And the city has already announced cutbacks, so it could take longer if the staff gets hit with reductions. 

If it is safe, how do I negotiate with the seller for a lower price (Can I ask 10-20% reduction?).

I had an inspector once find issues that resulted in $47k price reduction.  

Actually they can, in the form of Costs and Fees reduction. 

I'm working with a seller and they are offering a price reduction or to pay for points. 

This study does not take into account price reductions, sales that have terminated and come back onto the market, and inventory carryover from previous months, but it offers a very quick and easy look into buyer’s and seller’s activity levels.

They net more money than a price reduction and you get lower payments. 

For that I do direct mail to MLS listings that have been up for at least a month with no price reductions.

If they don't take responsibility to remedy the situation, then prepare to negotiate either a price reduction or lease termination - without penalty - and refund of your deposit.

The 10% management monthly management fee is well worth my time and reduction in stress.