It covers all damages and loss regardless of cause - which does cover loss of use as well.Insurance – Owners have obtained insurance to cover fire damage to the building itself and liability insurance to cover certain personal injuries occurring as a result of property defects or owner negligence.

I certainly don't know it all, ....hopefully not the "pretty much anything" part, it may be a personality defect, LOL....but it is amusing.....good stuff Seth!

States vary in their laws on things from disclosure of material defects.

If you're concerned about them hiding some defects in the property, then you should have it inspected. 

For me, the lower priced homes that are ugly without structural defects in C or upper D neighborhoods give the best return for the investment.  

Hi Patrick, Due to some issues with manufacturers defects and previous laws there is a very small availability of Condos and Townhomes in Colorado.

I think keeping an eye on the condo defect legislation will be critical for MF and SFR investors in CO.  

Those issues have been debated extensively, including in this thread here:http://www.biggerpockets.com/forums/311/topics/188984-denver-condos-and-construction-defects-law

You must run the numbers to see if the deal makes sense, but from a negotiation perspective, you can send the listing agent & seller photographs of the sewer line breaks, and inform them, that if they decide not to move forward with your offer, that in principle, they are required to disclose that defect to any future prospective buyers.  

(If he won't give you a figure, write in whatever you this is fair).Second of all, disclosure about material defects like structural issues are absolutely necessary.