Buying a property with knob & tube wiring

[Thomas Long]

Starting to invest in multi-families in Central MA. Obviously lots of properties are 100+ years old and my current issue if finding active knob & tube wiring in the houses. Most of them have been MOSTLY replaced but still finding some live wires in the houses.

My concern is if there is some I can see there may be much more behind the walls that didn't get upgraded either.

Do any of you invest in properties with knob & tube? Do you replace it all or find insurers who will insure it (my go-tos don't and I expect the rates to be very high but haven't actually been able to get quotes yet).

What type of discount do you expect when you find knob & tube wiring? Do you get quotes or just ballpark it and ask for a much larger discount than you expect the repairs to cost?

[John Teachout]

I'd just budget to replace it. It worked ok in uninsulated houses but nowadays people like insulation so the knob and tube isn't really compatible with that. Change it all. The sellers likely know that it's going to impact their sale price.