It was mostly good news, with nothing on there I didn't expect except that the water pressure is really bad, as are the drains, because of the galvanized pipes original to the house.

Peer pressure?

In the economic downturn the insurance carriers were looking for insurance premiums which created downward pressure on the premiums.  

If it has galvanized plumbing it will usually be pretty rusted and the place will have bad water pressure.

But must be verified by 60 day history, and must be a gift with no requirement to pay back.Reserve Requirements 3-4 Unit owner occupied properties must have 3 months PITIThree (3)- and Four (4)-Unit Property The maximum mortgage amount for the three (3) - and four (4)-unit properties is limited, so that the ratio of the monthly mortgage payment, divided by the monthly net rental income does not exceed 100%, regardless of the occupancy status.Livable Conditions The property must demonstrate the following characteristics: A continuing and sufficient supply of safe and potable water under adequate pressure and of appropriate quality for household uses.Sanitary facilities and a safe method of sewage disposal.

This is not an area where a landlord has to deal with nonsense from tenants, again this is a solid class B area.Since we knew the tenants were his pressure point and thus we countered his 157k with one of two optionsOption 1: We will pay 127k with the contingency that the house be vacant upon sale. 

I would use the city code enforcement to apply pressure and sit down with someone from HUD to work it out.

Not to hijack the thread but I'm curious about people's opinion on investing in Mount Vernon.

@stevejones oh man i cant believe im about 2 months late to this post I didnt realize there were replies to my own thread haha  - I just listened to your podcast episode last week I grew up in a lot of the areas you are doing your work in and also have a few investments in echo park (although growing up in the glendale/lacrescenta area we never thought of it as anything but gangland haha how things change). what are your thoughts of the river renovation and the mount Washington area... all hype or some real opportunity?  

My plan was to pressure wash the walls, Drylock the seeping areas and repaint all the walls with a mold inhibiting paint.