My wife and I have been looking for a new home and we have found a dream home. However, we found several cracks in the basement so we hired a structure engineer (per building inspector's recommendation) to look at those cracks. Per engineer, these cracks are shringage cracks. There were total of 28 cracks (8 diagonal and 20 vertical). The number is very unusual especially with the house being only 2 years old but he doesn't see any structural problem at this time (but can't predict the future performance - so there is a risk). The foundation walls are poured in place concrete. The structure engineer recommended us to get some of these cracks repaired (those that are major - 6 to 7 cracks) and monitor the rest. Another big concern is the impact on resale since the number of the cracks is very high. We hate to break the sale contract but if this is the thing we should do (due to the risk and resale issue), we will probably have to. Has anybody ever seen many cracks like this in the basement? What do you think is the right thing we should do? Thank you and we appreciate all the opinions.

I assume all the cracks are in the walls. We'd need to know a lot more to offer an opinion, such as soil conditions outside the walls (to evaluate the probability of leaks). the width of the cracks, any evidence of differential movement or settlement (although the engineer has probably dismissed it), and most of all, the cracks should be monitored over a period of time to determine if there is continuing shrinkage (if that was truly the cause). Such monitoring isn't possible in your situation unless and until you own the house.

Based on what little information we have, my own opinion is to find another dream house with no cracks. There are very few repairs which will last a long time, unless you do major excavation outside the walls and repair the cracks there, and take steps to waterproof the walls.

Cracks on foundation walls is always a concern. If your concerned about these cracks so will future buyers. To understand why some cracks develop you need to understand how they can form.
With cement walls the contractor places forms to hold the cement in place as it cures. Because walls use up a lot of cement when placed several trucks are used to fill the forms. Each truck mixes the cement on site. Each mix contains slightly more or less water. When this occurs like a beverage you get layers of different thicknesses of cement. If the mason that is pouring the walls fails to properly vibrate and rod the mix togeather weak spots develop within the wall structure.
Now that we have a weak pour all we need is movement to cause the pour to fail. Settled foundations are the most common cause. If the soil that bears the weight of the walls and home is undersized it is pushed into the ground. Thus causing cracks. Also poor drainage around the outside of the house causes excessive water at the base of the footing and against the walls. This excessive moisture causes the soil supporting the footing to settle more thus allowing the footing to drop or the wall to puch in and out. Another cause of cracks.
The engineer is correct on not being able to determine if the cracks are going to get worse or not. It simply cannot be done with one or two short visits to a home.
Did he tell you how to fix the cracks? Repairing poured cement wall cracks is not easy. As many companies simpy fill them with an apoxy to make the repair. They are not fixing the cause which can be much more expensive.

As an experianced home inspector who has done several thousand home inspections I can tell you that you will find the right home for you. If a house sale is meant to be it will go smoothly. Do not get into a debate with yourself about the foundation issue. If your uncomfortable with what you hear and you have concerns about the future resale, this house is not for you. To often new home buyers get into a pissing match with sellers and argue amounts and how things are going to be done. Only to find out once their in the house they are unhappy. With the market as it is now, there are many other homes that will fit your style and life.
If you do however decide to have repairs done. They should be done by the seller only. Let them foot the bill. To often buyers settle for cash at closing to cover the repairs only to find that the proper repairs cost much more then was estimated. Do not get stuck footing this bill. Be sure to get in writing a warranty on future cracks developing. My guess you cannot get that warranty as very few companies will provide one.

On the other hand, if you let the sellers make the repairs, you'll get some quick-and-dirty band-aid fix, and you'll probably find that the cracks will open up again, and now it's your pocketbook.

That is entirely too many cracks. Something is wrong to have caused them. Find another house. and I'll bet you'll tell us when you do that you're glad you didn't take this one. Some small cracks are normal, but so many cracks are not normal. Pass on this house.

quote:

My guess you cannot get that warranty as very few companies will provide one.

Richard/The Home Care Club LLC: Thank you so much for the quick responses. Yes, all the cracks are in the wall. The soil conditions outside the walls were dry (because of drought). Currently, there is no evidence of differential movement or leaking. We don't know the width of the crack but 5-6 of them were considered major cracks (per the engineer). The structure engineer believed the concrete was poured overly wet and hence increasing shrinkage and the resultant cracks. There were drought conditions and we had no rain for a long period of time. The engineer said the epoxy injection should provide satisfactory control but it's important to keep the extetior gutters maintained and drainage directed away from the foundation. But there is a risk since we may get additional cracks over the period of time. The seller didn't disclose this issue when we signed the contract and they said they didn't even know about it. :-(

quote:

The engineer said the epoxy injection should provide satisfactory control.

Note the key word in that sentence. Walls with cracks that have been repaired with epoxy injection are known to open up new cracks sometimes. If the drought subsides (and it always does) and the ground water rises, with so many cracks, you are a good bet to get leaks, and no amount of gutters or careful grading will prevent them. If you do get leaks, the only real fix is to excavate outside, repair the cracks there, and waterproof the part of the wall that's leaking. Often, it's only one crack, but in your case it's dozens of them, and chances are that over time, you'll be chasing yóur tail trying to waterproof them all.

How could the sellers not be aware of the cracks? Don't you wonder what else they are...er...fibbing about? I would be wary if I were you, and I'd keep looking for a real dream house, not a nightmare.