Here's an interesting one: who is responsible -->My client sold a 4plex - in the negotiations they agreed to cover costs for a Home Warranty for the new buyer. 60 or so days later - the property closes at a title company.

Do you have pictures If you post pictures then I might be able to Guesstimate 

The insurance companies are not going to cover anything if there is an issue.

Charge an application fee high enough to cover the cost of screening.

Importantly, these companies also buy insurance to cover the cost of buying out the exiting partner.

Would a renters insurance policy have covered an incident like this? 

FHA, VA, and Conventional mortgages each come with their own set of rules and requirements or the condition of items such as the roof, plumbing, appliances, peeling paint, floor coverings, etc.

Homeowners insurance will cover only the dwelling such as the walls and floor/roof and everything permanently attached to it.

It is about $300 a year covering maintenance issues and a $50-$75 each call fee.

@Eddie Delaney Great work Eddie, fun to see the pictures of the completed project.