Buying FSBO but foundation crack...?
New to Real Estate · Sacramento · Member since 2020 · 6 posts · 2 votes
Buying FSBO but foundation crack...?
Most Popular Reply
Lender · Boynton Beach, FL · Member since 2026 · 100 posts · 50 votes
23h@Stacey Wheeler — good catch — FSBO + foundation + house hack — 3 things at once — here's how I underwrite these when they hit my desk in FL — 7873 Monarch Ct type work:
Don't pass yet — but don't hire realtor to guess — hire engineer first — $400-$800 now saves $20k-$50k later.
Foundation crack ≠ automatic no — type matters:
Hairline vertical — shrinkage — common — monitor — often $0-$2k epoxy
Horizontal / stair-step + bowing — lateral pressure — $10k-$30k+ piers / wall anchors
Slab — differential settlement — check doors, windows, floor level
Ask seller: when did you notice? Any prior repair? Any engineer report? Any insurance claim? Get in writing — CA FSBO disclosure still required — TDS.
Who to hire — in order:
Structural engineer — licensed SE — not contractor — not home inspector — you want stamped letter — cause + fix + cost range — bring contractor after — not before
Foundation repair contractor — 2 bids — with warranty transferable — check license + permit history for that address — Oakland / Sacramento County
Your lender — if house hacking FHA / conventional — major foundation = no loan until fixed — lender will require engineer clearance — ask loan officer now — don't wait
FSBO seller who doesn't want Realtors/investors — red flag + opportunity:
Red flag: wants owner-occupant only — may hide defect — wants no pro eyes
Protect you: get everything in contract — inspection contingency 12-15 days — foundation contingency — right to get engineer + bids — earnest deposit $1k max until cleared — use title / escrow — not cash to seller — get preliminary title
House hack math: if repair $15k on $400k house — you can still house hack if discount $30k-$40k — but only if engineer says fix is permanent — with warranty
My rule for 1st time house hack with foundation:
If engineer says < $10k fix + transferable lifetime warranty + city permit + lender will still fund — negotiate — go
If engineer says $20k+ or helical piers + no warranty or seller won't allow invasive check + won't discount — pass — there are other Zillow FSBOs — don't marry first one
You are right — most agents won't recommend — liability — that's why you go engineer — not agent opinion.
In Sacramento — soil + old homes — foundation issues common — not going away by itself — but fixable if priced right.
If you get engineer letter — post summary here — crack photos + engineer rec + 2 bids — community can help you price offer — house hack still works — just needs bigger buffer.
Good luck — keep us posted.
Muyees — Lend Investors Capital LLC — Boynton Beach, FL — small SF / townhouse / duplex — referral partner — not legal / engineering advice — get licensed SE in CA.
10 Replies
- Investor · Midwest · Member since 2019 · 357 posts · 235 votes5d
@Stacey Wheeler my short recommendation.....pass.
1. The seller doesn't want any realtors or investors because they are professionals. They know this is a huge risk and therefore will price it accordingly.
2. Consider the seller hasn't repaired it.There are a lot of homes out there without this risk. Consider if you have it repaired but something is missed and the house still falls apart can you absorb that financially?
If you do decide to get structural quotes just remember those professionals make their money doing repairs. Not saying they won't give you an honest assessment; simply ask what guarantee / warranty do they provide?
Hope this helps.
- 5dJames JonesPro MemberInvestor · Collierville, TN 38017 · Member since 2017 · 891 posts · 621 votes
Don't guess on a foundation — price it. A crack can be cosmetic settling or a five-figure structural repair, and you can't tell which from photos or a walk-through. Get a structural engineer or a foundation contractor out for a real number before you commit to anything. Then run your math with that number in it, plus contingency, because foundation quotes have a way of growing once work starts. On my side of the table, a house only works if the discount covers the repair and the deal still pencils — for me that's buying under $100K against an ARV of $180K to $265K with rent clearing the 1% rule. If the seller won't give you time to get it inspected and quoted, that's your answer: walk.
- Realtor · Memphis, Shelby County · Member since 2026 · 178 posts · 58 votes5d
Yes — if you are seriously considering this one, a structural engineer is exactly the right next step, and I would not skip it to save time or money. A foundation issue can range from minor settling to a major structural repair, and you cannot tell the difference reliably from a walk-through or photos alone. An engineer can tell you what is causing the crack, whether it is active, and what repair, if any, is needed, which gives you something solid to base an offer on — or a clear reason to walk away. Get the report in writing, ask about permits and warranties for any recommended repair, and make sure your offer and inspection timeline allow time for that evaluation. With a FSBO, it is also worth having a knowledgeable local agent or attorney review the paperwork before you commit.
- 3dMatthew MorrowBusiness MemberInvestor · PA - NY - NJ · Member since 2019 · 867 posts · 306 votes
@Stacey Wheeler I'd get the structural engineer out before anything else, like James and Ametria said. Something I learned the hard way is to assume the owner didn't take care of things the way you would, and that there's more behind the walls than you can see. A crack can be nothing or it can be the whole deal. If it's real, that doesn't automatically mean pass. The price just has to reflect it, because the purchase price is what decides whether you start ahead or behind. Hope it's the cosmetic kind.
CORE Team | Realty ONE Group Supreme548 Reviews - Lender · Houston, TX · Member since 2026 · 89 posts · 24 votes2d
Stacey, get the structural engineer out before you get attached, because a seller saying foundation issue can mean a hairline crack or a five figure repair. It matters for the loan too, since an FHA or conventional appraiser can require the repair to be done before closing, so you want that number early. Houses with secrets are fun on TV and a lot less fun on a mortgage statement. If you want help lining up financing or an agent for this one, just give us a shout.
- Real Estate Agent · Kansas City · Member since 2018 · 4k+ posts · 3k+ votes2d
Hire a structural engineer and then get a bid based on that.
- New to Real Estate · Sacramento · Member since 2020 · 6 posts · 2 votes2d
Thank you all for the responses...! The seller ended up changing the price a few days later so it doesn't make sense to me financially for me anymore.
But, I found another property that might have a structural issue, I will definitely take your advice and will find a structural engineer in the area and see if it's worth purchasing.
Thank you again for all the great advice , it really takes time but I enjoy learning from you...! - Lender · Boynton Beach, FL · Member since 2026 · 100 posts · 50 votes23h
@Stacey Wheeler — good catch — FSBO + foundation + house hack — 3 things at once — here's how I underwrite these when they hit my desk in FL — 7873 Monarch Ct type work:
Don't pass yet — but don't hire realtor to guess — hire engineer first — $400-$800 now saves $20k-$50k later.
Foundation crack ≠ automatic no — type matters:
Hairline vertical — shrinkage — common — monitor — often $0-$2k epoxy
Horizontal / stair-step + bowing — lateral pressure — $10k-$30k+ piers / wall anchors
Slab — differential settlement — check doors, windows, floor level
Ask seller: when did you notice? Any prior repair? Any engineer report? Any insurance claim? Get in writing — CA FSBO disclosure still required — TDS.
Who to hire — in order:
Structural engineer — licensed SE — not contractor — not home inspector — you want stamped letter — cause + fix + cost range — bring contractor after — not before
Foundation repair contractor — 2 bids — with warranty transferable — check license + permit history for that address — Oakland / Sacramento County
Your lender — if house hacking FHA / conventional — major foundation = no loan until fixed — lender will require engineer clearance — ask loan officer now — don't wait
FSBO seller who doesn't want Realtors/investors — red flag + opportunity:
Red flag: wants owner-occupant only — may hide defect — wants no pro eyes
Protect you: get everything in contract — inspection contingency 12-15 days — foundation contingency — right to get engineer + bids — earnest deposit $1k max until cleared — use title / escrow — not cash to seller — get preliminary title
House hack math: if repair $15k on $400k house — you can still house hack if discount $30k-$40k — but only if engineer says fix is permanent — with warranty
My rule for 1st time house hack with foundation:
If engineer says < $10k fix + transferable lifetime warranty + city permit + lender will still fund — negotiate — go
If engineer says $20k+ or helical piers + no warranty or seller won't allow invasive check + won't discount — pass — there are other Zillow FSBOs — don't marry first one
You are right — most agents won't recommend — liability — that's why you go engineer — not agent opinion.
In Sacramento — soil + old homes — foundation issues common — not going away by itself — but fixable if priced right.
If you get engineer letter — post summary here — crack photos + engineer rec + 2 bids — community can help you price offer — house hack still works — just needs bigger buffer.
Good luck — keep us posted.
Muyees — Lend Investors Capital LLC — Boynton Beach, FL — small SF / townhouse / duplex — referral partner — not legal / engineering advice — get licensed SE in CA.
- Lender · Boynton Beach, FL · Member since 2026 · 100 posts · 50 votes23h
@Stacey Wheeler — good catch — FSBO + foundation + house hack — 3 things at once — here's how I underwrite these when they hit my desk in FL — 7873 Monarch Ct type work:
Don't pass yet — but don't hire realtor to guess — hire engineer first — $400-$800 now saves $20k-$50k later.
Foundation crack ≠ automatic no — type matters:
Hairline vertical — shrinkage — common — monitor — often $0-$2k epoxy
Horizontal / stair-step + bowing — lateral pressure — $10k-$30k+ piers / wall anchors
Slab — differential settlement — check doors, windows, floor level
Ask seller: when did you notice? Any prior repair? Any engineer report? Any insurance claim? Get in writing — CA FSBO disclosure still required — TDS.
Who to hire — in order:
Structural engineer — licensed SE — not contractor — not home inspector — you want stamped letter — cause + fix + cost range — bring contractor after — not before
Foundation repair contractor — 2 bids — with warranty transferable — check license + permit history for that address — Oakland / Sacramento County
Your lender — if house hacking FHA / conventional — major foundation = no loan until fixed — lender will require engineer clearance — ask loan officer now — don't wait
FSBO seller who doesn't want Realtors/investors — red flag + opportunity:
Red flag: wants owner-occupant only — may hide defect — wants no pro eyes
Protect you: get everything in contract — inspection contingency 12-15 days — foundation contingency — right to get engineer + bids — earnest deposit $1k max until cleared — use title / escrow — not cash to seller — get preliminary title
House hack math: if repair $15k on $400k house — you can still house hack if discount $30k-$40k — but only if engineer says fix is permanent — with warranty
My rule for 1st time house hack with foundation:
If engineer says < $10k fix + transferable lifetime warranty + city permit + lender will still fund — negotiate — go
If engineer says $20k+ or helical piers + no warranty or seller won't allow invasive check + won't discount — pass — there are other Zillow FSBOs — don't marry first one
You are right — most agents won't recommend — liability — that's why you go engineer — not agent opinion.
In Sacramento — soil + old homes — foundation issues common — not going away by itself — but fixable if priced right.
If you get engineer letter — post summary here — crack photos + engineer rec + 2 bids — community can help you price offer — house hack still works — just needs bigger buffer.
Good luck — keep us posted.
Muyees — Lend Investors Capital LLC — Boynton Beach, FL — small SF / townhouse / duplex — referral partner — not legal / engineering advice — get licensed SE in CA.
Join the conversationCreate a free account to reply, vote on answers and follow this thread.