home inspection question?

The first thing I would do if I were you is get a HVAC company that is very honest and reliable and ask them to come out for a second opinion. If they also come up with the same result (I doubt they will- I bet the first company doesn't know what they are talking about) then you will probably have to pay the $3000. I have decades of experience with the companies that home warranty companies send out. SOmetimes they are good companies but often they are not good at their job at all. The home warranty companies hire the lowest bidder to do these jobs and that is not the ones with the heaviest workload- it is the company that can not find any customers on their own.

I hope you get a better answer than mine, since I have only some suggestions.

First is that local laws govern. Yet you did not state your location. ...

Second is you need to research the installation of the heater. Who, when, where.

Third is you need to research local codes and laws.

Fourth is you need to get at least two more HVAC quotes in writing. Make sure (this time) that they have good reputations. I use Angies List, fwiw, and the BBB.

You state "We began having some problems..." Everything has a life-time. Perhaps your heater just finally failed. What is the warranty on it?

I have no idea why you think a vague statement "The seller provided a home warranty." means anything without more details. Read the contract. That is what you (or is it she?) have? If it covers the repair, then you have reason to sue them.

The inspection company also sounds as if they dropped the ball. If it is REALLY out of code, then they are liable for not catching it. I have no idea whether there is ANY validity to the claim that the work was done without permits. So what? Either it IS or is NOT in code compliance. You are under no obligation to prove that a work permit was obtained as far as I can see; the burden is on them to prove is was installed in violation of local regualtions, and that its installation has any relevance to it not working now.

So do more research. Read the papers you signed.

The following parties might have some liability

1. little old lady

2. her realtor

3. inspection company

4. warranty company

5. installer

6. heater manufacturer.

The facts need to be a whole lot clearer for me to have any opinion. Get the facts. These things usually turn out that some dollars are obtained from several sources, with you not being made whole.

For the chump change you are talking about, it is probably not worth getting to exercised about. So be patient and calm. OH!! One last very impoortant thing! Get a notebook and start logging every single thing you do with this. Every phone call. Number. date. time. Company. Name of person you talked to. What questions you asked. (Be sure to spend some time before the call, preparing (write them down, I suggest) questions and when they answer write that next to questions. Make sure you make a record starting today!

Call a heat and a/c company, preferably the one that manufactured your unit. Also call a repair company that specializes in HVAC problems. Get an opinion on what's actually wrong, how it can be fixed and then contact your real estate agent, home inspection company and home warranty firm.

Give them the option of paying for the repair or paying for a new unit.

I think you have a mess on your hands. The little old lady is not responsible for this situation. She did not represent that the furnace system met codes. Your home inspector does not check for code compliance either. That's not his job. The inspector merely analyzes the various components of the home and informs you of their general condition. He's not expected to know if they are code compliant or not.

The home owner warranty people ? They will do ANYTHING to avoid paying a claim. I'd suggest another opinion from an HVAC firm NOT hired by the home warranty people.

In addition to everything that has been said, check the contract you signed with the home inspection company - most companies bury a clause that relieves them of any liability for repairs for missed items - their liability ends at refunding the cost of the inspection. Here is a typical clause:

The liability of Inspector’s principals, agents, and employees is also limited to the fee paid. This limitation applies to anyone who is damaged or has to pay expenses of any kind because of mistakes or omissions in this inspection and report. This liability limitation is binding on Client and Client’s spouse, heirs, principals, assigns and anyone else who may otherwise claim through client. Client assumes the risk of all losses greater than the fee paid for the inspection. Client agrees to immediately accept a refund of the fee as full settlement of any and all claims which may ever arise from the inspection. Any refund paid, is not, necessarily, an admission by the inspector of an error, omission, or mistake.

Short of sueing her or the home inspector you will have to pay for it yourself. Even if you sue you still may not win and law suites drag on, so even if you do it will be spring or summer before the case is settled. So in the long run you will have to pay for it now yourself then try and get reimbursed later.

Unfortunately both of them are correct....this is going to be a $3k expense out of your pocket.