Inspection reveals both good and bad
Our first property:
Purchase price: 62,000
Expected rental income: 800/month
The single family home is 2 bedroom, 1 bath. It has new furnace and central air, roof is 1 year old. The structure is sound. It had termite damage at the last sale that has been fully repaired.
It has had water damage at some point in the past but is dry now with a solid roof and good guttering. However, there is mold in the attic. The other problem is some remnant knob and tube wiring that supplies one outlet in the dining room and the overhead wires to the unattached garage. In addition, there is a Radon mediation system in place but it was installed improperly.
We need to do some minor cosmetic work, remove a dilapidated fence and replace the stove and refrigerator which we were clearly aware of and considered in our offer.
We have asked the seller to have the mold taken care of and completely remove the knob and tube wiring and replace it. And also to correct the radon system.
We are concerned that the seller may refuse these requests. How much off the purchase price should we ask if the seller refuses?
The home is about 900 square feet not including the basement that is dry but not living area. It was built in 1945.