A house with "broken bones" is the money pit you must run from. If a house has major structural, geological, or severe foundation or environmental problems, you don't want it. These will cost you. Even if you get the house cheap, the problems never go away and are sometimes impossible to fix no matter how much money you throw at them. Whatever the market, you will have to sell it for less - just like the guy who sold it to you.
Of course any problem can be fixed. It's just a question of what it takes to fix it. Besides the expense, you'll need full permits and approval for every stage of renovation by the city inspectors. And major structural flaws can cover up underlying and costly issues.
Here are my Red Flag Reasons NOT to Buy A House:
- Structural Problems That Are Beyond Repair Economically
- Foundations that are not built on slab or concrete footings
- Major shifting due to poor foundation work
- Unsolvable drainage issues and flooding of the basement