Asbestos found in basement of duplex under contract

[Dave Bolduc]

Good morning, The duplex is an estate so no disclosure was required in CT but my inspection found asbestos pipe insulation in the basement. Since I plan to rent this previously owner occupied duplex, I want the seller to remove the asbestos. They countered with giving me a credit for $2,500 at closing. They then want me to remove the asbestos my self and pick up the balance of the cost. They got 1 quote that totaled $3,500 for the job. They also have various home improvements (replacement windows, repairs to rotted truss in roof, bracing, new decking and shingles in the area among other things) that have no permits. I asked that they resolve the permits. Their response was its not a big deal and no one will ask any way. I have the place under contract for $270k and estimate rent roll to be $3500 per month. Thoughts / suggestions appreciated. Thanks Dave

[Chris T.]

@Dave Bolduc

As a landlord, asbestos, lead paint and mold are probably the 3 biggest liability issues. IT IS A BIG DEAL!  

Not to mention that if a lot of work on this house is done without permits. That puts the responsibility on you. Depending on your town/village, they may require you to redo them WITH permits. Besides, what else is this home owner hiding? 

Rent roll seems strong. Hopefully this is a great deal. Otherwise, you're walking into a lot of unknown risks. Not something you want to deal with as a rental property.