We found our dream house but it failed the Title V inspection. Who's responsibility is it to repair the septic system?
The regulations require that the septic system be repaired or upgraded within two years of a transfer of title or a shorter time if it is considered an “imminent public health threat”. The regulations do not say who is responsible for the repair. If a mortage lenders does not require the system to be repair prior to the passing, they typically require placing up to 2.5 times the estimated cost of the repair in an escrow account.