At the last stage of the deal. Condo disclosure indicates the building has a leak in the 4th floor green roof (has plants, fountain, patio sets, etc). The water goes down to garage. The condo is suing the developer for repair, meanwhile the condo has spent quite a lot of money for investigation, tempoarary fix, etc. I am paying cash, but I know there is a lender just reject another offer in the building for this reason (although I have no knowledge of how much down payment, the borrower's credit score).
The risks that I will take:
1) Money to pay for the repare of the leaky roof if the condo loses the law suit. It is a high rising with 200+ units. But there still will be significant amount of money I guess.
2) Difficult to do cashout re-fi since I will have hard time to convince the lender as well.
Updates:
My realtor and attorney come up an idea to ask the seller put $10,000 in escow account towards any future repair spending.
I don't need to sell the condo in 3-yrs. But in certainly situations, I may have to. The sale price is aleady 5-10% lower than marker price, can I ask more?
Thank you for your suggestions
