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Cheri,
Did this just happen three years after installation or could this have been there from the time of installation and you didn't notice. Sometimes this can happen, especially on older homes that have old wooden windows where the installers use something like a chisel to literally "bust out" the old exterior blind stops on the window when installing replacement windows from the exterior. The old wood can be very dense and hard to chip off. The force of hitting on the exterior could cause this type of thing or as someone else said, could have a shim putting pressure against the back side of the interior trim. You probably would have noticed that kind of damage right away though.
Typically a 70 year old house has already settled so you wouldn't think that was the cause, unless you are having some other kind of structural problems with the home. If it were water, I would imagine you would see some kind of staining or drips on the interior as well.
It's really difficult to say, unfortunately. It could be installation related, but would be hard to say without pulling off the metal wrap on the exterior (assuming they were wrapped) and seeing what is going on.
Hello! I'm sorry to hear that you are having issues with your windows. From viewing your photos, it appears that there is water coming from up above the window. That being said, it could have been from improper installation or just bad windows.
Please feel free to reach out to us and we can send one of our salemen out to have a look at what's going on with your windows.
Christy
EntryPoint Doors and Windows
5018 Bristol Industrial Way Suite 209
Buford, GA 30518
770-904-0094
I dont really see any water damage. They could have by accident impacted the trim with the shims. Maybe send a pcture of the outside and that should tell us a little more