$12,000 to Replace a Sewer Line... too expensive?

[Tania Kenner]

Recently purchased a rental built in 1910. We had the sewer line scoped before closing so we knew there could be potential problems and that $12k would be the worst case scenario if we had to replace it. Well, we have to replace it. We would like to hold this property long term (10 years or so) so we want to fix it right. I’m just wondering if 12k is a bit high? This is a bid to pipe burst and replace the old clay pipe with one piece seamless brand new pipe. No digging up of the yard or concrete patio required. 20 year warranty. If the existing pipe collapses before we have the job done the price goes up. The advantage of doing it now is that we can roll the cost into the renovation loan. If we wait, we’ll have to figure out where the money is coming from. The downside is we don’t get to charge higher rent for a new sewer line so keeping that cost down is the concern. I’ve never had to deal with sewer line issues so am grateful for advice.