the kicker was that your roof could still get hail damage and it might not cause a material defect in the shingle so insurance would not pay to replace it.  

Yes 2009...conventional wisdom would say defective or Chinese drywall (CDW) installations ended in 2007.  

It is a material defect and failure to disclose could get you sued at the end. 

Also, when conducting one's due diligence, what information are you looking on for the house and how are you finding information re: liens, encumbrances or title defects?

When touring homes in East Oakland I notice there is a higher concentration of defects on the property than some of the neighboring areas(Tampering with electricity is the most common I see)- If Oakland comes in and makes owners bring these homes up to code before owners are able to make $ off of them then one could expect this to impact home values and rental rates!

The law says I must disclose all known defects, and while there will be little to no known "defects" when I sell this house, California disclosure forms ask the question "were there any defects in the past that have been corrected". 

A missing door casing might be overlooked, while a non-operating window will be flagged. 3: Some inspectors find every defect, while others miss obvious problems that you were likely to address in your rehab anyway.

Ultimately, defects in the property could increase the chances of the buyer defaulting on payments and losing the home.Another risk for contract for deed buyers stems from the fact that the seller retains the title to the property during the life of the contract.

But it's also can be like being born with a heart defect that no one detects until a super healthy 18-year-old athlete drops dead playing basketball. 

Disadvantage of the old apartments is that they have often defect and stability issues, but again, therefore, it is so important to buy a national monument protected building.