Is an FPE Stab-Lok panel a dealbreaker for a new home purchase?

Federal Pacific panels are basically fire starters, so getting it out of there is the priority. The problem with a seller-paid replacement is they almost always hire the cheapest guy who will do a "slap and dash" job just to clear the inspection. If she can, she should push for a **closing credit** instead of letting the seller handle it. That way she chooses the electrician and knows the grounding was actually updated to current code, not just swapped one-for-one. Once the panel is open, the electrician is definatly going to see the state of the branch wiring. If the house is old enought to have a 108 series Stab-Lok, there’s a high chance you're looking at **cloth-insulated wiring** or even ungrounded circuits. The cloth stuff gets incredibly brittle over decades; just moving the wires to land them in the new panel can cause the insulation to flake off and leave bare copper. Have her ask the tech to specifically check for "bootleg grounds" where someone jumped the neutral to the ground screw on the outlets to fool a basic tester. Another big concern is aluminum branch wiring, wich was common in the era those FPE panels were popular. If the branch wires are silver-colored instead of copper, that’s a whole different safety issue that needs special connectors like AlumiConn or Copalum. Swapping the panel fixes the breaker failure problem, but it doesn't fix a loose connection at a wall outlet three rooms away. I'd suggest she pays for a few extra hours of labor to have the electrician pull a few random outlet covers and check the tightness of the terminals. People focus on the panel becasue it’s the "brain," but those old branch circuits are where the hidden heat damage usually happens. It’s much cheaper to find a scorched wire now while the house is empty than after she moves all her furniture in.

I hadn't even considered the 'slap and dash' risk with a seller-hired pro. If she pushes for the credit instead, how does she even know how much to ask for? I've heard some guys won't even touch those old systems becasue once you move one brittle wire, the insulation just turns to dust and then you're looking at a full house rewire.

Does a panel swap usally trigger a requirement for those expensive AFCI breakers too? I've heard they're super sensitive on old circuits. I'd hate for her to get hit with a massive bill or constant tripping she didn't plan for right after moving in.

To answer the question about requirements—yeah, most jurisdictions will force you to upgrade to AFCI breakers for living areas and GFCI for wet spots during a panel change. Those breakers cost $50+ a pop compared to $5 for standard ones, so a 'basic' quote from the seller's guy won't cover the real cost.

Also, tell her to check the service entrance cable outside. If the FPE is original, that jacket is likely cracked and dry-rotted. If water is wicking down the cable into the new panel, the whole swap is a waste of money beacuse she'll just be corroding the new bus bar from day one.