Unfortunately, the Seller is playing hardball and isn't willing to make concessions. They already reduced the purchase price down by $10k prior to the inspection ($5k below asking). Although some of these issues are solvable, mold is a serious issue that isn't easily fixable. The issue probably isn't that serious, but you never know with mold.
After speaking to an electrician, the electrics are not so much of an issue but still costly to fix ($4-$6k). The roof will be about $1-$2k I assume. The water heater can be covered by a home warranty. The dishwasher and disposal don't even work even though the kitchen was rehabbed. The shower doesn't work in one of the bathrooms.
Here is a summary of issues from the inspection report
1) No roof vents for attic ventilation (this is a brand new roof barely 2 months old)
2) Satellite dish is screwed directly through roof surfacing (this is a brand new roof barely 2 months old)
3) Some roof coverings are damaged (this is a brand new roof barely 2 months old)
4) Pull down attic stairs not properly insulated (not a bid deal, easily fixable)
5) Missing or damaged soffit screens (not a bid deal, easily fixable)
6) Mold on interior walls behind the kitchen sink (The kitchen was "rehabbed")
7) Firewall behind the furnace was breached in one or more areas in the garage (garage was also "rehabbed")
8) Exterior brick siding has hairline cracks (not a big deal)
9) Exterior trim boards have gaps leading to water intrusion (not a big deal, easily fixable)
10) Wood rot observed on one or more areas of siding (not a big deal, easily fixable)
11) Noticeable repairs made to one or more areas of the ceiling (not a big deal)
12) Wood rot on one or more areas of exterior doors (not a big deal, easily fixable)
13) One or more privacy doors jamb when closing (not a big deal, easily fixable)
14) One or more privacy doors do not latch (not a big deal, easily fixable)
15) Windows have missing screens and damaged springs (not a big deal, easily fixable)
16) Some windows do not stay open (not a big deal, easily fixable)
17) Cracked double-paned window (not a big deal, easily fixable)
18) Dampers are missing required clamps to prevent closure on gas log fireplace (not a big deal, easily fixable)
19) Fresh air vent at chimney is loose at the wall (not a big deal, easily fixable)
20) Wood deck showing signs of deteriorating in areas (not a big deal, easily fixable)
21) Grounding rod near electrical meter is missing the required clamp (not a big deal, easily fixable)
22) Latch for the main electrical panel is missing (Maybe best to replace the whole box)
23) No antioxidant on aluminium conductors
24) No smoke detectors..(not a big deal, easily fixable)
25) No Arc Fault Breakers in required areas of electrical panel
26) Doorbell does not work (not a big deal, easily fixable)
27) Branch circuits miswired to a single bus bar
28) Gas furnace does not have a sediment catcher
29) HVAC does not have overflow drain pan
30) Water heater is a 2009 model (was "replaced")
31) Corrosion observed on the hot water handle for laundry connections
32) Toilet loose in bathroom (bathroom was "rehabbed")
33) Gap between wall and faucet in guest bathroom shower (bathroom was "rehabbed")
34) Hot water handle in master shower spins and does not turn on (bathroom was "rehabbed")
35) Leaks under all sinks observed
36) Dishwasher drain hose did not form a loop and create a trap under sink
37) Door on dishwasher does not latch
38) Disposal was not plugged in and was not tested (probably doesn't work)
39) No anti-tipping device on stove, and back left burner does not work
40) Sprinkler system was not tested. Water was shut off and backflow preventer was damaged.
You can see it's quite a long list of items to repair from a far distance....I don't think the $10k concession would cover all of it.
The cash flow, however, is quite good..at $500 a month..
