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Sellers provided upfront inspection

Hi all - my husband and I are interested in a very vintage 1960 ranch home in one of our cities best neighborhoods (in CA). The home is priced at $625k and is on .25 acres. Nearby homes are on .25 and .50 acres and estimated in the 600s and 700s per Zillow (I know, not a great indicator but not a lot nearby has sold recently). There was one recent sale a few blocks away (location only slightly less desirable) with a similarly sized house and lot, but completely updated for $585k.

The sellers of the home we are interested in have provided an upfront inspection because of the home's condition. They are willing to accept an offer at list price and open to negotiating some repairs, or they are open to an "as-is" deal at a lower price.

I am trying to assess whether the significant issues listed in the home inspection are worth dealing with for an incredible location and great neighborhood. We haven't made our offer yet. But based on the bids the sellers received and some of my research I've come up with the following:

Galvanized pipes - I'm thinking $8k–$15k?
Small roof leak (Roof is ~10–15 years old) - Bid to fix and certify: $2000.
Electrical panel (Zinsco) & wiring defects Bid to replace: $5,600.
Water heater end of life expectancy and not up to code - maybe $2k–$4k to replace?
Furnace: ~11 years old - needs some maintenance but operable.
Subterranean Termites near front of home (can't confirm if active) & some dry rot damage. Bids to resolve: $1,325 + ~$395.
A few small drain & plumbing leaks.
Some exposed wiring, missing GFCIs, ungrounded outlets.

Is this just too much work for a good location? Not sure if we can get sellers to budge on the price or repair/provide a credit that will be meaningful enough.

What do you all think?

submitted by /u/-msmint-
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source https://www.reddit.com/r/RealEstate/comments/1m5cu2z/sellers_provided_upfront_inspection/

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