All Forum Posts by: Keri J Perez

@John ChapmanThank you John for your response and encouraging words! Luckily we do have a good inspector and he does point out the big stuff. We are in the phase of still getting quotes believe it or not to see what the costs will be to see if the seller is willing to negotiate. Unfortunately they have been slow in responding to our realtor and we had to reschedule people further out because last minute they had no one to let us in the property for someone to beable to assess the foundation in the basement. So that in it self feels like a red flag to me. But we are just trying to see it through to at least get some numbers to present. Thank you again for your feedback!

Hello Everyone,

I just wanted to get any advice and insight as to whether this deal is something we should pass on or still try to see what the seller will do before close to address these issues. This a property that has two separate buildings each with 2 units making it a total of 4 units. Even though it was listed as newly renovated we expected to have some things to address but this seems excessive and I'm not even sure if the bank will finance a property with foundation issues where some area's are considered "severe". I have pasted a copy of the inspection report summary for anyone who wants the details listed as "building 1" and "building 2". But some of the issues are foundation caving in, one of the main support beams is rotted away and no longer attached or supported by the sill, rotting sill in basement and on some windows, the drain line is heavily corroded and has large holes allowing water/waste to spill into cellar which has caused soil erosion and sink holes collapsing the basement floor above the pipe, both sets of stairs down to basement need to be replaced, Back deck and stairs has to be removed and replaced due to rot, rodent infestation causing chewed wires in both attics, multiple fire doors needed which inspector said they can run about $2500 each ect. If the seller does agree to repair the major issues any advice from others who have done this? This property is in Lewiston Maine.  As a side note if we terminate this would be our second one that we paid for inspection and terminated in a six month period. The first was listed as "turn key" and ended up having major water damage through out entire building and then this one. So right now I'm feeling like a project magnet!  I'm aware that paying the money out is worth it to help protect you from major expenses but just wondering if anyone had any tips for when you are a new investor for things you can do to better assess the property during or even before the due diligence period. Thanks everyone!

Building 1

Section Condition# Comment

"Grounds 1 The soil level was too high at the foundation. We recommend

clearing soil away from exterior walls areas, to provide a minimum of

6+ inches between wall coverings and grade. Conditions observed

are conducive to wood destroying insect infestation and / or moisture

related conditions. Excessive debris and/or storage was observed.

This can be a health and/or safety concern. Recommend clearing the

property of all excess debris prior to close.

Exterior 5 The back porch has settled, the support posts are crooked and failing,

the floor has moisture damage and rot, the stairs are leaning and are

open and narrow. The back porch and stairs will need to be rebuilt

with proper stairs and railings.

Exterior 6 Some of the asbestos shingles were cracked, broken, or missing.

Recommend replacement of any cracked shingles by a qualified /

licensed contractor. Due to conditions observed, water penetration

may have occurred in areas not visible or readily accessible. Some of

the vinyl has chips or chunks missing that should be repaired.

Exterior 7 The window trim and sills on the left side and back windows have

moisture damage and rot and need repairs.

Exterior 8 The front door needs new flashing under the door at the kick plate.

The back doors 1st and 2nd floor are damaged, old and do not seal.

The doors need to be replaced.

Exterior 9 The exterior lights were not operable. Exterior lights should be

automatic and on at dusk.

Roofing 13 There were wires in the attic that had been stripped of its insulation

by rodents leaving bare live wires. Due to the fire danger due to the

condition the building manage was notified immediately and he shut

off the power. Evidence of rodents ( ) were observed. While this

observation may exist now, the occurrence may have been some time

ago. Client should contact a pest control company for further

evaluation.

Roofing 14 Less then an inch. The insulation provided has poor to no coverage.

The attic needs to be properly vented and insulated.

Heating - Air 15 Both rinnais are obstructed by the range. The units should be kept

clear in front of them. The 2nd floor rinnai has no power source

therefore it could not be run or tested.

Heating - Air 18 The baseboard in the 1st floor living room is broken and missing its

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thermostat dial. repairs needed.

Electrical 19 The service entrance cable and weatherhead are covered with vines

and vegetation that needs to be removed. The service also needs

ground rods. It is suggested that a "Licensed Electrical Contractor" be

contacted for further evaluation and repair.

Electrical 21 The panel attachment board is loose and barely holding up. The board

will need to be secured so that the panels don't come loose and hang

by the wires. Two or more wires were connected to one breaker in the

panel. This condition can add to the load of the affected electrical

circuit(s) causing a possible overload, tripping, or arcing at the

breaker(s). Current standards require circuits to be independently

protected. Recommend an electrician properly separate circuits. Rust

/ corrosion was observed at the panel box or breakers. Recommend

further evaluation by a licensed electrician.

Apartment Units 26 The first floor unit bedrooms and living room needs; a fire door at

the hall entry, the windows in the right bedroom and living room door

not open and close properly and are a safety hazard, several

receptacles are loose in the wall, the right side bedroom doors are

missing, the electric baseboard in the living room is broken. Unit 1

Kitchen needs; GFCI protected receptacles, range hood needed, sink

vegetable spray holder is not attached, rodent droppings in the

kitchen, need to seal the plumbing chase from the cellar to the 2nd

floor, the sink drains up hill. Unit 1 Bathroom needs, new tub/shower

surround is needed, the shower controls are loose and not attached in

the wall. The floor joist under the tub are rotted. Proper smoke and co

detectors needed.

Apartment Units 27 Unit 2 bedrooms and living room needs, fire door is needed at the hall

entry, front left bedroom has a hole in the glass, the other window

wont stay open and slams shut, the door is missing a strike plate and

hole for the latch, water damage to the ceiling, missing light globe,

right bedroom and living room has damaged and out of plumb doors,

missing globe on light, light hanging by its wires, windows are

difficult to open, missing ceiling tiles, several receptacles in the unit

are non grounded and should be replaced with a two prong receptacle

or have the wiring updated. The unit 2 Kitchen; there are no

receptacles, gfci receptacles needed, vegetable spray is loose, sink

wouldn't drain, range hood needed, power for heater needed. Unit 2

Bathroom; The toilet is loose at the floor and likely leaks. Bath

exhaust fan needed. Proper smoke and co detectors needed.

Apartment Units 28 The common areas had no lighting, or emergency lighting, the

exterior lights did not work, and a fire door is needed at the cellar

entry. Proper smoke and co detectors needed.

Basement 29 The stairs are unsafe and need to be rebuilt.

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Basement 31 Windows have been poorly blocked off. New cellar windows should

be installed.

Basement 32 The door to the cellar needs to be a fire door.

Basement 35 The sump pump is not operable nor is there a pit , and the drain

dumps at the foundation exterior. Due to the water in the cellar is is

obvious a proper sump pump, pit and drain is needed.

Basement 36 The cellar has a lot of items and rubbish that needs to be removed.

The gas water heater is no longer used and is disconnected from water

and electricity. The gas line is still connected, the gas should be

capped off and the water heater along with the old boiler removed.

The gas shut off to the water heater should also be replaced with a gas

shut off. The old oil tank is still present as well and the fill and vents.

These should be removed for safety and accidental filling.

Foundation - Crawl

Space

37 The left side of the foundation is split and is displaced. The

foundation has shifted into the cellar and will need repairs.

Foundation - Crawl

Space

38 The floor joists and sill under the 1st floor bath are moisture damaged

and rotted and will need repairs. The sill near the electric panel also

needs repairs."

Building 2

This is only a summary of the inspection report and is not a complete list of discrepancies.
Section Condition# Comment
Grounds 1 The soil level was too high along the driveway, the driveway is above
the wood structure of the house. We recommend clearing soil away
from exterior walls areas, to provide a minimum of 6+ inches
between wall coverings and grade. Conditions observed are
conducive to wood destroying insect infestation and / or moisture
related conditions. Excessive debris and/or storage was observed.
This can be a health and/or safety concern. Recommend clearing the
property of all excess debris prior to close. As a result the wood
structure has moisture damage and rot, the soil is coming in through
closed up windows.
Exterior 6 Some of the asbestos shingles were cracked, broken, or missing.
Recommend replacement of any cracked shingles by a qualified /
licensed contractor. Due to conditions observed, water penetration
may have occurred in areas not visible or readily accessible. Some of
the vinyl has chips or chunks missing that should be repaired. There
are holes in the siding that need to be patched and a hole in the fascia
where squirrels and rodents are likely getting in.
Exterior 7 The window trim and sills on the right side have moisture damage
and rot and need repairs.
Exterior 9 The exterior lights were not operable. Exterior lights should be
automatic and on at dusk.
Roofing 11 The roof has had many patches and the patching was done in a
racking method making it more likely to fail, and the back section has
exposed flashing. The roof over the back addition should be replaced
or significantly repaired. The main roof, although immediate
replacement may not appear necessary at this time, we recommend
maintenance be performed on a regular basis with annual inspection
by a qualified roofing contractor. The inspector cannot offer an
opinion as to whether the roof leaks today unless it is moderately
raining at the time of inspection. Client should obtain full disclosure
/ history information from the seller prior to close.
Several problems can occur when the racking method is used :
· If the racking method has been used, shingle joints align every
other course, which increases the chance for roof leakage.
· Using the racking method requires leaving the last nail out of
every other shingle to allow for the installation of the next
course. Installers sometimes neglect to go back and install
these missing nails, which can reduce the shingles' wind
resistance.
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Renovation Consultants LLC
· During cold-weather installation, lifting shingle tabs to install
the missing nails may crack or crease them.
· Racking can sometimes result in improper color blending.
Roofing 12 The exposed flashings appeared to be in serviceable condition at the
time of inspection. The flashing on the fascia on the front right side of
the house is loose and falling off.
Roofing 13 There was damage to rafters from squirrels and numerous chewed
wires. The chewed wires could be the cause of no power to the
receptacles on the 3rd floor. This is a fire hazard and should be fixed
immediately. Evidence of rodents ( ) were observed. While this
observation may exist now, the occurrence may have been some time
ago. Client should contact a pest control company for further
evaluation. Dead squirrel in the attic, possibly from chewing wires.
Roofing 14 Compared with today's standards, the amount or type of insulation
was minimal.
Heating - Air 15 It was obvious by looking at the furnace it has not been serviced in a
long time. The furnace filters were completely blocked solid with dirt
hair and debris. The furnace door was left off which contributes to
the issue of plugged filters. Recommend cleaning and / or general
servicing of the heating unit by a licensed / qualified heating
contractor prior to close.
Heating - Air 16 Tenants complained about not having heat on the 3rd floor. It is likely
due to the poor duct work and the plugged furnace air filters. Repairs
needed.
Electrical 21 The plumbing bond is not attached to the pipe, it is laying on the
floor. Two or more wires were connected to one breaker in the panel.
This condition can add to the load of the affected electrical circuit(s)
causing a possible overload, tripping, or arcing at the breaker(s).
Current standards require circuits to be independently protected.
Recommend an electrician properly separate circuits. It is suggested
that a "Licensed Electrical Contractor" be contacted for further
evaluation and repair and to ensure proper ground bonding.
Plumbing 22 The visible portion of the main pipe and valve appeared to be in
serviceable condition at the time of the inspection. The supply was
surrounded by water where it comes in to the house. It is possible the
water line may have a leak between the house and street and its
seeping in to the cellar. It is suggested that a "Licensed Plumbing
Contractor" be contacted for further evaluation and repair.
Plumbing 24 The drain line where it turns to cast and goes through the foundation
has heavily corroded and has large holes allowing the waste to spill
out in to the cellar. The failed lines below the floor have caused soil
erosion and sink holes collapsing the basement floor above the pipe.
It is suggested that a "Licensed Plumbing Contractor" be contacted
for further evaluation and repair.
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Apartment Units 26 Fire door needed at both the front and back hall. The front bedroom
door doesn't latch closed. The kitchen has a water stain on the ceiling
from the leaking toilet above, loose receptacle, Missing drawer and
knob on the cabinet. The bathroom has a toilet that is loose at the
floor, the vanity is water damaged and coming apart, the shower
controls are loose in the wall and need to be secured. Need proper
smoke and carbon monoxide detectors
Apartment Units 27 The front entry door needs to be a fire door. The back entry door is
falling off its hinges. The 3rd floor receptacles have no power, no
doors on the bedrooms, loose hand rails on the stairway. Very few
receptacles on the 2nd floor resulting in the use of several extension
cords. The kitchen needs a range hood. The sink needs a new faucet.
The light over the sink is hanging off the cabinet. The toilet is loose
on the floor and moves easily. There are water stains in the ceiling
below indicating the toilet is leaking in to the ceiling. The bath tub is
unprofessionally plumbed and needs to be redone. Need proper
smoke and carbon monoxide detectors
Apartment Units 28 No lighting in the common hall. The stair railing to unit 2 is too low.
No emergency lighting. Need proper smoke and carbon monoxide
detectors
Basement 29 The stairs are obstructed by a plumbing stack, and the stairs are
falling apart and unsafe. New stairs need to be built.
Basement 30 The concrete slab has caved in in areas due to the leaking drain pipe
under the floor
Basement 31 Some of the windows are below grade, due to the soil and water they
have rotted out and the soil is spilling in to the cellar. Window above
grade was boarded over, the wood has moisture damage and rot and is
coming apart.
Basement 32 Fire door is needed at the entry.
Basement 33 Missing receptacle or switch covers were observed at. Recommend
covers be installed for safety. Exposed wire splices were observed.
Whenever an electric wire is cut and reconnected, the splice should be
encased in a covered junction, outlet or switch box to prevent shocks
and separation of the splice.
Basement 36
Foundation - Crawl
Space
37 There are a few areas where the foundation is caving in and will need
repairs. There is also a hole near the water main that is letting water
in and a hole in the foundation where it appears critters have been
coming in.
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Foundation - Crawl
Space
38 One of the main carrying beams is rotted away and no longer attached
or supported by the sill. Repairs needed. The sill and wood structure
below grade and under the driveway has significant moisture damage
and rot significant repairs needed.

Thank you all for the great responses. Thank you for your professionalism and actually reading what I wrote and taking the time to look at the inspection report and not minimizing the problems associated with water damage like a previous poster did. We finally had two mold remediation companies out to the property the other day(after having an earlier appt. cancelled by the seller without us knowing) to officially confirm the extent of the water damage and mold issue. They both came back with at the least 75k but more likely over 100k to remediate this property. And these quotes are just based on what is seen they both stressed it could be whole different story once the floors are uncovered and behind the walls. Also they are concerned with the air quaility for the tenants that are currently living there.  The original inspector was also there and saw where the seller tried to "clean up" some of the visible mold that was originally listed on the inspection. So we wouldn't buy from this seller at this point anyway because it seems he thought he was somehow going to outsmart the professionals. And we don't know what else he may have covered up. So on to the next property!

Thank you to guys who gave some constructive responses.  We bought the property with no water damage disclosed and in "fantastic condition". This is not a discounted property factoring in any repairs needed in the selling price. We already expected and budgeted for improvements and repairs that we wanted to do to make the place even better. But when you have a very reputable inspector telling you the bathrooms alone could be 40 to 60 thousand to rehab not including mold remediation, joists being replaced, tenants needing to be put up in a hotel or rehoused while work being done ect and everything else ...that is significant to us. Our understanding when talking to the realtor initially was that a contractor and mold company was going to be going in to assess the cost and damage. And then go from there in terms of the seller doing a repair credit and or lowering purchase price depending on the results of that assessment. So now the train has been taken off in another direction with the seller fixing things himself(literally himself not a contractor he hired). So really we know what we need to based on what has happened so far and we have room still in our contingency period so we were trying to give a chance to see if we could be satisfied before jumping the gun. Its just nice to have confirmation and feedback about the situation from people more experienced.

@Emilio Ramirez Thank you for fully reading my post and your feedback. We are not necessarily looking for turnkey. This property was just listed and presented to us this way during the walk through. And no this was definitely not reflected in the purchase price. The seller himself said he was "shocked". We expected to have repairs and upgrades. But like you said its turning into a full rehab which is not what we purchased this for.

@Mark RechkemmerThank you for your feedback! No like I said the inspection report was a "shock" to the seller. So none of the items/issues in the inspection were on anyone's radar as a part of this purchase. We discussed with our realtor what we wanted in terms of a contractor coming in of our choosing...So like you said now that the seller is rectifying stuff in his own way we don't want to inherit problems he didn't address properly or is covering up intentionally or unintentionally that will bite us in the bite down the road.

@Anthony GaydenThank you for your feedback. We definitely don't expect the properties to be perfect. We live in a home built in 1900 and so far we have done all the plaster repairs, painting, wall repairs, porch repairs, ceiling repairs ect on our own...by nature we are DIY's. This property was also built in 1900 so we expect there is always work that needs to be done. I would agree when you are new you are definitely are going to be more cautious. But based on talking with the inspector who is also a rehab consultant we are not over analyzing this one.

@John Thedford Thank you for reading my post and your feedback.

Anyone else feel guilty or bad at the idea of terminating a purchase contract? We have a property that we put an offer in on that was in "fantastic shape" and it got accepted after the seller countered. But after inspection it was found to have active water damage on multiple units(its a 4 unit) and in the basement as well as mold. Its our first property so after talking with the inspector about the extent of the work we told our realtor we wanted to back out. Then the realtor suggested that we see what the seller was willing to do. So of course we got sucked back in and an addendum was written to extend the contingency period. Our understanding from talking with the realtor is that professional companies would come in to assess the damage and give some quotes and we would find out if the seller would lower the price or give a credit or something. We were still apprehensive at that idea being that we don't know the extent of the damage under the multiple bathrooms with spongy wood floors. We don't want to get a 30 thousand credit then end up with 80 thousand dollars of work. So next thing we know our realtor calls us to tell us the seller wants to show us some of the work he has been doing. So we get there and he is doing a lot of the work himself. He seems to be a nice guy and he said he would keep us in the loop of everything he is doing and also let us know when the bathroom floors were going to be ripped up so we could see the extent of the damage. The building is in a high demand for rent area so that is a plus. The work so far that he had done looked ok for the most part but looks and what is up to code and done properly are two different things. But we are just not feeling good about the property anymore. The more we have looked at and adjusted the numbers and accounted for expenses the numbers don't seem the greatest. He is not a licensed contractor. It's been a week since we have heard from him even though he said he would call us on monday(it's now thursday). They were supposed to get someone in to assess the mold damage and we haven't heard anything. So now it just seems like he is trying to do the work himself and we are supposed to trust that he knows what his doing. And if he does change out the floors without showing us how they look underneath how are we to know if the joists/supporting structures were properly assessed for rot/mold if he covers it back up before anyone gets a chance for it to be assessed? So on one hand I get why he wants to do the work himself and he seems like he wants us to be happy.(He said he was shocked when he saw the inspection report) But from an investment standpoint we don't want to go into our first investment feeling uneasy. But as a Newbie it can feel intimidating having to stand up to your realtor and then possibly insult the seller saying we don't feel comfortable with him doing the work as opposed to a licensed person. On top of it we have kind of stalled on the financing aspect feeling like its a joke to keep going with the motions of doing that when we are questioning purchasing. So we know we are probably irritating our loan officer. We plan to talk to our realtor and let him know what we are thinking but kind of afraid he is going to see us as being picky/ungrateful/a waste of time/ and also attempting to suck us back in. I know you're not supposed to let emotion get in the way. But feeling confused, overwhelmed and deflated. Any advice/words of wisdom would be great.

I have included a copy and paste of the summary page from the inspection report below in case anyone is interested:

This is only a summary of the inspection report and is not a complete list of discrepancies.
Section Condition# Comment
Grounds 1 Poor grading near the foundation was observed. We recommend
re-grading to assure all water drains away from the home's
foundation. Currently the whole western side of the building is
sloped toward the building the water is leaking in to the cellar and
basement unit apartment. The water is also causing erosion in the
brick joints and walkway. Regrading and repairs are needed.
Grounds 3 The walkway to the back entrance has erosion and a sink hole and is a

tripping hazard.

Grounds 4 The small retaining wall is leaning over and not diverting water

repairs needed.

Exterior 7 The ramp to unit 2 is leaning and unstable, bracing and levelling is

needed

Exterior 8 The concrete in front of the door slopes towards it allowing water to
get in under the door and cause moisture damage and rot to the joists
and structure in the cellar. Repairs needed.

Exterior 9 The top section on the back of the house was missing siding. The
wrap was missing of a window on the East side allowing water
exposure that caused moisture damage and rot. In the sill and partially
in to the wall. The bump out for the windows and door for unit 2
entry off the ramp is sagging. There is also moisture damage and rot
under the door. Unit 1 has moisture damage and rot under the door.
The front door has a section of sill that is rotted away and missing on
the right side of the door and the left side of the door is spongy. The
vinyl corner trim on the back of the house is open at the top allowing
water to get inside the siding and potentially cause moisture related
issues. The brick has a hole near unit 1 entry and random repointing is
needed. The wrap on all the window trim should be caulked to
prevent water intrusion. It is suggested that a "Licensed General
Contractor" be contacted for repair scopes and estimates.
Exterior 10 Majority of the windows are missing screens and have broken
balances. When the windows open they quickly spring closed. Some
of the windows are held up by after market screens. Unit 2 has
missing glass in a sash that will need to be repaired. The windows
will need repairs and many may need to be replaced. Proper screens
are needed for safety. Unit 4 has broken trim around the skylight and
moss as well on the exterior.

Exterior 11 The entry doors for units 1 and 2 need to be replaced. The moisture

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damage and rot beneath the door has caused the sills to separate and
damage the doors. The door in unit 2 has a broken jam and missing
hardware, neither unit 1 or 2 doors operate properly. The door to the
back entry also has lack of support causing the sill to pull off the jam
and will need repairs or replacement as well as framing work.
Roofing 13 Tree branches / leaves were close to or in contact with roof surfaces.
Recommend trimming branches back to prevent potential roof
damage.

Roofing 15 The built in gutters on the back section of the house need to either

have a downspout or be reworked and eliminated.

Roofing 16 Unknown, not entered no access
Roofing 17 Unknown, no access
Heating - Air 18 Units 1 and 4 were operable at the time of inspection. Units 2 and 3
when turned on had an error code of 11. This error code indicates
there is an issue with the ignition and the unit will not light. The units
were last serviced in 2014 according the the writing on them. Units 2
and 3 will need repairs or replacements, and units 1 and 4 will need
servicing.

Electrical 20 The seal at the top of the meter were cracked and need to be redone.
Electrical 21 Some Knob and Tube wiring was observed and being used in the
cellar. Although installation and usage of this wiring was typical at
the time of installation, today's construction no longer uses this out
dated system. Since this older wiring exists with open splices and
limited wire insulation, client is advised to consult with a licensed
electrician (prior to close) for further information on this wiring and /
or upgrading. Client should also contact their insurer (prior to close)
to inquire whether the presence of this wiring affects home insurance
coverage.

Electrical 24 The majority of the electric has been updated, when spot checked it
tested correctly with a ground indicator present. Unit 2 had a
receptacle in the front bedroom that tested as ungrounded. This
receptacle either has a loose wire or is fed from a knob and tube
circuit. It is suggested that a "Licensed Electrical Contractor" be
contacted for further evaluation and repair.

Plumbing 27 The drain lines in the cellar are poorly supported, some of the lines
are pitched up hill. There is still an old gutter drain that dumps in to
the sewer line. The gutter drain should be eliminated and the sewer
line reconfigured without it. It is suggested that a "Licensed Plumbing
Contractor" be contacted for further evaluation and repair.

Plumbing 28 The water heater is located in unit 1's master bedroom closet. The unit
should be moved to the cellar, the unit should be accessible without
entering someones apartment.

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Apartment
Conditions

29 The front bedroom was extremely musty smelling. When the exterior
walls were checks with a moisture meter it detected 73%-93%
moisture in the walls indicating there is water present, water trapped
withing a wall can cause mold and moisture related issues.
Recommend a mold professional be brought in for further testing and
evaluation prior to closing. The master bedroom door is falling off the
hinges.

Apartment
Conditions

31 The range top burner elements have separated from the holders and
are coming off. New elements are needed. The flooring has a lot of
moisture damage and lifting, repairs needed. The Faucet is loose,
sprayer is broken and leaks, missing its mount. The sink base cabinet
is broken at the bottom.

Apartment
Conditions

33 The Tile shower surround has failed and has loose tiles and mold, the
bathroom entry door will not close, the floor tiles are lifting due to
major moisture damage to the sub floor, the faucet is missing an
aerator and sprays water everywhere. Significant repairs needed.

Apartment
Conditions

34 The sink base is damaged and caved in due to moisture. The faucet

and sprayer are broken. Replacements are needed.

Apartment
Conditions

36 The bathroom is located in the room that juts out from the back of the
building. When inspecting the exterior it was noted that water was
continuously dripping out of the bottom of the room indicating a
plumbing leak. When the bathroom was inspected the floor was
spongy and lifting, there was black mold like staining under the
vanity and shower, behind the shower and the toilet was also loose.
The continuous dripping can cause mold and moisture related
structural issues. Due to how and where the building was built any
structural damage could present a safety concern as well. Immediate
repairs are needed. The concentration of the moisture damage and
staining would indicate a leak under the vanity.

Apartment
Conditions

37 The kitchen faucet is loose, moisture damage at the backsplash

behind the sink, repairs needed.

Apartment
Conditions

39 The bathroom floor is soft and spongy and lifting. There is significant
moisture damage to the floor. The toilet is loose to the floor. There is
quite a bit of mildew and mold on the walls and ceilings. When the
lights were first turned on cockroaches were seen scurrying around
the top of the shower and 2 were photographed. It is highly likely that
there are many more then 2 present and a pest control professional
should be contacted for further evaluation and repairs.

Apartment
Conditions

40 There was moisture damage and black staining to the backsplash

behind the sink.

Apartment
Conditions

41 The railings in the front stair well are too low. Recommend covering
the lower units in the stair well with a plexi glass or barrier to prevent
an injury if someone was to fall on the stairs. The back stair well has
a broken stair tread.

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Apartment
Conditions

43 The amount of moisture damage and black mold like staining in the
bathrooms and cellar of the building are a major concern as they can
cause structural as well as health concerns. As well as the high
moisture readings in the unit 1 front bedroom. These items should be
addressed immediately.

Basement 45 The insulation and plastic on the ceiling was full of water and likely
mold on the west side of the cellar. Recommend calling a water
damage or restoration company to remove the insulation and plastic
to let the cellar dry out. Mold remediation may also be needed.
Basement 46 The floors were wet from water intrusion through the foundation and

brick walls. Repairs needed.

Basement 47 Knob and tube wiring present, wires unsupported and hanging from
the ceiling, open electrical splices, missing box covers. It is suggested
that a "Licensed Electrical Contractor" be contacted for further
evaluation and repair.

Basement 48 The lights were not operable. Repairs needed.
Basement 50 There is an old oil tank in the cellar that needs to be removed. There
are pipes in the floor that should be capped or eliminated. Debris
should be cleaned out of the cellar.

Laundry 51 The washing machine pvc drain pipe was leaking at the time of

inspection from recent laundry.

Foundation - Crawl
Space

52 Due to poor exterior grading mostly, the foundation is taking in a
good amount of water through the stones. After the exterior grading is
fixed, the bricks in areas will need repointing on the exterior. The
interior stones will also need pointing to help with stopping the water
intrusion. Continued water intrusion can result in deterioration and
failure of the foundation.

Foundation - Crawl
Space

53 Due to the water leaking into the cellar at joist height many of the
joists and some of the sub floor has moisture damage and rot.
Structural repairs will be needed and joists will need to be replaced.
Any time you have moisture damage and rot mold is also a concern.
Recommend testing for mold prior to work being done.

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*This link comes directly from our calculators, based on information input by the member who posted.

@Tim Herman,@Eddie Gonnella,@Greg SzymborThank you all for your responses! So sounds like we are not overestimating too much on the Cap X being 10% I have the maintenance and repairs at 8% since BP calculator suggested 5-15% So I didn't feel like that was over kill. We do want to be conservative especially since this would be our first property but we are questioning whether its the right one since after figuring in the amounts for cap x, vacancies(4%), and maintenance. Our cash flow is 144.66 and the Cash on Cash ROI ends up being 3.09%. Portland Maine seems to have no problem filling getting renters but let me know if you think the vacancy percentage is too low. I'm all ears!

Some of these amounts seem low in contrast to the rental calculator numbers I get. When I do 8% for repairs and 10% for CapX it equals $498 for repairs and maintenance and $620 for the Cap EX per month. Does that sound right for a 4 unit in portland maine built in 1900?  The total rent per month would be $6200. I guess I'm just trying to make sure I'm not putting aside too much because we are questioning whether we can afford this property since our cash flow is pretty minimum after factoring in these amounts. Any feedback would be great.

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*This link comes directly from our calculators, based on information input by the member who posted.

Thank you for all your input!

Thank you all for your input.  I figured overall it was important to get a few quotes. Since we already have a pre qualification letter from the initial loan officer we talked to does it really matter with the other lenders we get quotes from? And if we find better terms with another lender what is the best way to let the other loan officer down easier do you suggest. Just ask her if she can match or do better than the other offer?