HUD home inspection

[Talal B.]

Dear BP'ers -

I am looking at my first potential deal and its a HUD property. I have obviously not dealt with HUD properties before and learning their cumbersome process to get the deal approved argh...

Anyways, I have this HUD house under contract and I am planning for inspection real soon. I had to go through HUD to request the utilities to be turned on for inspection and today I got a reply from them that they will not be turning on the water!!

My question is how can I get an inspection done without the water turned on? I won't be able to find out water pressure/ leaks and that can be a big ticket item. What would be your suggestion in handling this situation A) walk away from deal B) reduce the offer price by worst case cost estimate C) other suggestions?

Thanks in advance for helping out !!