Selling a House with a Failed Sewer Inspection in Texas

Dennis Shirshikov

The dreaded phone call or email has arrived: the sewer inspection failed. Your straightforward home sale has transformed into a complicated mess of potential repair costs, difficult conversations with buyers, and the fear that the transaction might collapse. Questions race through your mind: How much will repairs cost? Do I have to fix this? Will anyone want my house now?

Your feelings of anxiety and uncertainty are valid. A failed sewer inspection is a serious but common issue in Texas homes, especially those built before the 1980s. This doesn't mean your house is unsellable. This guide will walk you through selling a house as is with a sewer inspection fail in Texas, covering your legal responsibilities, practical options, and the simplest path to close this chapter and move on.

What a Failed Sewer Inspection Means in Texas

A sewer scope inspection involves running a specialized camera through your main sewer line, from your house to the municipal system at the street. This inspection is standard for Texas home buyers, as replacing a main sewer line can be costly and disruptive.

Common Causes of a Failed Sewer Scope

  • Intrusive Tree Roots: Texas has many mature trees like live oaks, pecans, and cypress that seek water. These roots can infiltrate cracks in your sewer pipes, expanding them and causing blockages or complete failure. Homes with large trees within 20 feet of the sewer line are particularly vulnerable.
  • Old or Degraded Pipes: Many older Texas homes have cast iron pipes with a lifespan of 50-75 years. Over time, these pipes rust from the inside out, leading to deterioration, cracks, and collapse. Another common material in older Texas neighborhoods, clay pipes, becomes brittle with age and is prone to cracking.
  • Shifting Soil and Foundation Movement: Texas's expansive clay soils contract during drought and expand during rain, causing ground movement that stresses underground pipes. This can cause pipes to disconnect at joints, crack, or develop a sewer line belly, a depression in the pipe where waste collects instead of flowing properly.
  • Major Blockages or Collapse: Years of grease, debris, or foreign objects can create stubborn blockages that damage the pipe. In severe cases, a section of the pipe may have completely collapsed, preventing any flow and requiring immediate intervention.

Your Legal Duty in Texas: The Seller's Disclosure Notice

Many sellers mistakenly believe that selling a home "as is" means they can avoid disclosing known problems. In Texas, this is not true. An "as is" sale means the buyer accepts the property's current condition without requesting repairs. It does not exempt sellers from their legal disclosure obligations.

Texas are required by the Texas Property Code to provide a Seller's Disclosure Notice to potential buyers. This standardized form asks specific questions about the property's condition, including known plumbing defects. Completing this form honestly and thoroughly is mandatory.

In a Texas seller's disclosure sewer issue, you must be forthcoming. A failed sewer line significantly impacts the property's value and function, making it a material defect. You are legally required to disclose the failed inspection report and any quotes you've received. Failing to disclose known defects exposes you to legal liability, including lawsuits for fraud and misrepresentation long after closing.

Your Three Paths Forward When Selling a House with Sewer Issues

Now that you understand your legal responsibilities, consider your options. There are three strategies for handling a sewer issue when selling your Texas home, each with its own balance of time, money, and stress.

Option 1: Repair Before Selling

This traditional approach involves hiring contractors to fix the sewer line before relisting your home or continuing with your current sale. The process includes getting quotes from licensed plumbers, selecting a contractor, pulling permits, and managing the repair work, which can range from minimally invasive trenchless repairs to extensive yard excavation.

The cost to repair a sewer line in Texas varies based on the issue, pipe length, depth, and repair method. In 2024, trenchless pipe lining (less invasive) costs $80-$250 per foot, totaling $3,500-$12,000 for an average line. Traditional "dig and replace" methods range from $50-$450 per foot, costing $5,000-$30,000 for a complete replacement, plus landscape restoration costs.

Pros:

  • Restores your home's full market value
  • Appealing to traditional buyers wanting a move-in ready home
  • May provide documentation of proper repairs with warranties.

Cons:

  • Requires significant upfront cash investment
  • Projects often face unexpected complications, delays, and cost overruns.
  • Disruptive to your property and daily life
  • No guarantee of recouping 100% of repair costs in the sale price.

Option 2: Offer a Credit or Price Reduction

This approach involves continuing with your sale while acknowledging the sewer issue by reducing your asking price or offering the buyer a closing credit for repairs. You'll need repair estimates for negotiations, but you won't complete the work.

Pros:

  • Avoids upfront repair costs
  • You will not manage contractors or deal with repair hassles.
  • May appeal to buyers who want to choose their own contractors or repair methods.

Cons:

  • Buyers demand credits of 1.5-2x the actual repair quotes to account for their risk and inconvenience.
  • Many retail buyers will walk away regardless of credit offers because they want problem-free homes.
  • Can complicate financing, as some lenders may refuse to approve loans on properties with significant sewer issues until repairs are completed.
  • The negotiation process can be stressful and prolonged.

Option 3: Sell Directly to a Cash Home Buyer

For Texas homeowners with sewer issues, the simplest solution is to sell directly to a professional home buying company. These investors specialize in buying houses with plumbing issues and other property challenges. They assess your home's condition, factor the repair costs into their offer, and purchase the property as-is, sewer problems included.

Pros:

  • No repair work or contractor management required
  • No real estate commissions or closing costs
  • Fast and certain closing (within 7-14 days)
  • No risk of the deal falling through due to inspection or financing issues.
  • Simple process with minimal paperwork and hassle
  • Complete certainty about your net proceeds

Cons:

  • The cash offer will be less than the top market value of a fully repaired home.
  • Less opportunity for competitive bidding among multiple buyers

The Simple Solution: Sell Your Texas House to GetHomeCash, Sewer Problems and All

When facing the stress of a failed sewer inspection, you don't need more complications. The repair quotes are piling up, your buyer might walk away, and you're worried about correctly completing disclosure forms to avoid liability. It's overwhelming, especially when you want to move forward.

At GetHomeCash, a failed sewer inspection isn't a deal-breaker; it's just a line item in our calculation. We handle complex situations across Texas, from Houston's aging infrastructure to Dallas's clay soil challenges and San Antonio's root intrusion problems. Our team has seen and solved it all.

Instead of calling plumbers, contact us. We buy your house as-is. No repairs, cleaning, or worrying about a failed sewer line. Instead of waiting months for repairs and restarting your sale process, you can close in as little as 7 days. Instead of paying for sewer repairs and agent commissions, you pay zero fees when working with us. We handle the paperwork, including the disclosure, as part of our process.

Are you overwhelmed by sewer repair quotes and disclosure forms? There's a simpler path. At GetHomeCash, we buy Texas homes with complex issues, including failed sewer lines. Skip the repairs and uncertainty. Get your fair, no-obligation cash offer today and see how easy it is to move on.

FAQs

Q1. Can a buyer back out of a contract after a failed sewer inspection in Texas?

Yes. If the buyer discovers this during their option period, they can terminate the contract for any reason and get their earnest money back. This 5-10 day period allows buyers to conduct inspections and walk away if they find unacceptable issues.

Q2. Do I have to use the contractor recommended by my buyer's agent?

No. If you choose to make repairs, you can get your own quotes and select your own licensed and insured contractor. Get multiple quotes from different companies to ensure a fair price and solution.

Q3. Will my homeowner's insurance cover a broken sewer line?

Most standard policies exclude damage from wear and tear, corrosion, or tree roots. It's best to check your specific policy, but don't count on this. Some homeowners may have purchased additional coverage for sewer lines, but this isn't included in standard policies.

Q4. How does GetHomeCash calculate its offer for a house with sewer issues?

We start with the home's potential market value after repairs. Then, we subtract the estimated repair costs (including the sewer line), our holding costs, and a small profit margin to arrive at a fair cash offer. We explain our calculations clearly so you understand how we arrived at our number.

Conclusion

A failed sewer inspection presents Texas home sellers with significant financial and logistical challenges. You must legally disclose these issues, and you have three options: repair the sewer line yourself, offer a credit or price reduction to your buyer, or sell directly to a cash buyer who will take on the problem.

While this situation is stressful, you're now equipped to make the best decision for your circumstances. If your priorities include speed, simplicity, and avoiding major plumbing repairs, selling your house as-is with a Texas sewer inspection fail is clear and achievable. A cash offer from GetHomeCash provides the certainty and convenience many sellers need, allowing you to close this chapter and move forward without the burden of a failed sewer line.

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