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What they're doing is the minimum requirement stated in their code book. I asked them to put plastic sheath around the foundation & they refused.
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The code is one thing they can't stand by since you are having water infiltration. Contact the county and have their inspector come out and certify the foundation.
Go to the county planning office. If its run correctly, they should have land surveyor notes on the infiltration rate of the soil. If not contact a surveyor.
Is there mold dust on the wood yet? Have you done a mold test yet?
Runoff, Factors Affecting - river, plants, source, human
Cracked Foundation Repair
Your realtor is supposed to represent you until the end.
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What should I do if the worst has to happen?
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Hire a RE attorney NOW. The $10k you put up will be a future loss if this is not resolved. IMHO if you close on this house, you will lose more than $10k down the road trying to re-sell this home.
What state and county are you in?
What does the contract the realtor wrote up state about final walk throughs and quality of construction issues?
Worst case down the road: Someone will need to install a sort of french drain on the inside of the foundation walls. The ground will need to be sealed. The wood will need to be sealed. Piers may be needed to stabilize the foundation if cracks develop, if the mortar is washed away, if the footers are damaged, etc.
Sorry to be pessimistic. But looking at the damp spots on the cinderblocks means that water is filling the holes in the cinderblock, hitting a certain level and soaking through the cinderblocks.
If this is so "normal" why isn't a de-humidifier installed in the air handler??
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Why not call the building inspector in Cary and ask him where he is at with it? I will say, that there is no way that they can leave a bunch of crap in teh crawlspace in Cary and get a CO, unless they have changed things pretty drastically, so they will have to deal with it eventually.
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You were given this advice in March. What happened then?
I guess you are in Wake according to your posts
http://www.wakegov.com/inspect/
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