Knob and Tube..non-disclosure

[casdy1]

What is the name of your state? NC

We are buyers. Inspection revealed knob and tube wiring in obvious bad shape with many signs of makeshift modifcations. If the sellers knew about this should this have been disclosed. They are refusing to give earnest $ back.

Can we file Liz Pendance?

 

[JETX]

We are buyers. Inspection revealed knob and tube wiring in obvious bad shape with many signs of makeshift modifcations. If the sellers knew about this should this have been disclosed. They are refusing to give earnest $ back.

And what EXACTLY does the purchase agreement say as to inspections and earnest money???

Can we file Liz Pendance?

Depends on whether you have her phone number or not. I went to school with her and she is a hell of a fine lady!!!

If your attorney (and you will need one) feels you have a sufficient claim to file a breach of contract suit against the seller, you can file a LIS PENDENS!!

lis pendens
(lease pen-dense) n. Latin for "a suit pending," a written notice that a lawsuit has been filed which concerns the title to real property or some interest in that real property. The lis pendens (or notice of pending action) is filed with the clerk of the court, certified that it has been filed, and then recorded with the County Recorder. This gives notice to the defendant who owns real estate that there is a claim on the property, and the recording informs the general public (and particularly anyone interested in buying or financing the property) that there is this potential claim against it. The lis pendens must include a legal description of the real property, and the lawsuit must involve the property. Otherwise, if there is a petition to remove the lis pendens from real property not involved in the lawsuit, the plaintiff who originally recorded a false lis pendens will be subject to payment of attorney's fees as a penalty.

 

[casdy1]

RE: lis pendense

And what EXACTLY does the purchase agreement say as to inspections and earnest money???


10K earnest $. We have an inspection contigency. If defects exceed 10K, we can get out of contract and have earnest $ returned. Sellers feel that knob and tube wiring is acceptable...we disagree. Electrical inspection is somewhat vague. If wiring replaced would easily exceed 10K limit.

Sellers do not seem to have any incentive to release $. Lis Pendens may motivate them a little.

What do you think?

 

[HomeGuru]

And what EXACTLY does the purchase agreement say as to inspections and earnest money???


10K earnest $. We have an inspection contigency. If defects exceed 10K, we can get out of contract and have earnest $ returned. Sellers feel that knob and tube wiring is acceptable...we disagree. Electrical inspection is somewhat vague. If wiring replaced would easily exceed 10K limit.

Sellers do not seem to have any incentive to release $. Lis Pendens may motivate them a little.

What do you think?

**A: get an inspection and estimate from a licensed electrical contractor for Romex wiring to replace the knob and tube, then terminate the contract using the inspection contingency. If your earnest money is not returned, file mediation, arbitration or litigation for breach of contract.

 

[casdy1]

knob and tube..I want out

**A: get an inspection and estimate from a licensed electrical contractor for Romex wiring to replace the knob and tube, then terminate the contract using the inspection contingency. If your earnest money is not returned, file mediation, arbitration or litigation for breach of contract.

What if the sellers will not let me in the house for another inspection?

Oh and by the way...I also discovered that there is a half-way house across the street (10 min after I received the inspection reports). Can I use this as additional reason to legally terminate contract, or should I not mention it? This is another reason I want out. Otherwise I would settle for the seller replacing the wiring and buy the house.

Thanks

 

[annefan]

We have an inspection contigency. If defects exceed 10K, we can get out of contract and have earnest $ returned. Sellers feel that knob and tube wiring is acceptable...we disagree. Electrical inspection is somewhat vague. If wiring replaced would easily exceed 10K limit.
What do you think?

I think it's insane for a buyer to accept the first $10,000 responsiblity for defects/repairs on an inspection contingency, that's what I think.

 

[casdy1]

The sellers have to pay for the 1st 10K of repairs, but we (buyers) do not have an automatic out unless it exceeds 10K.

 

[onthelakeinnc]

Did you use the NC standard form 2 for your offer to purchase?

Having a half way house accross the street is not a material fact. That is something that you as a buyer should have investigated.

The contingency was that made on the Additional Provision Addendum or did you write something up yourself?

 

[casdy1]

It (the half-way house) is not our legall justification for getting out of the contract, however it is the reason why we are terminating the contract for repairs over 10K vs. having the seller make the repairs.

Do you think our buyer agent should have mentioned the halfway house? We asked him and he said it was an apartment building and not to worry. he sells alot of property in that area and should have known.

Thanks.

 

[HomeGuru]

It (the half-way house) is not our legall justification for getting out of the contract, however it is the reason why we are terminating the contract for repairs over 10K vs. having the seller make the repairs.

Do you think our buyer agent should have mentioned the halfway house? We asked him and he said it was an apartment building and not to worry. he sells alot of property in that area and should have known.

Thanks.

**A: yes, your agent should have been forthright with respect to the specific occupacy use of the property.

 

[casdy1]

Is the seller obligated to disclose the halfway house?

 

[JETX]

Do you think our buyer agent should have mentioned the halfway house?

If he knew its real purpose, yes, he should have mentioned it.

Is the seller obligated to disclose the halfway house?

Possibly. However, since this specific circumstance is NOT stated in the law (see below), the only way to determine whether an obligation exists is to get a court to rule.

Section 27-50-40. (A) The owner of the real property shall furnish to a purchaser a written disclosure statement. The disclosure statement must contain the language and be in the form promulgated by the commission and the form may be delivered electronically through the Internet or other similar methods. The commission may charge a reasonable fee for the printed form but shall post the form for free downloading on its public website. The disclosure statement must include, but is not limited to, the following characteristics and conditions of the property:
(1) the water supply and sanitary sewage disposal system;
(2) the roof, chimneys, floors, foundation, basement, and other structural components and modifications of these structural components;
(3) the plumbing, electrical, heating, cooling, and other mechanical systems;
(4) present infestation of wood-destroying insects or organisms or past infestation, the damage from which has not been repaired;
(5) the zoning laws, restrictive covenants, building codes, and other land-use restrictions affecting the real property, any encroachment of the real property from or to adjacent real property, and notice from a governmental agency affecting this real property;
(6) presence of lead-based paint, asbestos, radon gas, methane gas, underground storage tank, hazardous material or toxic material, buried or covered, and other environmental contamination; or
(7) existence of a rental, rental management, vacation rental, or other lease contract in place on the property at the time of closing, and, if known, any outstanding charges owed by the tenant for gas, electric, water, sewerage, or garbage services provided to the property the tenant leases.