I'm likely going to raise the ire of some home inspectors on this group, but I've found them, on the whole, to be a pretty clueless bunch.Many "minor issues" identified are actually pretty expensive and serious shortcomings, while many "serious issues" are simple maintenance items that can be easily remedied at low cost. And many quite major issues are totally missed.
Actually, in many cases , done as part of a redecoration job to get a house ready to sell (improve curb appeal, make it "show well", the cost to totally rewire to current code is SURPRISINGLY affordable. Particularly if the house has both an accessible attic and a full basement. It's incredible how little plaster/drywall really needs atro be damaged/opened up to rewire an older home. The only thing not "to code" would be the spacing of "handy-straps" holding the cable to the studs. The extra wire needed to do it the "simple" way is much less expensive than the extra labour etc to do it the "hard" way.
Yup - but the FACT is, you still cannot buy NEW insurance on a home with K&T wiring in the vast majority of both the USA and Canada.
Renewals are still (generally) available - but no "new business"
In many cases you can leave K&T by code, but in those same cases you may STILL not be able to write new insurance policies on the home.
A friend's son bought a home less than 10 years ago that was advertized as fully rewired and re-plumbed.
When he went to sell 2 months ago, a home inspector found there was still K&T in use throughout most of the main part of the house, as well as a lot of galvanized water pipe and the cast iron sewer stack (which was rusted through and leaking in several spots)
When that was discovered, it had to be told to all prospective buyers
- which severely limited the market, and the price he could expect to get for the house.
After getting some estimates they dropped the price something like $30,000 and it was snapped up almost immediately - the buyer knowing the wiring and plumbing could be brought up to current code, with all iron pipe and K&T wiring replaced, and redecorated for that amount, with money left over. (House listed for $285,000)