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I got a used machine that had been sittign for years. On the first several tries to power up, I got that error message a short while after powring it up. My water jug is installed externally for easy access, and I could see the water wasnt getting up the hose all the way to the machine. So I elevated the water jug by placing it on top, then the water fed and the message didn't appear. This may not have much to do with your situation, but maybe it will help. (Maybe error 2 relates to water shortage) You could remove the back panel and see if water is filling the tubes. (Caution with hot wires)
There is a small metal plate with holes below the square funnel shape on the brew unit. This plate has a pink rubber seal and a stem that goes up into the brew unit. The stem is knurled with ridges and is attached to a screw on the plate. The screw has become loose and the plate is not held tight against the seal. Turn the knurled knob clockwise until it tightes the plate against the bottom of the unit. Make sure the plate is centered as I believe there is a slight lip that it recesses into. Should stop the water in the grounds collector. Of course the seal must be in good condition. Paul
Heating element on boiler is defective. Depending on which model magic you have there might be a seperate boiler for the steamer.
No power to heat plate would suggest heating element on heat plate has gone bad or worse case there's a malfunction on the pc board of some sort as everything is fed to it.
If it is the board, unless it is the magic redesign (rectangle board vs triangle board), it cannot be replaced as saeco does not carry that part any longer.