They install fast and you can more easily replace a single piece if it gets damaged.

Looks like a leak but I need to figure out what is going on in there and how much the damage will cost to repair.

No injury, no damages, no need for an attorney

I've saved enough $ such that living off the rental income would be easy (once invested), and in the meantime, I don't spend much $ so this wouldn't effect my finances much.Essentially I was wondering how this might affect my ability to get a loan?

If building new, I would consider using 4" plumbing which would allow for effective use of the real low-flow toilets with 4" traps.

The owner is asking 15k for a home that has severe termite damage and needs a lot of work.

While according to your estimates only 50% of the house was damaged, the entire house would have suffered smoke damage and possibly some water damage.

If they don't pay you for a few months how will that effect your finances and what are the laws of getting that person out of your home and the time frame it takes.

I understand the purchase agreement the homeowner signs allows you to back out of the deal, or renegotiate if you find additional damage, but how do you know?

For example, if BofA were to sell the loan to Wells Fargo, they would use that document to effect the transfer.