Today the plumbers arrived to install the new water line and sewer back flow preventer. The mason also finished up replacing the tar stained bricks on the back corners of the house.
 
Today the water heater was mounted in the utility room. They also removed the subfloor from the kitchen. The picture on the right is taken from the upstairs hall bath looking through the first floor to the basement!
 
Plumbers have been working the last two days to assess the plumbing. On Thursday they were able to fix all the leaks in the basement, install shutoff valves to the upstairs plumbing, and pressurize the basement system. On Friday they installed a new toilet in the basement, repaired water service to utility sink, and tested the upstairs plumbing. Only seems to be one leak in the upstairs plumbing… We have decided to keep water off to the upper part of the house – this way we only have to heat the basement, and can have access to a toilet and running water. 

We also had two electricians through today. It appears the entire house (except the furnace, water heater, and defunct air conditioner) are still serviced by original knob and tube system. We have determined the course of action will be to replace/upgrade the entire electrical service.