Undisclosed basement flood, what will you do?

[Cheng Chen]

I bought a house under special warranty in Pittsburgh,PA ,May 2017. Seller never disclose water problem in basement in their property disclosure.  

The house was rented on August 2017. Tenants places a lot of their stuffs in the basement which covered the whole basement floor. Tenants never went down to basement to check  stuffs since then. Around March 2018, tenant complained about basement flood. The flood came from a corner of the foundation. 

contractors came inside for inspecting the water damage. They think the water leakage started before I bought the house. 

I was left to pay $11k to water proof external wall and installing French drain. 

#1 : Do I have right to ask seller for covering any cost under special warranty deed? 

#2: For $11k , does it worth the trouble to ask attorney to pursue it legally?  

#3: What will you do in this situation? 

I appreciate very much for your opinions! Thank you! :)

Cheng 

[Wayne Brooks]

The “type of deed” has No effect on property condition.....it is purely a term referring any warranty regarding solely the condition of title.
I’m guessing you rec’d a Special Warranty Deed on an REO purchase? If so, banks never make disclosures as they did not ever occupy or manage the property in a day to day basis.
A six month delay or so in finding a water intrusion problem wouldn’t point to a seller knowing about it either.