All Forum Posts by: Vikram Aryan

Thank you everyone!

Thank you folks, appreciate your your responses.  

Thank you both for your advice. Looks like we will have to bear the cost unfortunately.  The units are not too too old, 2004 built.

Follow-up question: in multi-unit properties, is it recommended to inspect every single unit?

Hello,

Thank you in advance for the support this community offers to new investors such as myself.

We purchased a 8-unit multi-family property in Q4-2019. During the purchase process, we only got access to 2 units for inspection. Fast forward to Jan-2020, one the units (which was NOT inspected) were vacated by the tenant stating that there is mold/mildew in the shower. Note that this is ground level unit and there was a theory at first that external moisture is causing it so we tried to work with the HOA. One thing led to another, we are now uncovering that the mold/mildew build-up is substantial and has spread to the adjacent closet. We are now told that the Shower Pan Liner needs to be replaced, for which we received a quote of $10k!

Few questions:

• >> Is this something homeowners insurance will cover?
• >> Is there a disclosure for mold/mildew that we should have asked for at the time of purchase(just like we do for lead paint)?  Can we go back to them now?
• >> Given that the root cause is bad installation, would the HOA share/cover the cost?
• >> Finally, I know we let the tenant off the hook already, but should we have held their deposit?

Any advice will be much appreciated.  TIA!