I came up with a defense that the restrictions had a technical defect rendering them unenforceable. 

Based on the defects you mentioned I'm sure the appraiser is going to call out the obvious water leaks in the property, especially if you're using FHA financing.Is this your first property, and how much are you willing to spend on the rehab budget?

@Chris Young I would not say "as-is" should include defects.

I've seen them come in for over $1,000--if it makes you struggle, ask for a payment plan.Or you cold try to push it down on the renters, but the defect seems to me to be on your pipe, and beyond the control of the renters.If it were leaking inside the house and they were just (sitting around for a month watching the Price is Right on TV and drinking beer) ignoring it, I'd (try to) pass it on to them.I say try to because they may not be able to pay it--(for instance, 60% of the renters in California have income way below the Federal Poverty Guidelines). 

Hi Rami,That may difficult because you are buying the property as-is with liens and defects with no warranties.

She explained how that duplex had a title defect so the sale fell thru, but asked if I was interested in a cheap piece of land with a boat slip, and I said sure!

The contract then specifies how to resolve it if there are defects.

Another pro-tip, you can also use this knowledge and information to help negotiate a better deal during the acquisitions processes, especially when working with other realtors, because the seller is then required to disclose whatever latent defects they are aware of.

Make arrangements to watch tenant turn on the alleged defective burner.

Most rental property you look to buy will have defects.