Removing and replacing the grout only helps if it is a grout issue. I'd tear out the base of the shower and replace/redo it. Still cheaper than bath fitters. You can do your own epoxy paint. http://www.homedepot.com/p/Rust-Oleum-Specialty-1-qt-White-Tub-and-Tile-Refinishing-Kit-7860519/202246270

10 years ago we paid Bathfitter a total of $4500 to have a shower covered over and have a new shower door put on. I think they charged a lot for that crummy shower door, too. I would think their price points have changed since then. There are competing bathroom insert companies around these days. I recommend you talk to 2 or 3 of them to get estimates. Bathfitter gave us the hard sell but we were desperate so we took it.

Thanks, PP. Your post is really helpful and it makes sense to me. I don't blame my contractor for shoddy work, but do think he should have explained this to me. I'll look into Bathfitters as a temporary solution. Do you remember what it cost? We don't have a shower door so we wouldn't have your problem, but I do prefer the look of tile over vinyl. I'd be really interested in hearing from people who considered both an insert and epoxy paint. From what I've seen, epoxy paint doesn't last more than 3-5 years, but I'm ok with that.

We had the same problem a few years ago. It's not the contractors fault. The problem is that many home builders don't put a waterproof layer behind the tile at all. Once the grout starts leaking, the wall board gets wet and warps. That causes the tiles to loosen and all the grout in the world won't keep it from leaking anymore because the tiles will flex and the grout will crack again.

As an emergency measure, we had Bathfitter come and put an insert over our whole shower. This was about 10 years ago and we haven't had a leak since then. However, it doesn't look very good and we've had some issues with the shower door. (Bathfitter is a low-quality product and it's not cheap.)

The best choice is to have the bathroom gutted. Have the wall board replaced with a proper water resistant product. And have new tile put in. Sooner, rather than later, we will have that done.

My shower is leaking again after we paid to remove and replace the grout. This was about 8 months ago. The grout appears to be cracked in the same place again. I know next to nothing about these things and my husband possibly knows less. I have done some cursory research that suggests that grout isn't really waterproof and that the water proof layer is behind the tile. Is that the case and if so, could a poor waterproofing layer be the source of the problem? We don't really want to retile in there. We would prefer a temporary solution as we intend to remodel the bathroom in a few years as part of a larger project. In the meantime, we just need it to function. My thought is to maybe use an epoxy paint to make sure it is waterproof. Who would I call to do that? A tile installer? We had a plumber diagnose the problem and the grout repaired by the Grout Medic. Will not be calling the Grout Medic again. I would be grateful for any suggestions for dealing with the problem and recommendations for someone to do the work. I'm in Arlington.