This is what the current owner A told me about the current situation, let me know if I am clear to buy this property , it is a great deal, should I take the risk?
The home is in a high end area on the hills with a gated HOA, built 20 years ago. The cross street's owner B had a swimming pool and they decide to fill it about 3 years ago. Not sure if they have permit, but definitely the contractor not doing the right thing, instead of using dirt, he filled with a lot of foam. It caused landslide when rain comes. B moved out of the house and B tried to sue builder, but it is over 10 year's limits, he tried to sue contractor filled the swimming pool, but that guy out of business. So 3 years ago, he started sue the HOA, seems that law suit goes nowhere. B started sue neighbors about 6 months ago. The claims is neighbor watering their lawn too much and caused soil softing and landslide.
A property and B property are cross street, street is pretty wide, about 3 or 4 car wide, A and B are about same elevation(A might couple of foot higher, hard to tell), the street has very good storm drainning system and goes a slow downhill slop, so water won't stay.
A said his insurance is defending the case now. I have title company checked the A property, cannot find any lawsuit. Is there any big risk to buy this property for investment? Can B sue me or any future buyer? Will I have trouble to get insurance?
Thanks!
