Should I walk away from knob and tube rewire

[Cesar Torres]

Currently looking at a house that has knob and tube that needs to be rewired. Also has a 60 amp fuse box that needs to be update. Not sure if I will even get approved for financing if appraisal doesn't approve. House is about 1000 sq ft. 2 bed 1 bath on second floor and kitchen and living room on first floor. The k&t was found in the attic. Also there is aluminum wires run to the main fuse box. Appreciate any advice on updating this and price range of this project. Thank you in advanced!

[Patrick Liska]

Not only will the bank give you a hard time about the knob and tube but you will also have a tough time with Insurance companies. a new 200 amp service will probably run you about $2- 2400, rewiring the house, sheetrock, spackle and paint will probably run you another $4-5000, depending on how much has to be opened up and fixed.