix of water and electricity, we're wondering if we should even bother putting an offer in and getting an inspection. We don't want to have to pay for an inspection if we know upfront that we can't afford to fix ALL of the house's issues immediately.

We keep trying to tell ourselves that the issues can be dealt with, but we don't have the kind of money to rewire the whole house and put on a new roof within a year's time.

The problem we have is that we really like the house, it's in a great location, and it's perfect for our needs. Do we need to disconnect our emotions from the house? I fear we're emotionally attached.

Any help or opinion would be greatly appreciated! Or, a link to a good forum to post this question?

 

[ronlane]

Honestly, knowing about the fire, I wouldn't make an offer until I received proof that the situation was fixed to code. A receipt from the contractor or a name that I could call and talk to about it Waking up dead from fire makes for a bad day.

 

[Warhorse]

Would the sellers drop their price by the amount needed to make said repairs?

If not, I would walk if you can not afford to do needed repairs.

 

[tirediron]

If you can't afford to deal with the issues, then the answer is simple - 'Buh-bye little house'. Even if you do ALL the work yourself (and it's really not difficult; tedious yes, difficult, no), re-wiring an average 2500 sq ft home is going to approach $5K in material alone. If you get someone in, that's going to be more like $15K; a new roof could be upwards of $10K depending on the size and material.. and, like Ron said, if you're not 100% satsified about the source and repair of the fire, I would walk away.

 

[Braineack]

surprised they disclosed it. Ask your agent to ask the selling agent for clarification.

 

[badrano]

On the seller's disclosure, they have indicated that there was a fire in 2011 that was inside a wall. Apparently there was water dripping, which caused sparks and subsequent fire. According to seller's agent, the fire was remedied (i.e., new wall, new floors). I don't have a problem with something that was fixed; however, when asked what the source of the water was or if the source of the leak was fixed, no one knows. I guess we should assume it's still leaking?

If the leak was still there, I would think you'd still see water stains. I'm assuming that the leak was near an outlet since sparks caused the fire. Was the leak coming from a pipe or from the roof? Which wall was the fire in?

We know they have an 'older' electrical system that will probably need to be rewired at some point in the future. We know that they need a new roof within a few years. We know that there are some fixable water/moisture problems in the bathroom. However, considering there WAS a fire because of a mix of water and electricity, we're wondering if we should even bother putting an offer in and getting an inspection. We don't want to have to pay for an inspection if we know upfront that we can't afford to fix ALL of the house's issues immediately.

What do you mean by "older" electrical system? When was the house built? What is the service...100A, 150A, 200A?
As far as fixing all of the issues, it would depend on the issue and what the laws are in PA. The seller may responsible for fixing some of the issues.
When we bought our house (built in the 60's) in NJ, the electrical service needed to replaced. It was a 100A service. The seller paid to replace the service with a new meter and panel. We paid the difference to upgrade to 200A. The house still has the original wiring which is in good condition. As we've renovated each room (in most cases, the room was gutted to the bare studs), so we re-wiredd to add more outlets and ceiling fans and to also bring things up to code.
As far as the roof, you could base your offer (lower offer) on the fact that the roof will need to be replaced soon. Our house is a little over 2000sq ft (4 bed, 2.5 bath) and we spent just under $8k for a new roof because it had to be stripped down to the plywood.

 

[astroNikon]

Was the fire on an outside wall, or inside wall. Upstairs, downstairs?
Water leaks from the outside could be consistent or from, say, only heavy rains.
Or inside from a slightly leaking pipe.

If the insurance fixed it then it could be "okay"

Remember, the agent is there to make money. Yes, your agent too. that is normally their primary concern.
Your family is there to throw caution into the wind.

If it seems too costly to fix things then walk away.
There's *always* more than one house in the neighborhood.

So I would keep looking if you are at all worried about the past fire, or the upcoming *known* expenses.
The a/c, furnace, water heater, etc could all die shortly too .. who knows.

FYI .. don't get emotionally attached to something you don't own. It will just cost you too much money.

 

[bentcountershaft]

Have a mold guy do an inspection as well.

 

[manny212]

Man , I did every inspection I thought was needed before I proceeded with the purchase of my house .

I'd like to get to the bottom of that leak ( no pun intended ) before moving forward .

 

[pgriz]

Leaks don't "just happen". If a leak caused the water infiltration that caused the short (and resulting fire), you owe it to yourself to figure out where that leak came from and what happened to it since the repair work was done. I wouldn't trust any agent to determine what the probable cause was. For this kind of work, you need much more than a regular home inspector - someone who is a civil engineer with actual building and renovation experience. Depending on what they find, you may also want to have the walls and cold spaces inspected for mold.

Any chance that the place had a history as a grow-op? If so, humidity and condensation would be the thing to look for, along with all the things that high humidity can cause. Furthermore, if it WAS a grow-op, the electrical stuff really should be checked, as there's not telling how "they" wired things up.

What's the history of the place? If it has been flipped often, then that's a red flag right there. Otherwise, if it has been steadily occupied by the same people, then chances are that the place is not TOO risky.

 

[RichieT]

Good luck with your home search. Most older houses are going to almost always need more work. The alternative is to pay top dollar for a newer turnkey home which usually is not an option money-wise. That's the trade-off. Unless your wiring is really old, I mean bare wires and insulators in the wall, upgrading to 200amp service should still use the existing wiring, you may just have to add new circuits where needed. If the house really suits both your needs, see if you can put a deposit contingent on what a home inspector finds. There are enough costs involved in buying a house that the inspection cost shouldn't be the thing that stops you. I've kicked myself in the butt a number of times because I didn't pull the trigger on a house because of problems that wound up being manageable. Also, try to learn to do a lot of the repairs yourself. It'll save a bundle.

 

[Scatterbrained]

First, if you decide to have a home inspection done, hire the inspector yourself. Do not use the inspector recommended by your agent and do not have the agent handle it. Trust me on this.
I would second everyone who wants to know where the leak was. Was it a leaky window or roof? How old is the house? Was it caused by some ruptured piping? I had a condo years ago that was plumbed with Quest (polybutylene) piping. The pipes were rupturing just about every month. I'd want to make sure you wouldn't be dealing with anything like that as well.

 

[bribrius]

it already sounds like you cant afford this house just from your o.p.

 

[Gary A.]

Rarely, does something broken in a house fix itself. So I would assume that the leak has been fixed unless it is a roof type leak (water from an external source). An inspection of the attic should resolve a leaking roof.

If the attic comes out clean, as in not a source of leak(s) then I wouldn't worry about a pipe leak and/or use it as leverage to lower the price. As in "No confirmation of corrective action of properly fixing the fire causing leak is a serious question, I need a $10,000 or $5,000 reduction in price for plumbers, electricians, framers, drywallers and painters to accommodate a proper repair in order to resolve this fire issue."

 

[The_Traveler]

Have a question that is not photography related.

The wife and I are looking to buy soon.

On the seller's disclosure, they have indicated that there was a fire in 2011 that was inside a wall. Apparently there was water dripping, which caused sparks and subsequent fire. According to seller's agent, the fire was remedied (i.e., new wall, new floors). I don't have a problem with something that was fixed; however, when asked what the source of the water was or if the source of the leak was fixed, no one knows. I guess we should assume it's still leaking?

We know they have an 'older' electrical system that will probably need to be rewired at some point in the future. We know that they need a new roof within a few years. We know that there are some fixable water/moisture problems in the bathroom. However, considering there WAS a fire because of a mix of water and electricity, we're wondering if we should even bother putting an offer in and getting an inspection. We don't want to have to pay for an inspection if we know upfront that we can't afford to fix ALL of the house's issues immediately.

We keep trying to tell ourselves that the issues can be dealt with, but we don't have the kind of money to rewire the whole house and put on a new roof within a year's time.

The problem we have is that we really like the house, it's in a great location, and it's perfect for our needs. Do we need to disconnect our emotions from the house? I fear we're emotionally attached.

Any help or opinion would be greatly appreciated! Or, a link to a good forum to post this question?

This cries out real intensive home inspection and warranty for hidden defects.

If you are worried about $ for inspection, then you aren't ready for any house repairs.
Moving into a house, even a new one, costs much more $ than one anticipates.
Have owned 8 houses in my life and inspection up front has saved me from lots of problems.

Find a house with no problems.