Only you can decide if you should walk away. Below is my take on some of the issues:

2.5 inch level differential from left right
corner to back right corner--this is the one that would be huge to me. I would walk just for this reason alone.

Once the roof is repaired, it should take care of the water leaks. That is the source for the moisture stains and insulation damage. Those repairs will be relatively easy to replace/repair once the source of the problem is fixed.

air conditioner and ducts--what is the problem with these?

replacing all can lights (WHY?)

bathroom vents, cracked window, stove vent and kitchen disposal
inoperable--these are all easily replaced/fixed. The cost will add up, but not major in my opinion.

sash lock hardware on windows are all damaged, broken window seals, window sealed with caulk--yes this is all small stuff. If it was the only thing wrong with the house I would be concerned. Given the other issues--not so much.

Also, new windows are not cheap. If you have broken seals with all the rest of the window problems, this is more likely a replace than a repair item.

They came back to you because you are the closest thing to a live one they've seen.

Some people get bored and want a new project. Nothing wrong with that if it is your hobby.

Only you can decide how much of a hobby house you want to take on.

If you needed an inspection to discover the shortfalls, that alone would tell me this may not be for you.

I used to routinely buy 100-year old properties assuming all mechanicals were garbage. As long as the structure was solid, it was OK by me. (But then I was young, single and full of energy!)

If the sale was conditional on inspection, feel free to pound the sellers down some more. But feign dismay and concern. Works lots better than superiourity and smugness!

Any house that would suck up so much of my money and time, leaving nothing or next to nothing for the fun stuff in life like decorating, traveling, entertaining, retirement planning, etc., would be a house I strike off my list.

It is hard to comment since we can't see the real condition of the house. It sounds like it would only be a good deal if you could purchase for land value and then totally gut/remodel the house. If it is such a prime location, it might even be worth it to teardown and build new ... but do you have the time and funds for such a project?

Get a contractor over to review the house and give you an estimate for repairs. Then look at comps for updated, fixed up houses in the area. This gives you the spread. If the numbers don't work, walk away. If the numbers are o.k., then ask yourself if you want to live in the house during construction, or do it yourself-- maybe for years on end. If the answer is yes, then buy the house.

It sounds as if you have renovated before. Worthy is correct in that you should consider everything in the home as needing replacement. And, you should price it accordingly.

If you are looking for a project, this might be it. Just because there is a 2.5" differential in the foundation doesn't tell us enough. I've lived in New Orleans and you would be lucky to find a house that had such a small change. We only got excited when it exceeded 4" and that wasn't a deal killer. The earth moves constantly. In this case, it all depends on where the home is located and what type of foundation is involved.

Get a foundation specialist involved and get some facts. Get a contractor involved and get some prices. That's why there is an inspection period. You can amend the offer to extend the inspection period, too. Once you are armed with information, you can determine if this house is a money pit or a great opportunity. You may also want to renegotiate the sales price if one of these items proves to be really expensive to fix. If it's just piddling stuff, it's not worth renegotiating. Read the thread about 63 inspection items to see the other side of the coin.

Just remind yourself that anything can be fixed. It just depends on how much money and effort you want to throw at it. No your not crazy. There is a whole bunch of us out there that love to take on projects like this. But, not all projects are viable.

Only you can decide if you should walk. You've gotten some excellent advice already.

It sounds like the house has been neglected for a lot of years and it all needs to be updated. I would do as scone suggested and then decide. And I wouldn't rush into it either because it sounds like they don't have anyone else on the hook.

Homechef we are in Mandeville! The inspector said he'd have it looked at but prob ok bc there arent cracks in walls. This morning was rough and now looking a bit better. My insurance carrier said they would not insure the house if the polybutane pipes werent removed. He called a few places while I was there and they wouldnt either. Now he's found a couple and pricing them out. The issues with the pipes are that oxidents can cause them to become weak and brittle and can lead to structural damage. We are on well water so there aren't as much of these minerals than city water. The roofer came out and said it was an easy fix and needed some maintenance- under $400. The air conditioning units have not been serviced. They work. Air guy, inspector, and plumber couldnt believe how it was put together. Zip ties, wrong fasteners, leaking, sucking dirt from the attic, basically cooling the attic exposed coils. It was comfortable. They showed us a bill and it wasn't bad, but one time when we left the realtor said she needed to turn it back up to 77. They are nearing the manufacturers warranty. So we would have to replace in next couple of years. The ducts are original to house. They are made of fiberglass. They are cracking and splitting causing fiberglass to be discharged into the air. Fiberglass is a carginogen. so this is a health/safety issue. This is what they said about the can lights. They are very pourous allowing fiberglass fibers, volatile organic compounds, and un-conditioned air to enter the living space below, correction must be required.

Decision made. If insurance companies don't cover bc of these pipes that really says it all. You guys really gave good sdvice. This is a great website!

I'd buy it too! Despite the mechanical issues it's stunning.

Absolutely gorgeous!

mrsmargarita, now that the seller knows about the pipe issue, they are required to disclose it. How much would it cost to replace the pipes? I ask because if you still want that gorgeous looking house, it might be worth them dropping the price to cover replacing all the pipes, the can lights and the other Major issues. If they don't, they will wind up having to drop it anyway.

Another thought is what would the land without the house cost vs the land plus the house?

a) it IS stunning

b) I'd walk

c) unless I'd be young, energetic, calm as an elephant, and independently rich

Who is this "scone911"? If this is your first time posting here, you did so by hitting the nail on the head! This would be my advice to my client too.

"Get a contractor over to review the house and give you an estimate for repairs. Then look at comps for updated, fixed up houses in the area. This gives you the spread. If the numbers don't work, walk away. If the numbers are o.k., then ask yourself if you want to live in the house during construction, or do it yourself-- maybe for years on end. If the answer is yes, then buy the house."

What a beautiful house! Just remember that even Fallingwater had massive problems. But that said, I am not as idealistic nor young as I once was, and I'd walk, too.

That house is fantastic and the property looks great. Really, you are doing the right things getting estimates. I might get a contractor out there to get a quote on doing everything it needs and also talk to a LOCAL realtor to get an idea of resale value assuming all improvements were done. Then it's a financial decision in the end and only you can answer whether it is worth it or not to you -- don't stretch yourself out too much though.

My contractor friend said walk. He said it was beautiful-which we all agree on. Being a cedar house, it will require a lot of maintenance. There also other dangers such as the well or septic tank having problems?Land is abt 64000-75000. The closer houses are all mostly under $400000. My husband hates doing projects and would hate living among renovations happening. I love it. But he has lost confidence now. They called back and said theyd drop $10000. That won't go very far.

It's just the crazy way this whole thing got started- I thought it was supposed to happen.

Let this be a lesson for all homeowners... do not put off maintenance. You will pay for it sooner or later.

Unfortunately for the seller they most likely will wind up dropping it a lot more than they are willing to drop it now. May I ask what they are asking for it?

The flat roof is likely to be a higher maintenance issue too, and it sounds like the AC and duct work should all be done now. Anytime you have roof issues and leaks, you are on notice that you could have mold and/or pests (termite or other) behind those walls. And then that foundation -- that is a significant variance.

Beautiful place, but I'd walk unless it was priced for all those problems and I was willing to take on a very large project.

Just commenting on the can lights- putting in LED inserts using the original cans is an easy fix and creates a great seal if you caulk the edges. Otherwise, all can lights are leaky unless they are ICAT, which most aren't. I would consider those can lights probably within expected status for that house.

What are they leaking? I have them in several rooms in my house and 13 yrs later, they're still fine!

Mrsmargarita, That house is gorgeous. Now that I see pictures, I understand why you are drawn to it. I have a better understanding of the issues given that it is located in Mandeville. My homes were Uptown.

Your biggest issues are does the lot flood? Does it drain? Does the roof pitch allow water to flow off the roof? Are there sufficient gutters to get the water away from the foundation and are they of sufficient size? What about termites?

We had a home inspector that was also a structural engineer. He did most of the work Uptown in the 90's and 2000s. He was the source of the 4" foundation comment above. People from other parts of the country just won't get some of the unique issues of the area. Don't be put off on the foundation issue.

That can light issue is bogus. You are going to need to replace the duct work anyhow. Modern duct work won't last forever in the heat of South Louisiana. Sheet metal ducting will last, but it still needs to be reinsulated. With the LED inserts for can lights available at HD or Lowes, it's no big deal. They just screw in the can and you caulk the edge. The HVAC units are working. Just because they are near the end of the warranty doesn't mean they won't work for a long time if properly serviced and maintained. I'm glad you had an expert out rather than taking the word of a general home inspector.

As long as the poly piping is still working, if it was properly installed in the first place and isn't disturbed, it's not a problem, yet. It can be replaced. I think that may be a subject for a further adjustment in the pricing. That's the only issue that is problematic and it can be fixed with some effort.

Now that I see the house, I get it. It's a great candidate for an update and project. It's a question of the price. This is a renovation. It's built in a style that is not appreciated by the local market. Renovators don't come along too often. If the termite inspector gives you a go ahead, I'd go for it. Just remember you make your money on real estate when you buy it, not when you sell it.

It's a stunning house. I love contemporary architecture.

But as someone who retired early and is enjoying an untrammeled life with a paid-up home, I can honestly say, I wouldn't buy anything that large, that was poorly maintained, and saddle myself with a new mortgage and a lot of remodeling expenses that could have gone into my IRA instead.......

I loved homechef59's last sentence. I wish more potential homeowners would realize the truth of it. Heck, I wish we'd known that before we bought our (first and only) home!